Previously, a 60-year-old tax provision exempted non-profit healthcare providers in the city from paying the tax. However, the Tacoma City Council members unanimously decided to cut the provision from a 100 percent tax-free exemption to 75 percent, according to the report. The tax is expected to add $538,000 to the city’s funds this year.
Tacoma currently faces a $33 million budget deficit, and this measure is the second phase of cuts and cost controls the city has put into place.
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