CITY'S HMO TAX PLAN AWAITED; COUNCIL TO CONSIDER PROPOSAL ON RATES.Byline: Ben Sullivan Daily News Staff Writer Los Angeles Los Angeles (lôs ăn`jələs, lŏs, ăn`jəlēz'), city (1990 pop. 3,485,398), seat of Los Angeles co., S Calif.; inc. 1850. City administrators are expected this week to complete a proposal for a new HMO HMO health maintenance organization. HMO n. A corporation that is financed by insurance premiums and has member physicians and professional staff who provide curative and preventive medicine within certain financial, tax plan and present it to a City Council committee for preliminary consideration early next week. The proposal will detail at what rate local health maintenance organizations will be taxed on their revenues and how those revenues will be assessed. The methodology already has been agreed to by city and HMO officials. And it is known the plan will be retroactive Having reference to things that happened in the past, prior to the occurrence of the act in question. A retroactive or retrospective law is one that takes away or impairs vested rights acquired under existing laws, creates new obligations, imposes new duties, or attaches a , forcing five area HMOs to pay the city several million dollars in back taxes. What is not known is at what rate the HMOs will be charged. Representatives from the City Clerk's Office, the chief administrative officer A chief administrative officer (CAO) is responsible for administrative management of private, public or governmental corporations. The CAO is one of the highest ranking members of an organization, managing daily operations and usually reporting directly to the chief executive and the chief legislative analyst will meet today to hammer out that figure. ``I think I know the answer to every question now except the rate,'' said Michael Gagan, a lobbyist at Los Angeles-based Rose & Kindel who has been the HMOs' lead negotiator during nine months of talks with the city. Currently, the five Los Angeles-based HMOs - Blue Cross of California, Care America, Health Net, Prudential Prudential is the name of two different companies and buildings named after them: Companies:
The companies also had sought to change the way the city calculates their gross receipts the total of the receipts, before they are diminished by any deduction, as for expenses; - distinguished from net profits. - Bouvier. See under Gross, a. os> See also: Gross Receipt . The city agreed to a scheme by which much of the companies' out-of-city revenue is free from taxation. When complete, the city's proposal must be approved by the City Council budget and finance committee before being forwarded to the full council for consideration. |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion