Nonprofit Tax Status: Selected Research and Readings

Economic Impact Study: 2004 Version 

This report estimates the economic impact of The Center for Health Affairs’ 35 member hospitals on Greater Cleveland’s employment, household earnings, and business sales for the fiscal year ending in December 2002. The total economic impact of Cleveland area hospitals and their related health care facilities is $11.58 billion. This includes a household earnings impact of $3.28 billion. The total impact on employment in the Cleveland area is 109,107 jobs. To access the executive summary, click here.

(Jeff Rexhausen, Economics Center for Education & Research prepared for The Center for Health Affairs, November 2004)

Beyond Health Care: The Economic Contribution of Hospitals

Hospitals continue to provide jobs and promote job growth during recessions, supporting nearly $1.9 trillion in economic activity. Compared to other service sectors, hospital jobs are high paying and are not easily outsourced abroad. A state-by-state analysis of the economic contributions of hospitals to their communities is included with this report.

(American Hospital Association, April 2008)

Tipping the Scale to the Benefit of Our Community: The Real Value of Hospitals’ Nonprofit Tax Status 

Not only are hospitals a staple of the Northeast Ohio economy in terms of employment and the economic activity they generate, the activities associated with their charitable missions also provide vast benefits to the community. This CHA Issue Brief explains the tax exemptions nonprofit hospitals receive, the economic and community benefits nonprofit hospitals provide, growing threats to the nonprofit sector and the implications of revoking hospitals’ tax-exempt status.

(Kirstin Craciun and Michele Egan, The Center for Health Affairs, January 2005)

Mission Critical: The Essential Role of Not-For-Profit Community Hospitals To California’s Health Care Delivery System 

Not-for-profit community hospitals are integral to providing the leadership, research, and capital investment that will enable the health care system to respond to the changing demographic, regulatory and technology environment, according to the author. This study of California hospitals found that nonprofit community hospitals in the state contain 68 percent of the state’s designated trauma centers and provide 67 percent of neonatal intensive care days despite comprising only 48 percent of healthcare facilities in the state.

(Penny Stroud, Cattaneo & Stroud, Inc., May 2002)

Last Updated: April 2008