Travis County Healthcare District, TX – Limited Tax Surveillance Report

Rating Summary

The long-term rating reflects the breadth and diversity of the Travis County Healthcare District’s (the “District’s” or “Central Health’s”) ad valorem tax base and the strong legal framework under which the Certificates of Obligation (the “Certificates”) are issued and secured. While the District’s operations are subject to pressures inherent in its role as the provider of healthcare services to Travis County’s (the “County’s”) indigent population, it is the sizable and growing tax base, strong limited tax pledge, and available capacity to raise the tax levy, that continue to provide primary support for the Certificates’ rating.

KBRA’s analysis of the District focuses on an assessment of the strength of the ad valorem tax construct, including the voter approved ad valorem taxes assessed on all taxable property within the District. Under the Texas Constitution and State of Texas (the “State”) law, hospital districts are the only type of local health care providers in the…