Voter Approved Indigent Care Surtax (F.S.212.055(7))
Questions & Answers
Q. Why do we need a tax for health care?
A. Currently, an estimated 25% of Polk County residents or approximately 120,000 people are uninsured or underinsured, placing the entire county in the midst of a health care crisis.
Q. How much can I expect to pay?
A. It will cost the average individual approximately $25-$30 per year or 50 cents towards every $100 purchase. Only the first $5,000 of a taxable purchase (such as a car) can be taxed. The maximum tax on any single purchase will be $25. Food items from the grocery store and prescription drugs for example, will continue to be exempt from the tax.
Q. Why can't Polk's uninsured residents qualify for Medicaid?
A. Medicaid only assists those low income individuals who are blind, disabled, over age 65, single parents and their minor children and minor children from low income families. Many of our uninsured are working individuals and families that do not meet the technical criteria to obtain State or Federal assistance.
Q. How can I be assured that the money collected will be spent on health care?
A. Florida law requires that a plan to provide health care services to qualified residents be established and that the plan shall fund a broad range of health care services for low income uninsured and underinsured.
Q. Does Polk County have such a Plan?
A. Yes, Polk County has the Polk HealthCare Plan which was established in 1999 and fully meets the requirements as set forth in (F.S.212.055(7) which outlines what services are to be provided.
Q. Who will oversee how the money is used?
A. Florida law requires that the money collected shall be placed in a health trust fund and must be expended within the parameters of the established Plan. A Citizens Health Care Oversight Committee has been established to insure that the money received is spent appropriately.
Q. Why isn't this the responsibility of our local county government?
A. Local government funding for health care services for our uninsured and underinsured is not mandated by Federal or State law. Although Polk County Government has a long history of taking care of it's medically underserved population dating back to 1926, the ever increasing demands on the general revenue funds have made it no longer possible to fund the existing program which is targeted for elimination in March 2004.
Q. When will the tax take place?
A. The collection of the health care surtax will begin on January 1, 2005.
Voter Approved Indigent Care Surtax (F.S.212.055(7))
Fact Sheet
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Anyone who purchases a taxable item in Polk County will be contributing, not just the property owners.
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Tourists and those passing through Polk County will contribute 10% or more of the overall cost.
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A healthier community means a healthier workforce which ultimately means less absenteeism, better productivity and a better quality of life for everyone in our community.
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People without health insurance get less preventive care, they are diagnosed at more advanced stages of disease and they die younger.
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It will decrease the inappropriate emergency room visits for non-emergency care in our Hospitals.
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It will improve the overall health and well being of our family, friends and neighbors, making Polk County a better place to live and raise our families.
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Designated funds will allow for enhancements to already existing program(s) or to re-establish Programs which have been eliminated due to budget constraints:
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Implement a Prescription Only Program (POP) for qualified Medicare beneficiaries who meet the Plan's guidelines
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Improve health care services for Polk County residents, including children and senior citizens
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Increase eligibility incrementally so that more of the working poor can receive much needed medical benefits
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Increase emphasis on prevention, early intervention and health education
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Increase coordination among social service and health care agencies to maximize resources
The Need for Health Care in Polk County
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Polk County has the highest percentage (21.9%) of households earning < $15,000 per year in District 6 (Hardee, Highlands, Hillsborough, Manatee and Polk Counties) compared to 18.7% at the District level and 17.6% at the State level.
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Polk County has the second to lowest per capita income ($15,610) in the District compared to $17,029 at the District level and $20,199 at the State level. (Source: District 6 2003 Health Systems Plan, The Health Councils, Inc)
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Approximately 61,000 persons or (13%) of Polk County residents fall below the FPL. This is defined by the Federal OMB Poverty Guideline for 2003 as Low Income up to 100% of the FPL or a Household of one (1) at $8,980 annually and a Household of four (4) at $18,400 annually.
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With 5,974 residents to every 1 primary care provider, large portions of Polk County have been designated Primary Care Health Professional Shortage Areas (HPSAs) and Medically Underserved Areas (MUAs) by the Federal Government.
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In 2000, 64,000 residents, or 17% under age 65 in Polk County were uninsured.
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Among those under age 19, 15,589 or 13.64% were uninsured.
State Trends Among the Uninsured
A statewide survey of 4,000 businesses showed that the percent offering health care coverage fell from 91% in 1999 to 77% in 2000.
32% of all workers in Florida are employed by a small business (>50). In 2000, premiums for these employers rose by 16% and in 2001 they rose 21%.
As a result of rising premiums, the number of carriers in the small business market has gone from 104 in 1997 to 26 by 2001.
50% of the uninsured in Florida work full time or part-time.
89% of the working uninsured say that they do not have insurance either because their employer doesnt offer it or they cant afford the premiums.
26.9% of families with incomes between $20,000 and $24,999 are uninsured.
10% of families with incomes above $45,000 are uninsured.
Planned Program Enhancements
Increase patient access to healthcare providers within the County.
Increase emphasis on prevention, early intervention and health education.
Increase coordination among social service and healthcare agencies to maximize resources .
Increase eligibility incrementally from 100% of the HHS Federal Poverty Guidelines as resources permit.
Implement Prescription Only Program (POP) for Medicare beneficiaries who have income and assets within the Plans guidelines.
Reduce the inappropriate use of emergency departments, inpatient services and referrals.
Polk Health Care Plan
Example of Sales Tax Usage
| |
1/2 cent tax |
FY 02/03 Actual Individuals Served |
Estimated Additional Individuals to be Served |
Estimated Total Individuals to be Served |
| Estimated Revenues |
$26,000,000 |
|
|
|
| Reserves |
$2,000,000 |
|
|
|
| Net Revenues |
$24,000,000 |
|
|
|
| |
|
|
|
|
|
Enhancements |
|
|
|
|
|
Health Department
(Teen Pregnancy Prevention, Children's Dental Health, Children's Health Insurance, Adult Health Education) |
$381,000 |
0 |
12,835 |
12,835 |
| Polk Health Care Plan ($1,800/enrollee) |
$20,027,746 |
2,317 |
8,809 |
11,126 |
| Medicare Drug Subsidy (Prescription only) |
$1,570,000 |
0 |
2,500 |
2,500 |
| Children's Mental Health (Intensive In-Home Services) |
$500,000 |
0 |
50 |
500 |
| Healthy Families (Mental health) |
$90,000 |
0 |
180 |
180 |
|
sub-total: Enhancements |
$22,568,746 |
2,317 |
24,824 |
27,141 |
|
|
|
|
|
| Program Transfers (Annualized) |
|
|
|
|
| Health Department |
$289,000 |
|
|
|
| Mental Health / Substance Abuse |
$1,042,254 |
5,186 |
0 |
5,186 |
| Health Care Responsibility Act (HCRA) |
$100,000 |
15 |
0 |
15 |
|
sub-total:
General Fund Relief |
$1,431,254 |
5,201 |
0 |
5,201 |
|
Total |
$24,000,000 |
7,518 |
24,824 |
32,342 |
|