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Posted on: December 16, 2020

Hospital Property Tax Subsidy Bill Headed for Vote

Hospital Property Tax Subsidy Bill Headed for Vote After advancing through Senate and Assembly committee hearings, A-1135/S-624 & S-357 have been scheduled for a vote in both houses on Thursday, December 17, 2020. A-1135 was previously approved by the full Assembly, but the bill is now up for another vote, presumably to adopt amendments that would mirror the changes made to the Senate version.

For those who have been following this legislation, you know that the League has maintained opposition to these bills. This legislation stems from a tax court decision which brought to light how the business model for modern hospitals does not comport with the original public policy reasons for exempting non-profit hospitals from property taxes. While the League is supportive of a legislative solution to the issue we do not believe that these bills provide a proper solution.

Please read the League’s letter of opposition, submitted to the Senate Budget and Appropriations Committee for more information on this legislation and additional details on the League’s concerns.

We urge our members, especially those hosting non-profit hospitals, to continue to reach out to your legislators and to the Governor’s office, expressing how this issue impacts your community’s taxpayers.

Contact: Frank Marshall, Esq., Associate General Counsel, fmarshall@njlm.org or 609-695-3481 x 137.

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