Preliminary JLARC report shows hospital charity care vastly exceeds property tax benefit

July 21, 2022

WSHA is pleased to report, staff for the Washington State Joint Audit and Review Committee ( JLARC staff released its preliminary report comparing the community benefits provided by nonprofit hospitals and cancer clinics to the value of the property tax exemption they receive. The benefit to the state and the community  was more than three times the value of the property tax exemption, valued at $93.1 million. In its report, JLARC staff acknowledged there are additional community benefits provided by nonprofit hospitals in addition to charity care. For 2019, the estimated Medicaid shortfall alone was estimated at $1.4 billion.

The preliminary report was presented to JLARC members July 20 and will be presented to the Citizen Commission for the Evaluation of Tax Preferences August 2.  WSHA plans to provide written comments and testimony at the September 8 Citizen Commission meeting. JLARC staff will present the proposed final report to JLARC members November 30. (Andrew Busz, Andrewb@wsha.org)

 

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