Another property was added to legal action from Northern Light Health, arguing that the city of Brewer incorrectly decided parts of the system were not tax exempt.
Northern Light Pharmacy on Whiting Hill Road was not originally granted tax exemption by Brewer’s assessor. Northern Light appealed the decision to the Brewer Board of Assessment Review, which decided the pharmacy was exempt.
The city then appealed to Penobscot Superior Court, lumping the case in with other properties of Northern Light. Some of those properties are tax exempt, while others are not. The city wants multiple businesses to pay taxes while Northern Light Health wants the businesses to be tax exempt.
Northern Light wants a judge to order Brewer to return any property taxes paid for the Whiting Hill pharmacy and continue its tax exemption, according to court records.
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Portions of the Lafayette Family Cancer Institute are no longer eligible for tax exemption after
contracted workers, such as private practice oncologists and Quest Diagnostics lab employees, provided services to cancer patients, according to earlier legal filings from Northern Light Health.
The Whiting Hill pharmacy, part of M Drug LLC, is organized as a for-profit entity, according to the assessor’s decision. It has at least five other retail pharmacies and does mail order services. Providing services to cancer patients does not distinguish it from other pharmacies that do not have tax exempt status.
M Drug does not own the property and is not liable for any taxes, according to a court record from Northern Light Health. Northern Light Eastern Maine Medical Center is the only member of M Drug.
The pharmacy is not organized for charitable purposes as the law requires for tax exemption, Brewer’s attorney, Charlie Gilbert, said. He said organizations can do charitable work but not be tax exempt, which is what the assessor decided.
The assessor’s decision was “contrary to public policy and well-established legal precedent in Maine, will add to the cost of health care and will be viewed with concern by the entire Maine charitable and nonprofit community,” Northern Light spokesperson Suzanne Spruce has said.
The lawsuits have a discovery deadline of June 15. No other court dates are scheduled at this time.