Dear Editor:
We thought it would be helpful to provide information about Verdant Health Commission’s funding sources and purpose based on a recent letter to the editor. The Hospital District’s revenue is currently a combination of rental income, interest income on reserves and tax revenue. There are several reasons why Verdant Health Commission is continuing to collect tax revenue.
First, the levy revenue secures the District’s bonds. This levy is collateral for the 2012 Limited Tax General Obligation Bonds. As Verdant paid off prior bonds, the money collected from the District has been reduced from $4.19 million to $2.16 million. If the District repealed its levy, it would be required to pay off the bonds in full ($5,160,000), including an early payoff penalty. The interest rate is approximately 1.65% on these bonds, which come due on December 1, 2020. These bonds cannot be refinanced at a lower rate without levy.
Second, the taxpayers’ continued investment into this District reinforces the public ownership of the hospital campus and the mission of the Hospital District. The $2.16 million annually collected is leveraged by another $9.75 million in lease revenue, strengthening the work we’re able to do addressing health and wellness needs of our community. The actual cost equates to $0.09 per $1,000 of assessed value, or roughly $29.20 annually for a $300,000 home. Another way to think of it is $11 per person, per year. We encourage the public to look at the programs Verdant has supported and/or created and feel confident that that small amount is worth it for the community.
Lastly, to protect and preserve our community hospital, the District has a target for reserves of $40 million, and it plans to reach that figure by 2020. This is the amount necessary to operate the hospital for at least sixty days should a catastrophe occur.
Outstanding bonds will be repaid in the year 2020. The publicly elected Board of Commissioners may at that time reconsider the tax collection. Thank you for your interest in Verdant Health Commission.
Sincerely,
Fred Langer
Board President
Verdant Health Commission
What community hospital??? It has been turned over to Swedish. It’s more than time for Verdant to go away. It is a very poor use of limited tax dollars at this point. It is looking for a reason to continue its existence and, frankly, there is no l onger any justification for it.
I would like to see the following: 1. the initial source of “seed money” to get this going in the beginning: source of funding “rental income” means money was used to purchase property to in turn rent out, and the “reserves” referred to seem superfluous as long as taxes are still being collected.
2. a list of “grants” awarded, amounts and terms, mission statement for something other than altruistically informing the public what is best for everyone…..dietary choices in particular…..and technology usage…..and interacting with already existent organizations (seems duplicative)…..who is funding WHAT?
3. the number of people employed by this “commission.” Salary ranges-benefits, etc.
4. any federal funding, state funding, county funding, municipal funding?
Yes, many questions about Verdant Health that probably need looking into in my opinion. Many questions in regards to $$$$$$$$$$$$$$$$$$$. Of course!
I find Verdant to be a tremendous asset to our community. They support a number of programs without fanfare. This is one organization that benefits the community as whole in areas of health and wellness.
They continue to play a lead role in helping the South Snohomish County area improve programs that combat obesity – which will improve Type 2 Diabetes. They have assisted in providing funds that help address lower income and the aging population get connected with vital resources, thus freeing up our EMTs to handle more life threatening issues.
These are just a couple of areas they assist.
My suggestion is to be informed – fine to ask questions, but do your research. When you do, you’ll likely become an ambassador.
I agree with Mike Schindler. Verdant does a great job of offering free/low cost health and wellness information and classes to the community. Their classes are practical and useful. There is a list of all the community programs they have been involved with on their website. Check it out, attend a class and judge for yourself.