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House Panel Weighs 0.75% Hennepin County Sales Tax and $300 Million State Aid for HCMC

Partisan resistance underscores the scramble to rescue the state's main safety‑net hospital before a mid‑May deadline.

Overview

  • House File 4841, taken up Tuesday in the House Taxes Committee, would raise Hennepin County’s sales tax from 0.15% to 0.75% to support Hennepin County Medical Center.
  • Sponsors say the higher levy would bring in about $253 million each year for Hennepin Healthcare’s labor, supplies, equipment and facility needs.
  • The bill also creates a $300 million state hospital stabilization fund in 2027 with roughly half intended for HCMC and the rest for other Minnesota hospitals.
  • Republican lawmakers object to a tax hike in a tied House and some urge using money reserved for the Blue Line light‑rail extension, while others press for a detailed spending plan before any vote.
  • The Senate passed a separate $150 million lifeline last week as talks with House leaders and the governor continue, with urgency rising over HCMC’s large uncompensated‑care losses and staff attrition.