Connecticut Senate Bill SB00788

Connecticut 2019 Regular Session

• Introduced: 1/29/19
• Refer: 1/29/19

Caption

An Act Allowing Municipalities To Impose A Property Tax On Certain Facilities.

Impact

If enacted, this bill could significantly impact how municipalities can financially sustain themselves and fund local services. By allowing taxation of outpatient facilities, it would create a new revenue stream that municipalities can leverage to counterbalance the loss of income from properties that are not taxable. The implications of this amendment could lead to better resource allocation in healthcare and community services, especially in areas that heavily rely on local tax revenue for essential services.

Summary

SB00788 proposes to amend the general statutes to permit municipalities to impose a property tax specifically on outpatient hospital facilities that generate income for hospitals. The bill's goal is to provide municipalities, particularly those with a high proportion of exempt properties, with additional revenue-generating mechanisms. As many hospital properties are currently exempt from property taxes, the bill seeks to broaden the financial resources available to local governments, which can enhance their fiscal stability and service provision capabilities.

Contention

Notable points of contention surrounding this bill may involve the balance between revenue generation for municipalities and the financial burden it may place on healthcare facilities. Some stakeholders might argue that imposing property taxes on outpatient hospital facilities could deter investment in healthcare infrastructure and potentially increase costs for patients. Conversely, proponents of the bill might defend that local governments deserve the authority to tax such facilities to ensure they are adequately funded and equipped to meet the healthcare needs of their communities.