C.R.S. § 29-28-101

(1) The general assembly finds and declares that: (a) Medicaid reimbursement rates cover only approximately sixty-five percent of the actual costs incurred by service providers rendering services to medicaid recipients; (b) Low medicaid reimbursement rates and increased caseloads have caused the costs to shift within the health-care delivery system, resulting in higher medical costs for the general population; (c) The medicaid caseload continues to expand and, therefore, the need for providers to serve these medicaid recipients continues to increase; (d) Rising health-care costs are a primary concern for Colorado citizens and businesses; (e) It is therefore in the best interest of the state of Colorado to authorize local governments to impose a fee on certain medical providers to assist in financing medicaid costs and the disproportionate share hospital payments for providing medical services to low-income populations.