YMCA must prove facility available for children’s use
The nonprofit association for nine years has been fighting a challenge from a group of private health clubs who say the YMCA’s state tax exemption gives the organization an unfair advantage in competing for members.
The appeal court’s ruling returned the case to Davidson County Chancery Court for a determination of whether children are allowed use of the Uptown facility, which is located in the SunTrust Center building in downtown Nashville.
A law passed by the state Legislature in 2000 clarified that “family wellness centers” are exempt from property taxes.
To qualify under that law, an organization must comply with a number of conditions, including having as its purpose “the provision of programs promoting physical, mental and spiritual health on a holistic basis without emphasizing one over another.”
The organization must also provide all programs and services to people of all ages, incomes and abilities.
W. Frank Crawford wrote in the Dec. 19 opinion for the Tennessee Court of Appeals that it is not clear whether children are allowed to use the Uptown YMCA.
“From the record before us, there is sufficient evidence to create a genuine question concerning the status of children at the Uptown locations,” Crawford wrote.
The appeals court referenced the Uptown YMCA’s Web site, which states “the Uptown YMCA is an adult facility providing equipment and services to meet the needs of persons 18 years and older.”
Davidson County Chancery Court Judge Richard Dinkins ruled in July 2004 that the YMCA’s mission of charitable works made it very different from the private, for-profit health clubs. That ruling allowed the organization to keep its tax-exempt status.
The lawsuit was filed on behalf of The Club at Green Hills, The Club at Bellevue and Quality Health Clubs For Fair Tax Treatment.
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On the Net:
Uptown YMCA: http://www.ymcamidtn.org/uptown/