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Posted on: December 18, 2020

Hospital Property Tax Subsidy Bill Headed to Governor

After advancing through Senate and Assembly committee hearings, yesterday both houses voted to approve A-1135/S-624 & S-357, sending the measure to the Governor’s office for his action. While the League is supportive of a legislative solution to the issue of how the business model for modern hospitals does not comport with the original public policy reasons for exempting non-profit hospitals from property taxes, we do not believe that these bills provide a proper solution.

We still remain concerned about the threshold issue of the legislation’s questionable Constitutional standing and the fees remain below the amount of the property taxes these entities would be assessed if they were taxed fairly. 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 reach out to the Governor’s office, expressing how this issue impacts your community’s taxpayers, and asking him to veto A-1135/S-624 & S-357.

Contact: Frank Marshall, Esq., Associate General Counsel, fmarshall@njlm.org, 609-695-3481 x137.

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