Thursday, December 5, 2024
Hood County residents will soon decide whether to approve a proposed 2-cent increase in property tax that aims to fund medical care for low-income and uninsured people in the area.
The measure, on the Nov. 5 ballot, is intended to ensure that essential healthcare services remain accessible to residents who may otherwise go without necessary medical attention.
ABOUT THE LEGISLATION
Hood County Hospital District was created in 1976, with the Texas Legislature’s passage requiring local governments to provide medical care to poor and low-income families who meet certain criteria and live within the jurisdiction.
Medically indigent patients include persons for whom medical bills would threaten the household financial viability. This legislation remains in place and continues to ensure Texas residents who do not qualify for other healthcare assistance programs receive healthcare services.
The act also aims to prevent or limit the effects of diseases and disabilities among those who cannot pay for care. The Texas Constitution allows hospital districts to levy a tax not to exceed 75 cents per $100 of valuation of all taxable property within the District.
HOOD COUNTY PROPERTY OWNERS USED TO PAY THIS TAX
Many people think the hospital district runs Lake Granbury Medical Center, but that is not true. HoodCounty.Tx reports the hospital is part of Community Healthcare Systems, a large for-profit healthcare network.
Historically, Hood County residents paid a hospital district tax until 1996, when the hospital district leased the local hospital, Lake Granbury Medical Center, to a private operator, Hospital Corporations of America, as reported in July by the Hood County News.
This lease agreement provided the district with $15 million over 30 years, allowing it to meet its obligations without taxing residents. However, with the lease ending soon and healthcare costs escalating, the need for a tax to fund essential services has become pressing.
According to HoodCounty.tx, the current property tax rate for the hospital district is zero, which has led to challenges in ensuring adequate ambulance services across the county.
WHO WILL BENEFIT
The proposed 2-cent property tax increase will benefit low-income residents and seniors who are frequent users of emergency medical services.
In fact, 72% of emergency calls come from individuals aged 60 and older.
With nearly 68,000 residents in Hood County, many of whom are older or living in poverty, the demand for medical care continues to grow. Approximately 26.7% of residents are aged 65 and older, and 15.4% are classified as medically indigent, meaning they struggle to pay for healthcare.
This funding will help improve response times and ensure that necessary medical services are accessible to all residents.
THE DOWNSIDE
However, some residents may be negatively impacted by the tax increase, particularly those with higher property values, as their annual taxes will rise. For instance, a home valued at $100,000 will see an additional $20 in taxes annually, while a $400,000 home will incur an extra $80.
HOW WE COMPARE
Hood County's proposed hospital district tax rate is significantly lower than those in neighboring counties. Here’s a quick comparison from HoodCountyTx.documents dated Sept. 25, 2024:
In terms of total property tax rates for 2023, Hood County also has a lower rate (28.2 cents) compared to its neighbors, with Parker at 28.7 cents, Somervell at 42 cents, and Palo Pinto at 30.5 cents.
WHAT HAPPENS IF THE TAX DOESN’T PASS?
If the proposed tax does not pass, the consequences could be significant. Residents could experience reduced ambulance services, staffing cuts, and a halt in new service expansions. Essential equipment and vehicles may not be replaced, impacting the quality of care.
In the worst-case scenario, the Hood County Hospital District could be dissolved, shifting the responsibility of providing healthcare costs for low-income residents to the Hood County Commissioners Court.
Visit hoodcounty.texas.gov for detailed information about where and when to cast your vote in regard to this tax.
