Ruling on Provena's taxable status anticipated
URBANA -- When local taxing authorities considered Provena Covenant Medical Center's request for charitable tax exemptions for the 2010 tax year, they decided nothing has changed.
That is, the Illinois Supreme Court already decided the hospital wasn't used exclusively for charitable purposes for the 2002 tax year, said Champaign County Board of Review Chairman Wayne Williams.
"We didn't feel anything has changed to warrant an exemption," he said.
Williams said he delivered the board's recommendation to deny exemptions for all 68 Covenant-owned hospital parcels in Urbana to the Illinois Department of Revenue around March 9. The department will make the final determination on whether the hospital gets a property tax exemption for the 2010 tax year.
When that will be, department spokeswoman Sue Hofer said, hasn't been decided. However, she added, revenue Director Brian Hamer "is hopeful we can move on these soon."
The decision for 2010 isn't the only one affecting Provena Covenant's taxable status that is pending before the Department of Revenue.
The hospital in January argued its case for tax exemptions on its Urbana properties before an administrative law judge for tax years 2003 through 2006, and a final decision on those years is expected to come some time this summer.
The state Supreme Court found Covenant properties taxable for 2002. But Provena officials hope a favorable determination from the Department of Revenue on tax years 2003 through 2006 will carry a tax-exempt status for the hospital forward.
The tax exemptions are worth millions of dollars to Covenant and local governments, depending on the outcome.
Earlier this year, Provena was forced to pay $10,067,798 for tax years 2002-2009, $1.2 million of which was paid last year. The city of Urbana is holding most of the money in the bank, in the event that the hospital wins and is entitled to a refund.
During a time of diminishing tax revenues; municipalities, and local health care providers are at odds over whether enough charitable services were provided. The outcome will determine whether the employees at Provena will be employed, or unemployed; and the people relying on those medical services will be forced to rely on the other hospital if they can be allowed to do so. A win for tax revenues by the municipalities could be used to defer the laying off of police, and fire protection; or buy more statues, and a walking trail. The ones who lose are always the working people, and the poor.









Comments
News-Gazette.com embraces discussion of both community and world issues. We welcome you to contribute your ideas, opinions and comments, but we ask that you avoid personal attacks, vulgarity and hate speech. We reserve the right to remove any comment at our discretion, and we will block repeat offenders' accounts. To post comments, you must first be a registered user, and your username will appear with any comment you post. Happy posting.