Providence pays taxes
The June 12 article, “Valley Hospital contesting Providence center,” stated that Providence Sacred Heart Medical Center did not pay taxes on its net income. This could give the impression that Providence does not pay any taxes, which is untrue. It is correct that Providence does not pay federal income tax; however, not-for-profit hospitals do pay many state taxes, including property taxes, payroll taxes, business and occupation tax, unrelated business income tax, provider tax and state sales and use tax. In 2012, Providence Health Care paid $63.9 million in taxes.
As a not-for-profit, our revenue is invested back into care for the community, not to shareholders. Providence Health Care provided a total of $84.5 million in community benefit to meet unmet community health needs, which includes $16.6 million in free and discounted care for members of our community who otherwise would go without health care.
However, our community benefit efforts are just one part of our strategic investment to improve the overall health of our region. In addition, the new Providence Medical Park will offer Spokane Valley residents a coordinated and efficient outpatient alternative close to where they live and work.
Chief Executive, Providence Health Care, Eastern Washington