Cleveland Clinic paying $1M to protect Strongsville Family Health & Surgery Center’s tax-exempt status — 3 details

Cleveland Clinic struck a deal to keep Strongsville (Ohio) City Schools from challenging Strongsville Family Health and Surgery Center’s tax-exempt status, cleveland.com reports.

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Here’s what you should know:

1. Cleveland Clinic’s Strongsville Family Health & Surgery Center was awarded tax-exempt status in 2017, meaning Cleveland Clinic doesn’t have to pay property taxes to the city and Strongsville schools. The Ohio Department of Taxation ruled the city and schools owed the Clinic $1.99 million through a retroactive tax-refund.

2. Now, Cleveland Clinic will pay Strongsville City Schools $1.05 million under an agreement approved by the Board of Education. In exchange, the schools won’t legally or administratively challenge the medical center’s tax-exempt status.

3. The city and schools expect to lose between $775,000 and $800,000 in property taxes from Cleveland Clinic in future years as a result.

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