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March 19, 2019 Newswires
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R.I. Medicaid tax targets many of state’s biggest employers

Providence Journal (RI)

March 19-- Mar. 19--Nearly 200 Rhode Island employers have 50 or more workers enrolled in Medicaid and at least 10 have more than 300 workers enrolled in that government health insurance program, according to statistics from the Executive Office of Health and Human Services released Monday.

The report, required each year by state law, is released as lawmakers vet Gov. Gina Raimondo's proposal to charge large companies a 10-percent tax (up to $1,500 per worker) on the wages of each employee receiving Medicaid. Nonprofit organizations and government employers would be exempt from the charge.

The report estimates the cost to the state of ensuring the Rhode Islanders working for the companies on the list is $44.4 million per year.

The report does not list the exact number of employees on Medicaid for each employer, only a range, so it does not reveal which company has the most workers on public insurance.

But it lists many of the biggest corporate names in Rhode Island, plus the state itself.

Also on the list of more than 300 Medicaid-receiving employees are Woonsocket-based pharmacy chain CVS, big box retailer Walmart, school bus company First Student and supermarket chain Stop & Shop.

Rhode Island Hospital has more than 300 workers on Medicaid, as does the Jan Companies, which operates Burger King, Krispy Kreme and Newport Creamery restaurants.

Rounding out the list of 300-plus Medicaid workers was staffing agency Employment 2000, Dan's Management (which appears to operate Dunkin' Donuts shops) and logistics company Vincent Porcaro Inc.

The list of employers with fewer than 300 workers on Medicaid, but more than 50, includes five public school systems (Central Falls, Cranston, East Providence, Pawtucket and Warwick,) most of the major colleges in the state and the hospitals.

Also on the list are Electric Boat (201-300 employees on Medicaid) Twin River Casinos (101-200 employees) and LMG Rhode Island Holdings, which owns the Journal (50-100 employees.)

The House Finance Committee is slated to hold a hearing on the Medicaid employer tax Tuesday.

___

(c)2019 The Providence Journal (Providence, R.I.)

Visit The Providence Journal (Providence, R.I.) at www.projo.com

Distributed by Tribune Content Agency, LLC.

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