Denver Health is working with city council members on a November ballot initiative seeking a .34% sales tax increase that, if approved, would help pay for uncompensated care, NBC affiliate KUSA reported June 5.
Rising uncompensated care costs have been a major challenge for the safety-net hospital. Denver Health lost $60 million from uncompensated care in 2020, which doubled to $120 million in 2022. Uncompensated care costs reached $136 million in 2023, with $35 million of that coming from patients who live outside the city.
The proposed sales tax collection would be capped at $70 million, according to the report. A city council committee has advanced the proposal, which still needs approval from the full council before it can get on the ballot.
Denver Health CEO Donna Lynne, DrPH, said that through people visiting the city for tourism and sporting events, a sales tax is a way to ensure that people outside the city are helping to pay for a solution, according to the report.
Dr. Lynne said she is also continuing to push for more state and federal funding, according to the report.
"There is a possibility that there would have to be service reductions, if we are not successful in all of those fronts," she said, according to the report.