Economic Benefits


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    The Impact of Stony Brook University Hospital on the Economy and the Community – January 2013*

    Stony Brook University Hospital is proud to provide care to our community. Our doors are open 24 hours a day, seven days a week, 365 days a year. Each year, we serve thousands of individuals and keep our community healthy, strong, and vibrant in the face of significant economic challenges and unforeseen emergencies. While this record of service is and will always be our most valuable contribution to the community, our impact includes many facets that extend beyond direct patient care.   

    Hospitals are integral to strengthening and supporting social and family infrastructures of local communities that rely on local healthcare systems to:

    deliver high-quality healthcare to the communities they serve regardless of ability to pay.
    allocate scarce healthcare resources strategically when an emergency or disaster strikes.
    bring life into the world.
    care for the aged and provide comfort at the end of life. 
    proactively educate the community  about the impact of lifestyle choices on their health and well-being.
    enable communities to be stronger and more productive.

    This report, prepared with assistance from the Healthcare Association of New York State (HANYS), highlights the significant economic role Stony Brook University Hospital plays within our local community. It identifies and measures our direct impact on the local economy, and demonstrates the “ripple” effect of the dollars the health care sector brings into the community and the jobs we help create. In addition, it illustrates the benefit our hospital provides to help ensure a safe, stable, and healthy community. The methodology used to calculate these ripple effects is detailed in the Technical Addendum to this report.  

    Beyond The Scope Of Healthcare

    Stony Brook University Hospital is a critical component to the economic viability of our community. From the people we employ to the direct and indirect effects of spending, our value as an economic engine for the local community is undeniable. In addition, substantial indirect spending takes place further “downstream” in the economy, thereby providing a sizeable contribution to federal, state, and local tax revenue. 

    Economic Engine:  In 2010, Stony Brook University Hospital contributed significantly to the area’s economic health, providing an estimated total annual economic impact of $1,620,844,000. 

    Major Employer: Stony Brook University Hospital payroll expenditures serve as an important economic stimulus, creating and supporting jobs throughout the local and state economies. In 2010, we employed 5,290 people, with a total payroll of $509,741,000. Dollars earned by our employees are spent on groceries, clothing, mortgage payments, rent, etc., which generate approximately $1,011,938,000 in economic activity for the local economy.

    Impact of Our Purchasing:  Stony Brook University Hospital spends about $290,874,000 per year on goods and services necessary to provide healthcare. Dollars we spend generate approximately $577,442,000 for the local economy. Our spending flows to vendors and other businesses who, in turn, buy goods and services, thereby providing a ripple effect throughout the economy.

    Capital Spending:  In 2010, Stony Brook University Hospital spent $15,849,000 on buildings and equipment. Our capital spending generated approximately $31,464,000 for the local economy per year.

    Federal, State and Local Tax Contributions: Stony Brook University Hospital employees and the jobs supported indirectly by the facility paid $134,941,000 in Federal income tax, and  $42,093,000 in state and local income taxes in 2010. Furthermore, the employees of Stony Brook University Hospital and the jobs supported indirectly by our facility paid  $17,289,000 in local sales tax and $15,069,000 in New York State sales tax.

    *SOURCE: Healthcare Association of New York State