4-A | www.FreestoneCountyTimes.com
August 24, 2016
Community Investment in Local Medical Center:
Public Hearings Next Two Weeks on Proposed Tax Rate Increase Fairfield Hospital District (FHD) Board has been working diligently with the assistance of Community Hospital Corporation (CHC) to transition the medical center from ETMC to Freestone Medical Center. The official transition date scheduled for January 1, 2017. Public hearings will be held on Thursday, August 25th and Tuesday, August 30th to discuss the need for a tax rate increase. The meetings will be held at the Fairfield Community Center beginning at 6:00 p.m. Last year’s tax rate was set at .047129% per $100 of taxable value. The proposed rate is .10%. This is an 88% rise; yet still well under the average for tax rates throughout the state of Texas. Please join Board Members in discussing this very important matter. Message From the FHD Board Fairfield Hospital District (FHD), created by the Texas Legislature and a local citizen election in 1987, had an original tax rate of 12 cents. In 1998, the facility was leased to ETMC under a 10year lease. The lease was renewed in 2008. In December 2014, ETMC announced that they would not renew the lease. The tax rate had declined to less than 5 cents at this point in time. During the ETMC lease, a modern, updated ER, new Rural Health Clinic, new hospital wing and major hospital renovations with a value of nearly $16,000,000 have taken place through ETMC. The lease provides that all resources and equipment shall remain as property of FHD. Economic Impact Geographically, rural hospitals cover 85% of the state; and provide access to health care for rural citizens. The Affordable Care Act was not structured to support or benefit rural hospitals. For various reasons, twelve rural hospitals in Texas have closed over the last five years. Rural health care accounts for 15-20% of all jobs for both primary and secondary employment. The presence of one physician accounts for 8.4 jobs in the local economy. Health care services and quality schools are the most important factors for attracting new businesses, new residents and retirees to the area.
Local Impact ETMC-Fairfield (soon to be Freestone Medical Center) is a valuable economic engine for the community. In recent years, revenues of $13,393,383.69 have been earned by ETMC. The medical complex is served by 76 employees with an annual payroll/benefits package of more than $6 million dollars that is added to the local economy. It is estimated that every health care dollar spent locally recycles through the community at a rate of 1.5 times. The Emergency Department has an average of 700 clients per month (8,400 annually). The Rural Health Clinic averages 2,100 clients per month (25,200 per year). The average hospital population consistently averages 2.8 patients per day. Financial Forecast Community Hospital Corporation (CHC) has estimated that Freestone Medical Center will experience roughly a $2.5 million loss the first year of operation due primarily to start-up cost. A second year loss of $500,000 dollars is estimated. For the third year, CHC estimates that revenues should exceed operating expenses by $300,000 for a profitable year. Search for Partnerships Since December, 2014, the FHD Board has contacted several health care organizations about potential lease, management services and/or purchase. Recently the FHD entered into an Affiliation Agreement with Baylor Scott & White Health (BSW). BSW’s role will be to provide specialists and services that are not locally available; and assisting with educational resources and management guidance. The CEO of Hillcrest BSW will serve as an Ex Officio member of the FHD Board. The FHD Board is currently negotiating with CHC to provide long-term management services for the day to day operation of Freestone Medical Center. Start-up Cost In order for FMC to be a viable operation and to comply with Federal requirements, Freestone Medical Center must invest in a new Electronic Medical Record system (EMR). With recommendations from current staff; and after searching for the system most fitting the needs of FMC, the MedHost system was
selected at a cost of $1.45 million dollars. Despite the initial cost, the MedHost system will help FMC staff and physicians operate the facility accurately and economically. As with any time, an entity leaves, additional staff will also be added to fill various roles being vacated by ETMC-Tyler staff. Where We Go From Here All real property of the medical complex in Fairfield is fully owned by the Hospital District, is the permanent asset of the taxpayers of FHD and is debt free. No bonds or debt service exists on any asset of FHD. Citizens are blessed to have up-graded/new facilities, high quality medical staff and economic support of a Hospital District. A percentage of the current budget is dedicated to the legal responsibilities of the District for tax assessment, tax collections, and indigent care. Another portion of the FHD budget is devoted to Intergovernmental Transfers (IGT), which allows the District to participate in receiving matching funds that can be utilized to offset uncompensated care, a growing reality in today’s economy. Recently, the IGT function has contributed roughly $1 million per year to the hospital/clinic operation cost. The third major and new portion of the FHD budget is to provide money to support hospital operations for start-up costs related to technology and staffing. As required by law, the Board must equate the tax impact to the average taxable value of a residence homestead in the Fairfield Hospital District this year, which is $97,290.00. The effective rate for 2016 would be $0.053247 per $100 of taxable value. The amount of taxes imposed on the average home by the effective rate would be $51.81. The proposed tax rate of $0.10 per $100 of taxable value would cost the average homeowner in our District $97.29, or an increase of $45.48 per year. The increase would be $3.79 more per month or 12.4 cents per day. More common example: For every $100,000 of taxable value, the cost of $0.10 proposed rate would be an additional $46.75 per year. The increase would be $3.90 more per month or 12.8 cents per day.
Aldermen Stay in Budget, Increase Utility Rates County Adopts Budget “This is what I would call a spectacular report,” began Frank Steele, C.P.A. of Anderson, Marx, and Bohl, the accounting firm for the City of Teague. Steele delivered the findings of the 2014-2015 fiscal year audit at the August 15th meeting of the Teague City Council. He praised the City for maintaining a healthy budget during times of economic strain. Ultimately, results of the audit showed that the City finished the fiscal year with $350,000 of the projected general fund remaining, and collected $57,000 more in revenue, for a $407,000 increase to the general fund. Mayor Earnest Pack shared that a drop in revenue was anticipated and praised City administrators for their continued efforts to save money. “Good staff, good council,” he summed up. Mr. Steele expounded that, with most rural communities his firm represents producing no major growth, the key to financial balance is simply maintaining the “status quo”. “Of all of them [audits of rural cities] we’ve done, this is the best report we’ve seen.” Following the audit report, Aldermen voted to employ the firm of Anderson, Marx, and Bohl to conduct the audit for the 2015-2016 fiscal year as well. A motion to amend the 2015-2016 budget in the amount of $86,000 for engineer and contractor fees incurred during the South FM 80 Water Project was approved. Mayor Pack reported that this
expenditure will help the City keep their commitment, made when the annexation of South FM 80 took place, to provide adequate water for fire hydrants in that area. Furthermore, Mayor Pack received the Council’s approval to execute the engineering services proposal for the water project. A hearing was called to order to discuss the proposed 2016-2017 fiscal year budget. With a decrease in revenue of approximately $430,000 expected for the coming year, Mayor Pack announced that the Council was proposing an increase in water and sewer rates. The base rate for residential and commercial customers will increase from $17.33 per 2,000 gallons used will increase to $20, with sewer rates increased from $19.58 to $22.67. Overage rates will increase to $4.10 for each additional 1,000 gallons used. It is estimated that a four-person home will experience an increase of $15 - $20 per month on their water bill. With no public comments following the hearing, Aldermen voted to accept the proposed budget. Once again the Council entertained a request from the Teague Police Department, seeking relocation to the Halbert Building. Chief Dan Ramsey explained that the long vacant Halbert Building on Main Street offered the Department much more space than their current location at City Hall. With 4,500 square feet, the Halbert Building could also contain a larger evidence room, which Chief Ramsey
shared is much needed. Texas Department of Corrections inmates could be obtained to assist with clean-up, and officers and community volunteers have offered to help prepare the building for move in. Chief Ramsey believed that with their help, the new headquarters could be ready to receive the Teague Police Department in twelve months. Funds for the relocation have been allocated in the Department’s 20162017 budget. With this in mind, Aldermen voted unanimously to approve the move. Addressing the Council with public comments, Donna Senter told Aldermen of an individual who may be interested in funding restoration of the City’s pool. Mrs. Senter shared that the potential benefactor would request the pool be dedicated in memoriam of a family member and long-time resident of Teague. Mayor Pack informed the group that the Council plans to readdress the pool next month, and urged Mrs. Senter to work with City Administrator Judy Keally regarding this proposal. In other business, the Council extended the bid deadline for the Farmer’s Market property for thirty more days. A grant from the Teague Economic Development Corporation (EDC) in the amount of $22,500 was awarded to Rancho Nuevo Mexican Restaurant, with approval by the Council. Reportedly, the restaurant will use the money to pave the parking lot at their new location, 979 West Highway 84. Megan Hempel reporting.
Sets Tax Rate, Restricts High-Speed Rail & Lifts Burn Ban Freestone County Commissioners adopt the 2017 budget, set the tax rate for 2017; and unanimously approve to restrict Texas Central Railway when crossing Freestone County roads and/or right-of ways during regular and special called meetings over the past couple of weeks. Following several budget workshops, Commissioners voted to adopt the 2017 budget in the amount of $12,557,643.33. This budget, based on the new tax rate of 33.9%, will raise more revenue from property taxes than last year’s budget by $59,214.15, which is a 0.7% increase from last year’s budget. Property tax revenue to be raised from new property added to the tax roll this year is $109,170. The County currently has no debt obligations. In regard to Texas Central Railway’s High Speed Rail, Commissioners unanimously voted to require permits to be obtained and certain regulations to be followed when trying to cross any Freestone County roads and/ or right-of-ways. They must also be able to prove eminent domain when acquiring said permits. According to County Judge Linda Grant, the Surface Transportation Board states that the Federal Government lacks the authority to grant eminent domain power to Texas Central Railway. Commissioners discussed the fact that following much needed rain, the burn ban could be lifted for the time being; and voted to do so. They will revisit this issue at each meeting from this point forward. Early voting schedules were discussed and approved. Fairfield #1 and Liberty #12 have been combined
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HEAD START
NOW ENROLLING!
TAKING APPLICATIONS!!! (No Transportation Provided) Fairfield Head Start is now accepting applications for the 2016-2017 school year. Head Start is a pre-school offering excellent educational opportunities along with medical, dental, developmental, and nutritional benefits at no cost. The Head Start approach of individualized care and guidance is well suited to helping children with disabilities. Children between the ages of 3 and 5 may be eligible. There is no charge for participation in Head Start. Pick up your application now at the Head Start Center at 920 S. Bateman Street. For more information, call your local center at 903/389-2022 or Hill Country Community Action Association at 325/372-5167.
HEAD START
ESTA ACEPTANDO APLICACIONES!!! (Ningun Transporte Proporcionado) Fairfield Head Start esta aceptando aplicaciones para el ano 2016-2017. Head Start es una escuelita para ninos de edad 3-5 anos que califican. Head Start ofrece oportunidades excelentes para educacion y tambien beneficos de medico, dental, desarrollo, y de alimento. Head Start ofrece mucha ayuda para ninos y familias. No cuesta nada para que su nino atiende el programa de Head Start. Puede usted recojer ahora una aplicacion para solicitar un puesto en Head Start. Para mas informacion llame a la Head Start, 920 S. Bateman Street, # del telefono: 903/389-2022 or Hill Country Community Action Association at 325/372-5167.
and will be held at the Fairfield Conference Center. During Early Voting, registered voters may vote at any of the locations. Check online at the website listed below to view the full early voting schedule times and locations. Also covered at these meetings was an approval of rebids as pertains to road & bridge repairs and waste management. Commissioners approved to accept and enter into contracts with the following companies: Knife River, Frost Crushed Stone, Wilson Culverts, Contech, and Republic Services. Only one bid was received for the rebuilding of Freestone County Road 890’s bridge. This bid came from Neyland in the amount of $44,800.00; and was approved. Election Judges and Alternate Judges for September 1, 2016 through August 31, 2018 have been approved. Freestone County Child Protective Services Board members, Karen Daniels, Lovie Whyte, and Pamela Brackens-Barnes, were reappointed to the board through August of 2019. In addition to regular housekeeping items, Commissioners have also agreed to look into replacing jury seating in the District Courtroom. According to Judge Grant, TDCJ Inmates should be able to build custom seating that will be cost effective, much more comfortable, and aesthetically pleasing. To view a budget break down, tax rate information, Election Judges & Early Voting Schedules, or any other information pertaining to Freestone County, visit online at http://www. co.freestone.tx.us. Nicole Schaefer reporting
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