Island Health seeks additional funding via levy
Island Health photo

Island Health seeks additional funding via levy

A proposal to increase funding for Anacortes’ hospital district, Island Health, is before voters now on the April 24 ballot. The proposed new levy could bring in an additional $4 million dollars a year.

The levy would add 41 cents per $1,000 assessed valuation to the current levy of 34 cents for a total of 75 cents per $1,000 valuation. A separate bond levy of 27 cents per $1,000 for construction of the hospital in 2004 will die in 2028.

Island Health says the average homeowner with a property value of $800,000 will only pay an extra 89¢ per day if the levy is approved

Voters approved the last levy request in 2017.

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Currently, Island Health collects approximate $3.4M in funding from the district’s taxpayers, which is less than 3% of the hospital district’s total revenue. 

In a news release, Island Health says over 78% of their patients have government insurance (Medicare, Medicaid or Tricare) which means the organization is reimbursed at a fixed rate. The district says on average, Medicare only covers 82% of the cost of care, forcing the hospital district to find supplemental funding.

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“With the rising costs of healthcare supplies and labor, expenses have outpaced revenue since the COVID-19 pandemic began in 2020. For example, in 2024, it cost over $330,000 per day ($122M per year) to operate Island Health— a 21% increase over pre-pandemic expenses in 2020,” the news release says.

Island Health says the levy would provide funding for the equipment and facility improvements needed to increase access to critical healthcare services in our rural community, such as 24/7 emergency and intensive care, as well as expand access to specialized care such as cardiology, mental health, obstetrics, orthopedics, pulmonology, senior care and urology.