The rate of municipal business and occupation or privilege tax on the activity of a health maintenance organization holding a certificate of authority under the provisions of W.Va. Code Ch. 33, Art. 25A, shall not exceed 0.5% to be applied solely to that portion of gross income received from the Medicaid program pursuant to Title XIX of the Social Security Act, being 42 U.S.C. §§ 1396-1 et seq., the state employee programs administered by the public employee insurance agency pursuant to W.Va. Code Ch. 5, Art. 16, and other federal programs, for health care items or services provided directly or indirectly by the health maintenance organization that is expended for administrative expenses; and shall not exceed 0.5% to be applied to the gross income received from enrollees, or from employers on behalf of enrollees, from sources other than Medicaid, state employee programs administered by the public employees insurance agency and other federal programs for health care items or services provided directly or indirectly by the health maintenance organization; provided, that this tax rate limitation shall not extend to that part of the gross income of health maintenance organizations which is received from the use of real property other than property in which any such company maintains its office or offices in the municipal limits of the city, whether such income is in the form of rentals or royalties.
(Ord. passed 11-12-2019)