Travis County voters approve health care property tax increase

Travis County voters gave a firm yes Tuesday to a property tax increase to support a new University of Texas medical school in Austin, rejecting arguments from poorly funded opponents who tried to rally anti-tax sentiment.

Proposition 1 was approved 54.7 percent to 45.3 percent, with 186,128 votes for and 154,308 opposed.

Proponents had the advantage of robust fundraising for numerous TV ads, a tireless campaign led by Democratic state Sen. Kirk Watson of Austin and support from business groups and Democratic clubs, not to mention reliably blue Travis County voters.

I always felt very strongly the people of Travis County would listen, see the benefit of what we wanted to do and rally around it, Watson said during a victory party at the Driskill Hotel.

We are ready to build a great medical center, which will be a great medical school and a great service to the people of Central Texas, UT President Bill Powers said.

Central Health officials pitched Proposition 1 as a once in a lifetime chance to help create a medical school and use its personnel to provide care to Central Healths indigent and uninsured patients. The money also would fund other health care projects while earning a big boost in federal dollars available for communities that improve their health care services to the indigent.

Opponents questioned the need for the medical school and complained that rising property taxes are pricing average homeowners out of Austin. The tax would increase the average homeowners tax bill for indigent health care by $107.40 to $276.79 in 2014.

Travis County residents have really big hearts, said Rosie Mendoza, chairwoman of the Central Health board, noting that local voters generally approve such taxes and bond issues. They know this need is here. They believe we will be able to bring increased services and better health care to this community.

Property taxes for health care would rise from 7.89 cents per $100 of assessed value to 12.9 cents, a 63 percent increase. That would generate $54 million, which Central Health plans to use as a local match in seeking up to $76 million in federal funding, for a possible total of $130 million for health care for the needy. Those amounts dont include a local match of $10 million to $15 million from Austin Travis County Integral Care, which officials announced Friday.

UT officials stepped up the pressure a month ago when they said that the fate of the medical school, which could open as early as 2015, depended on Prop. 1 passing.

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Travis County voters approve health care property tax increase

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