Hospital operators in Connecticut are urging legislators to reject a bill that would require hospitals to pay state property taxes, claiming the cost of these taxes would likely result in cutting costs elsewhere, such as through staff and service reductions, according to The Register Citizen.
The long-standing property tax exemption for hospitals currently states any "nonprofit general hospital facility" is exempt from paying property taxes.
The bill, proposed by Gov. Dannel P. Malloy (D), would change the language so only hospital facilities in the same location as an emergency department or federally-qualified health center would be exempt. Satellite locations and physician practices that hospitals acquire would become taxable, according to the report.