Texas AG Issues Opinion on Hospital District’s Tax Authority

The Texas Attorney General (AG) issued an opinion addressing the Hood County Hospital District’s authority to impose an ad valorem tax after years of not levying one due to lease agreements. The AG opined that the District’s authority to impose a tax under the Special District Local Laws Code does not conflict with the voters’ ability to limit a tax rate increase under Tax Code section 26.07. Additionally, Hood County’s obligation to provide health care services under the Health and Safety Code does not apply to residents within the Hospital District’s service area, even if the District maintains a zero ...