The Henry Hospital District Board of Directors unanimously approved its annual tax levy ordinance Tuesday, October 20, with Hammond-Henry Hospital requesting $998,953 in property taxes for the 2026 tax year.
The requested levy represents a $47,479 increase over the previous year's $951,474 request, or approximately 5%. It continues a pattern of annual increases of nearly 5% over the past five years.
Since 2021, the hospital district's requested property tax levy has increased by $215,875, or approximately 27.6%.
According to Henry County tax computation records, the district requested $783,078 in 2021, followed by $822,154 in 2022, $863,179 in 2023, $906,252 in 2024, and $951,474 in 2025.
The hospital district operates Hammond-Henry Hospital in Geneseo and is a separate taxing district with authority to levy property taxes.
The board approved Tax Levy Ordinance No. 284 for the fiscal year beginning June 1, 2026, and ending May 31, 2027. The ordinance outlines the hospital's budgeted operating expenses, anticipated revenue, capital expenditures, debt obligations, and employee retirement contributions.
Under the ordinance, the hospital projects approximately $60.49 million in operating expenses against $67.51 million in estimated revenue from hospital operations and related services.
The document also includes $1.39 million for capital equipment, $695,200 for capital improvements, approximately $1.42 million in bond principal and interest payments, and $1.41 million in contributions to the Illinois Municipal Retirement Fund (IMRF).
While the hospital's property tax levy request of $998,953 has been confirmed, the approved ordinance does not specify how that revenue will be allocated. It remains unclear whether the levy will be used exclusively for retirement obligations or whether any portion will support other district expenses.
The hospital's overall operating budget and its property tax levy are separate financial measures. The $60.49 million in budgeted operating expenses does not represent the amount being requested from property taxpayers.
The levy request also does not necessarily represent the final amount collected. The amount ultimately extended onto property tax bills is determined through the county's property tax calculation process.
The hospital's levy request comes as its financial statements reflect operating challenges. Its draft financial statements for the fiscal year ending May 31, 2026, reported an operating loss of approximately $4.87 million, including a pension-related actuarial adjustment.
Separate unaudited financial statements for the first four months of the current fiscal year reported an operating loss of approximately $605,000 through September 30, compared with a budgeted operating loss of approximately $56,000.
The 2026 request continues a five-year pattern of annual levy increases of approximately 5%, bringing the total requested amount to nearly $1 million. While the amount has been confirmed, additional information is needed from hospital administration regarding how the property tax revenue will be used.