ORLANDO, Fla. — Florida’s public hospital districts and health systems could lose an estimated $323 million in property-tax revenue over three years if voters approve Amendment 3, according to a new analysis.
The Florida Policy Institute report examined the possible effects on public health care systems that rely on property taxes to help provide care for uninsured and underinsured patients.
The organization identified five districts serving Central Florida and neighboring communities that could collectively lose an estimated $40.9 million:
- North Lake County Hospital District: $8.15 million
- Halifax Hospital Taxing District: $9.97 million
- Southeast Volusia Hospital Authority: $2.64 million
- West Volusia Hospital Authority: $11.25 million
- Indian River County Hospital District: $8.87 million
The North Lake County Hospital District helps fund AdventHealth Waterman, UF Health Leesburg Hospital, LifeStream Behavioral Center and several community health clinics. More than 90% of the district’s funding currently comes from property-tax revenue, according to the report.
The West Volusia Hospital Authority could lose more than half of its total revenue, the analysis found.
“Families rely on the local services that property taxes fund,” Florida Policy Institute CEO Sadaf Knight said. “In a state where access to affordable health care is already a major issue, Amendment 3 would make it harder for hospitals to serve our communities and families — especially folks who are uninsured or underinsured.”
Amendment 3 would create a new homestead exemption for non-school property taxes covering the first $150,000 of assessed value in 2027 and the first $250,000 beginning in 2028. The $250,000 exemption would be adjusted for inflation beginning in 2029.
The measure would also lower the annual assessment-increase cap on non-homestead properties, including second homes and commercial real estate, from 10% to 5%.
For qualifying homeowners, the changes would lower non-school property-tax bills by shielding more of a primary residence’s assessed value from taxation. However, local governments and certain special districts would collect less revenue.
A Florida House final analysis estimates the amendment’s recurring effect on local non-school property-tax revenue could eventually reach approximately $11.86 billion annually.
Florida Policy Institute warns that reduced hospital-district revenue could affect staffing, specialty services, emergency-room wait times and community programs. The analysis projects potential revenue losses, but it does not establish how individual districts would respond or which services, if any, would be reduced.
Twenty-eight hospital or health care taxing districts in Florida currently have the authority to levy property taxes. Some operate hospitals directly, while others contract with health care providers or fund community programs and indigent care.
Amendment 3 will appear on Florida’s November 2026 ballot. It must receive approval from at least 60% of voters to pass, according to Orange County’s overview of the proposal.
If approved, the constitutional changes would take effect Jan. 1, 2027.
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