• Skagit County Public Hospital District, No. 2 (Island Health) was created in 1962 to build a hospital in Anacortes. The district includes Fidalgo, Cypress, Guemes and Sinclair Island residents.
• As a Public Hospital District (PHD), a portion of tax payer dollars support hospital maintenance and operations.
• Approximately 3% of Island Health’s revenue is from taxpayer dollars. Hospital levies help provide funds for the equipment and facilities needed to care for our district residents, advancing care in our community.

If approved, examples from our Strategic Plan include:

EQUIPMENT REPLACEMENTS & UPGRADES:

• Diagnostic Imaging: MRI; CAT Scan; Nuclear Medicine Camera; Ultrasounds
• Lab Automation

TECHNOLOGY:

• EMR Integrations
• Secure network infrastructure upgrades

FACILITIES:

• Surgical Services upgrades
• Expanded clinic space to support specialists
• Labor & Delivery updates (c-section room)

• Local, Critical Hospital Services, 24/7/365: As a community safety-net hospital, Island Health provides critical hospital services to residents of Skagit, San Juan and Island County 24 hours a day, 365 days of the year, including labor and delivery, trauma care and emergency services, and intensive hospital care. These life-saving services are critical to our community.
• Less Travel, Better Outcomes: When a member of our community needs healthcare, having essential and life-saving services available nearby is vitally important. Healthcare close to home means more convenience, less travel, better outcomes and more time with the ones you love.
• Highest Quality of Healthcare: Island Health is a 5-star hospital, rated by the Centers for Medicare and Medicaid. At the heart of our organization is the healthcare workforce that cares for our community each and every day. Reasonable and competitive wages, as well as organizational stability, are crucial to retaining and recruiting the people who take care of you to provide this 5-star care.
• Sustainable Healthcare: The levy will support flexibility for Island Health to develop enhanced healthcare services and programs, ensuring we can adapt to the evolving needs of our residents.

The levy rate will be set at 75¢ in 2026 based on the assessed property values. The levy does not expire but can only be increased by a maximum 1% per year regardless of property values without going out to district residents for a vote. The levy does not increase with assessed property values.

The last M&O levy lift request was voted on and passed in 2017.

The levy proposes a total M&O rate of 75¢ per $1,000 of assessed property value.

If passed, the M&O levy will provide an estimated $4 million annually to support the equipment, technology and facilities to provide essential healthcare services at Island Health.

Based on the average property value in Anacortes ($800,000), the levy would be an additional 89¢/day ($326/year).

Your property tax bill reflects two levies for Hospital District 2 (Island Health). The Bond Levy was passed by the voters of the district to pay the debt associated with the construction of the new hospital in 2004. This equates to 27¢. This levy will end in 2028. The remaining 34¢ is for the Maintenance & Operations levy. This is the levy that Island Health is requesting voters increase to 75¢. Ballots will be mailed on April 2 to vote on this initiative.

*Projected based on 2025 property values

Without additional funding, Island Health will not be able to grow with and respond to the community’s evolving healthcare needs. Other hospital districts and hospitals in our state have reduced critical services such as labor and delivery, mental health and specialized services, due to lack of funding. With your support, Island Health will be able to keep up with the rising costs associated with healthcare technology, equipment and facility updates to meet the critical needs of our community.

It will not. Our ability to provide cancer care is based on several factors related to federal and state designations as well as financial barriers. Advocacy at both federal and state levels continue to be a focus with a long-term goal of returning these services to our community.

Senior citizens or persons with disabilities may qualify for tax exemptions or tax deferrals. For more information on these options, please contact the Skagit County Assessor’s office at 360.416.1780 or visit https://www.skagitcounty.net/Departments/assessor/main.htm.

No. Both the Emergency Services Project (new helipad) and the new da Vinci 5 surgical robot were funding through federal grants and generous donations made through the Island Health Foundation. No operating dollars were used for these projects. You can read more about these projects in our latest issue of Heartbeats. Details on the surgical robot can be found here, and information on the Emergency Services Project can be viewed online here.

No. Island Orthopedics will be opening in May 2025. If approved, the increased levy rates will start in 2026.

All patients are able to use any hospital or healthcare provider they choose. With over 46,000 individuals utilizing our services each year, we are attracting patients from outside of our district due to our high quality of care and exceptional patient experience. This increased patient volume allows us to bolster the services that we’re able to offer locally. Because patients outside of our district choose Island Health, we are able to offer more specialty services in our community such as urology, orthopedics, pulmonology, gynecology and more. This allows our district residents to stay closer to home for their healthcare needs.

There are 58 public healthcare districts in Washington State, 39 of which operate public hospitals. Most communities within the state pay taxes to support local healthcare. Just as you are able to use Harborview, Skagit Regional, Whidbey Health or any hospital you choose, we appreciate everyone who chooses Island Health.