Channel 9 in Orlando just produced a TV report on the "unfairness" of Hospital Tax Districts , including those in Lake County. You can read below what we say first, or
you can go right HERE to Channel 9 to see their video report, THEN come back here and read our comments!
Favorite quote from the TV Report:
"Out of nearly 300 hospitals in Florida, only 14 take taxes straight from residents’ pockets; two are in Lake County and three are in Volusia County." They just put it on the backs of the taxpayers. That's not fair and it’s not right," David Sava said."
In Lake County, I have periodically reported on this blog about the lack of accountability and lack of justification for the 1 mill property tax paid by North Lake county (FL) property owners (residential and commercial). If you look in the categories section at the right, and click on "North Lake Hospital District" or HERE, you will find a list of our blog posts, including much information from local activist AND Board member of the District, Marilyn Bainter.
In our most recent postings on the North Lake County Hospital District taxes, I focused on the complete lack of detailed guidance on how the funds were to be spent, thus there is no accountability. You would never buy a car sight unseen with a contract that only said to pay $20,000 for a vehicle to "improve your transportation", but $11-million in Lake County tax funds are paid directly to two local hospitals without any specific details on how they are to be spent. Three Lake County State legislators (Marlene O'Toole, Carey Baker, and Alan Hayes) have refused to modify the law to provide more details or define accountability, or modify the fixed 1 mill rate to allow flexibility to the Tax District Board.
Now, local Orlando Channel 9 has produced a report on the same "unfair" taxes in other local counties, and said some residents think the tax is unfair because if they have health insurance and pay their hospital bills, why should they also be taxed on their house to provide more funds to local hospitals when MOST Florida counties have NO SUCH hospital tax on property (some may pay a portion of local sales taxes, but not many.).
Clarifications: 1. Local Hospital Board Members are Elected locally - The TV report says most Hospital Tax District members are not elected locally, but appointed by the Governor. In Lake County, they ARE elected, but the cost is too much for such a non-paying job that only Hospital supporters run for the positions. 2. The report says the Districts were formed in the 1920's to pay for "indigent care" but that later most hospitals found another way (rather than taxes) to cover indigents. They don't also mention that many hospitals in the 1950's-1970's converted from "for profit" status to "non-profit" status, and that was allowed because they agreed to absorb indigent care, thus any usage of the Hospital property taxes to cover indigent care now is a violation of the non-profit conversion regulations in our layman's opinion. 3. Another issue in Lake County, researched by Marilyn Bainter, is the possibility that the Hospital Tax is unconstitutional, and she is raising funds for a possible lawsuit now. 4) There are TWO Hospital Property Tax Districts in Lake County - one in North Lake, and the other in South Lake. This blog has focused mostly on the North Lake Hospital Tax District.
You can read the Channel 9 report and watch the video online HERE, or you can read the text below. I would go there anyway to see the video as well as read the comments.
vj
Residents Say Hospital Property Tax Is Unfair
Posted: 5:04 pm EST December 7, 2009 Updated: 6:55 pm EST December 7, 2009
CENTRAL FLORIDA -- Even if they never got sick some Central Florida residents are ending 2009 with some very expensive hospital bills. Some local hospitals collect hundreds of dollars in property taxes directly from residents at some of the highest rates in the state.He never visited the emergency room, never saw a doctor, but David Sava still has a big hospital bill this year."I paid over $800," he said.Sava's money is part of $35 million in property taxes Halifax Medical Center will take in 2010.
Bert Fish Medical Center in New Smyrna Beach will take more than $21 million, a number that grew for the eighth straight year.
Out of nearly 300 hospitals in Florida, only 14 take taxes
straight from residents’ pockets; two are in Lake County and three are
in Volusia County."They just put it on the backs of the taxpayers. That's not fair and it’s not right," David Sava said. It
was an idea that started in the 20s, to pay for indigent care, people
who can't pay. And taxing hospitals say they still need it."It is the use for those dollars," said Garry
But
over time, most hospitals found other ways to pay for indigents.
Eyewitness News compared Florida Memorial Hospital in Daytona to
hospitals in DeLand and Orange City. Their costs for indigent care are
similar, but two take taxes and one doesn't.Florida Memorial
Hospital uses state-of-the-art heart care and high-tech imaging tools
to make money. But taxing hospitals say they can't do that."Counties
are best served by having large institutions that provide that,
scattered around the state, but not too many because those programs are
very expensive to run and maintain," Mac said.People are tired
of paying for those 14 hospitals that say they can't do what hundreds
of others have. Tax watchdog Ed Connors believes in Volusia County,
where incomes are 20 percent less than the state average, it's chasing
residents away."It's an addiction to money. It's an easy source of money. For a while," Connors said.It's not as simple as voting out board members setting the tax
Copyright 2009 by wftv.com.
