Florida Amendment 3 could cost Broward hospitals more than $100 million, report warns

Two major South Florida hospital systems could lose more than $100 million in combined revenue over the next three years if Florida voters approve Amendment 3, according to a new report warning that the proposed property tax changes could affect patient care.

The Florida Policy Institute, a nonprofit organization that researches state policies and budgets, estimates that Broward Health could lose $100.4 million in revenue over three years, while Memorial Healthcare System could lose $2.2 million during the same period.

The report warns that the potential funding reductions could lead to longer wait times, reduced access to care and other changes to hospital services.

Amendment 3, which will appear on the Nov. 3 ballot, would increase the property tax exemption for primary residences, potentially lowering tax bills for homeowners while reducing revenue for public services.

Under the proposal, the taxable value of a primary residence would be reduced by an additional $150,000 in 2027 and $250,000 in 2028.

Concerns over hospital funding and patient care

Janna Lhota, board chair of the Greater Fort Lauderdale Chamber of Commerce, said the proposed changes could significantly affect the property tax revenue supporting Broward's two public hospital systems.

"So in year two, when it rises up to $250,000 as a deduction, the North Broward Hospital District is going to see a 17% reduction in total tax impact, with South Broward having a 21.3% impact," Lhota said.

Lhota noted that Broward Health and Memorial Healthcare System serve as safety-net hospitals, providing care to patients regardless of their ability to pay.

She questioned whether the hospitals would have to reduce services or shift additional costs to insured patients to make up for lost revenue.

"The fact that they still have to provide that service and are seeing that significant of a reduction, likely means that the other users of that system are going to see increased cost because, again, they still need to provide the service even if the revenue source is not there," Lhota said.

Longtime Broward Health patient worries about potential cuts

For Walter Rasor, who has been a Broward Health patient for decades, the possibility of reduced hospital services is particularly concerning.

"Services are supremely important, especially to us. We're elderly, we're in an elderly community," Rasor said.

"Do we need that money at Broward Health? Absolutely," he added.

Rasor said he plans to vote against Amendment 3 but remains concerned about what could happen if voters approve the measure.

He also questioned why hospitals have not provided more specific information about how they would respond to potential funding reductions.

"We don't have enough information from the services themselves to say exactly what they're going to do if this goes through," Rasor said. "I've heard there's possibilities of cutting this, there's possibilities of cutting that. But I haven't seen specifics from here's what we would do, here's how we would cut, here's what you're not going to have or here's what you are going to have."

While the Florida Policy Institute's report outlines potential financial consequences, it remains unclear what specific services, if any, would be affected at either hospital system.

CBS News Miami contacted Broward Health and Memorial Healthcare System to ask what changes patients could expect if Amendment 3 passes. Both hospital systems declined to comment.