Petitioner, an investor-owned hospital located in Schenectady County, requested an adjustment in its hospital reimbursement rates to reflect the increased expenses which resulted from the change in the sales tax in Schenectady County in 1989 from 4% to 7%. Respondent denied the request upon the ground that Department of Health regulations did not provide for an adjustment due to an increase in the local sales tax. After exhausting administrative...
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