Myth Busting! Tax Rate Increase Facts or Fiction?

The Initial Tax Rate Isn’t “Bait”

Calhoun County voters are being asked to approve a maximum property tax rate of 40 cents on each $100 valuation of all taxable property in the district, after all allowable exemptions, to support the newly created hospital district.

The hospital intends to ask the new hospital district board  for an initial tax rate of 10 cents.

The hospital may seek increases in the tax rate annually, but the elected hospital district board must approve any requested increase. They don’t have to approve it.

In addition, state law prohibits the tax rate from increasing by more than 8 percent each year so even if the board did approve an annual tax rate increase, it would take 18 years to reach the voter-approved maximum tax rate of 40 cents.

Property Tax Impact

For a property owner with property value assessed at $100,000, the property tax bill is $100 a year at 10 cents per $100 valuation.

At the maximum tax rate of 40 cents 18 years from now, the property tax bill is $400, or $33 a month.

Looking Ahead

About 60 percent of tax revenue collected will be from industrial property owners in Calhoun County, not individual homeowners. But everyone benefits from having a strong healthcare system.

Vote yes to establish a hospital district when Early Voting begins April 22, which runs through April 29. Election Day is May 3!