South Carolina counties to lose millions in tax revenue after health system acquisition

Nonprofit Spartanburg (S.C.) Regional Healthcare System’s purchase of for-profit Mary Black Health System, also in Spartanburg, will result in a nearly $2.5 million loss in tax revenue for local government bodies, according to WSPA, Spartanburg’s CBS affiliate.

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As a nonprofit, Mary Black will no longer pay taxes. Sharon West, the Spartanburg County auditor, said the volunteer Drayton Fire Department, which services the east side of Spartanburg, stands to lose the most from the move. Drayton Fire will lose $211,000, 43 percent of its entire budget.

“It’s the biggest loss of revenue that I can remember,” said  Ms. West.

Spartanburg County will lose nearly $300,000, Spartanburg District 7 will lose more than $1 million, and Cherokee County will lose $400,000.

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