Now that Spartanburg Regional has completed its purchase of Mary Black Hospital, we’re getting a better understanding of just how much tax revenue is lost because of that sale.
Mary Black Health System was a private, for profit company that paid taxes. Spartanburg Regional is public so it does not pay taxes.
And that total revenue loss of nearly $2.5 million is certainly hitting some entities in Spartanburg County very hard.
The Drayton Fire Department serves 700 homes, hundreds of apartments, three nursing homes and a number of schools, but now that Mary Black is no longer paying taxes.
Sharon West the, Spartanburg County Auditor says Drayton Fire is the biggest loser and points to the numbers.
She says Drayton Fire is set to lose $211,000 dollars, 43% of its entire budget.
“It’s the biggest loss of revenue that I can remember,” said West, referring to not just Drayton, but the overall loss of revenues.
And West says, what’s worse, it’s concentrated, so certain public entities like Drayton are hit especially hard.
The Chairman of the Fire Commission Board, Mitch Shook, was unavailable for an on camera interview but told 7News that the Department was devastated by the news and “at this point it’s unclear exactly how it can recoup the funds.”
Spartanburg County, itself, is also losing roughly $300,000 in tax revenue. But Councilman David Britt says that loss is offset by growth.
“Just this past year alone, we’ve had 18 hundred jobs, 850 million dollars invested here, that’s what’s going to make up the loss,” said Britt.
The biggest dollar loss goes to Spartanburg District 7, a drop of more than $1 million, 4% of it’s overall budget.
District officials were unavailable today, but Britt says a new agreement to share industrial taxes and fees among all school districts will help ward off a tax hike in District 7.
As for Drayton Fire, Britt expects Spartanburg Regional to come to their rescue.
‘I have confidence that they will work with the Drayton Fire Department in a very quick way of making that up.”
7News also checked in with the Cherokee County Auditor who said the total revenue loss there is a little over $400,000 with schools being hit the hardest.