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Hospitals: We’re worth over $20B to CT economy

Connecticut hospitals create, directly and indirectly, $20.2 billion in economic value for the state, up from $20 billion a year ago, according to a report from the Connecticut Hospital Association.

The report comes as hospitals are facing a state tax on their revenue and underfunding of Medicaid costs. The association hopes the report will spur state lawmakers to invest an additional $30 million in hospitals next year.

Combined with a federal match, that investment would amount to an additional $100 million, and could generate 1,650 jobs, the report said.

The state’s 28 acute care hospitals employ 55,000 people, according to the report, which used an economic multiplier to determine that each of those jobs is indirectly worth an extra — meaning 111,000 jobs can be traced to the industry.

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In 2012, hospitals directly contributed $5.3 billion in payroll, $3.9 billion in spending on goods and services, and $530 million in spending on buildings and capital needs.

That impact of that $9.73 billion more than doubles to $20.2 billion when the multiplier is factored in, the report said.

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