ST. PAUL, MN — Rep. Jeff Backer (R-Browns Valley) joined fellow Minnesota House Republicans at a press conference Tuesday urging the new DFL House Majority and Governor Walz not to raise health care costs on Minnesotans by restoring the sick tax—a 2 percent tax levied on most patient services in Minnesota, including things like baby deliveries, chemotherapy treatments, routine doctor visits, emergency room visits, and more.
“I simply do not understand why Democrats and Governor Walz would want to raise health care taxes by $600 million a year when Minnesota families are struggling to pay for their health care,” said Rep. Backer. “It should be obvious that taxing health care to the tune of $600 million a year does not lower the cost of health care. With a $1.5 billion surplus, we should be looking at ways to reduce the burden on Minnesota families, not make it worse. As a volunteer EMT, I have a first-hand understanding of the costs of health care and believe we should focus our energies on proven policies that have a track record of lowering health care costs.”
The tax, which was eliminated as part of bipartisan legislation passed by a Republican-controlled legislature and signed into law by Governor Dayton in 2011, is set to expire starting January 1, 2020. In total, restoring the tax would result in a more than $600 million increase on health care costs for Minnesotans next year alone. Over the past week, Governor Walz called it a "nonstarter" to end the tax, and DFL House HHS Finance Chair Tina Liebling said it was "essential" to restore the tax or replace its revenue.
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