1.1                          A bill for an act 
  1.2             relating to taxation; altering the metropolitan 
  1.3             revenue distribution formula to provide a distribution 
  1.4             to counties based on uncompensated health care costs; 
  1.5             amending Minnesota Statutes 1998, sections 473F.02, by 
  1.6             adding a subdivision; and 473F.08, by adding a 
  1.7             subdivision. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  Minnesota Statutes 1998, section 473F.02, is 
  1.10  amended by adding a subdivision to read: 
  1.11     Subd. 25.  [COUNTY MEDICAID HOSPITAL DISPROPORTIONATE SHARE 
  1.12  ADJUSTMENT.] "County Medicaid hospital disproportionate share 
  1.13  adjustment" means the amount of uncompensated health care 
  1.14  provided in each county, as annually calculated by the 
  1.15  department of human services, multiplied by the aggregate annual 
  1.16  revenues for all hospitals within the county, divided by the 
  1.17  total of all such calculations for all reporting hospitals in 
  1.18  the metropolitan area. 
  1.19     Sec. 2.  Minnesota Statutes 1998, section 473F.08, is 
  1.20  amended by adding a subdivision to read: 
  1.21     Subd. 8b.  [COUNTY MEDICAID HOSPITAL DISPROPORTIONATE SHARE 
  1.22  ADJUSTMENT.] Beginning in 1999 and each subsequent year 
  1.23  thereafter, the administrative auditor will determine each 
  1.24  county's Medicaid hospital disproportionate share adjustment.  
  1.25  Effective for property taxes payable in 2000, the administrative 
  1.26  auditor shall subtract ten percent of the dollar amount of each 
  2.1   county's areawide portion of the levy and distribute that dollar 
  2.2   amount to each county in proportion to that county's Medicaid 
  2.3   hospital disproportionate share adjustment.  Effective for 
  2.4   property taxes payable in 2001, the administrative auditor shall 
  2.5   subtract 20 percent of the dollar amount of each county's 
  2.6   areawide portion of the levy and distribute that dollar amount 
  2.7   to each county based on that county's Medicaid hospital 
  2.8   disproportionate share adjustment.  Effective for property taxes 
  2.9   payable in 2002, the administrative auditor shall annually 
  2.10  subtract 30 percent of the dollar amount of that county's 
  2.11  areawide portion of the levy and distribute that dollar amount 
  2.12  to each county based on that county's Medicaid hospital 
  2.13  disproportionate share adjustment.  Effective for property taxes 
  2.14  payable in 2003, the administrative auditor shall annually 
  2.15  subtract 40 percent of the dollar amount of each county's 
  2.16  areawide portion of the levy and distribute that dollar amount 
  2.17  to each county based on that county's Medicaid hospital 
  2.18  disproportionate share adjustment.  Effective for property taxes 
  2.19  payable in 2004 and thereafter, the administrative auditor shall 
  2.20  annually subtract 50 percent of the dollar amount of each 
  2.21  county's areawide portion of the levy and distribute that dollar 
  2.22  amount to each county based on that county's Medicaid hospital 
  2.23  disproportionate share adjustment.