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LI hospitals appeal for MTA tax relief

North Shore LIJ Plainview Hospital (Nov. 14, 2007)

North Shore LIJ Plainview Hospital (Nov. 14, 2007) Credit: Daniel Goodrich

An advocacy group for Long Island hospitals wants Gov. Andrew M. Cuomo and the State Legislature to extend a repeal of the MTA payroll tax to include suburban health care providers.

The Suburban Hospital Alliance, with 54 member hospitals on Long Island and in the Hudson Valley, issued the request Wednesday after lawmakers repealed the MTA tax for many employers.

The hospitals must pay about $20 million a year now in MTA payroll taxes, the group said.

"We urge the Legislature to extend this important tax relief to not-for-profit hospitals and health providers, which are the largest employers in the impacted communities," said Kevin Dahill, president of the alliance.

In the MTA taxing region, not-for-profit hospitals bring 150,000 jobs and $23 billion in economic activity, "while being subject to more than $4.5 billion in state Medicaid cuts and $13 billion in federal Medicare cuts in the last three years alone," Dahill said.

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