Carle Foundation Reaches Settlement Over Property Tax Reimbursement

The Carle Foundation in Urbana, Ill., has reached a settlement agreement with the local park and school districts over property taxes paid while Carle's tax-exempt status was in question, according to a News Gazette report.

Carle's tax-exempt status had been the subject of years of ongoing litigation. However, a law passed earlier this year grants Carle tax-exempt status as long as the value of free or discounted care provided by the system exceeds the amount it would owe in property taxes, according to the report.

Once its tax-exempt status was confirmed, the system sued both the local school and park districts to recoup almost $20 million paid in property taxes while its charity status was being litigated, according to the report.

Both districts have settled with Carle, and will return a total of about $7 million in exchange for Carle dismissing the suits. The city of Urbana was not part of the settlement, and continues to hold $3.6 million of Carle's property taxes in escrow, according to the report.  

More Articles on Hospital Lawsuits:

Adventist Health Whistle-Blower Claims Proposed Settlement Too Low, Blames Misleading Finance Reports
Judge: Allegations About Medtronic's "Technical Support" to Physician Not Preempted
Whistleblower Attorneys Claim Halifax Health Destroyed Records

Copyright © 2024 Becker's Healthcare. All Rights Reserved. Privacy Policy. Cookie Policy. Linking and Reprinting Policy.

 

Featured Whitepapers

Featured Webinars