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In a joint statement released on November 12, Florida State University and Tallahassee Memorial Healthcare rejected rumors of a hospital taxing district, saying their academic medical center plan requires no new taxes as negotiations continue.

FSU and TMH are working to finalize a partnership to create an academic medical center. City leaders and state officials have said the creation of an academic medical center could reshape Tallahassee’s health care landscape, expand specialized care, and spur new economic development tied to research, workforce training, and biotech.

But this week, negotiations were overshadowed by talk about a special hospital taxing district.

“Let us be clear: Florida State University and Tallahassee Memorial Healthcare do not support the creation of a special hospital taxing district in Leon County or anywhere else…Our focus remains on strengthening our partnership to establish an academic health center that will serve the entire Tallahassee community,” the statement reads.

“This collaboration will enhance health care access, advance medical education, and improve health outcomes for all residents. Taxes have never been a part of our conversations, and they never will.”

The statement came after days of online debate, political speculation and questions about behind-the-scenes negotiations which include the future governing structure of a final deal.

The discussion of a possible tax was related to a private discussion among interested parties that became public. The discussion was focused on the relationship structure between Tampa General Hospital (TGH) and the University of South Florida (USF), who are longtime academic partners.

Several people have held up the relationship as a model for FSU and TMH to follow. TMH CEO Mark O’Bryant brought up the TGH-USF partnership at a luncheon meeting with the Network of Entrepreneurs and Business Advocates.

Under the TGH-USF model, the two entities co-exist without one owning the other. This approach appeals to some, like City Commissioner Jack Porter who is against FSU purchasing TMH or the hospital assets currently owned by the city. Porter inquired about the TGH-USF model during a recent city commission meeting.

However, until now, the discussions about the TGH-USF relationship never addressed the existence of a healthcare tax.

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