Allen County Commissioners were urged to settle on a site for a new hospital sooner rather than later at Tuesday’s commission meeting.
“I often get asked where the hospital would be,” said Mary Kay Heard, a member of the Allen County Healthcare Committee. “That’s one thing people want to know when I ask them to support a new hospital.”
“Our goal is to announce a site as soon as possible,” said Commission Chairman Gary McIntosh.
“Hopefully within 30 to 60 days,” said Commissioner Rob Francis, perhaps unaware that the election is 41 days away.
“I’m thinking more like 30 days,” said McIntosh.
He said details remained to be resolved for two sites being considered. One is along U.S. 54 in the area of The Family Physicians clinic, 1408 East St., and the other is at the far east end of Carpenter Street, north of U.S. 54 along U.S. 169. The East Street site has the advantage of having utilities and other infrastructure in place.
Heard also noted that individually she had collected names of 250 Allen Countians who intended to vote for passage of the quarter-cent sales tax.
Supporters think they need commitments from 3,000 voters, a little more than half of those who voted in the last countywide election, to feel comfortable going into the referendum.
The county has nearly 9,000 registered voters, County Clerk Sherrie Riebel said, which prompted her to order 7,000 ballots for Nov. 2. Non-presidential elections seldom have a large turnout, which 7,000 voters would be, but Riebel thinks the sales tax and a vote in Iola to decide once and for all the size of the city governing body will spur voters.
COMMISSIONERS have three options for construction of a new hospital.
Phil Shultz, associated with the consulting firm Health Facilities Group, said they could follow the path well traveled by having an architect design the structure, ask for bids and then select a contractor.
Two other methods, which had gained in popularity in recent years, are design-build and construction management, either of which would give commissioners specific project costs upfront. In addition to having guaranteed prices, any savings that might occur would be returned to the county.
Construction management, which Shultz mentioned more often, has a firm provide construction leadership and perform administrative and management within a defined scope of services. Shultz said he recently was associated with a construction management project that ended 37 days ahead of schedule, 3.3 percent under budget and with no change orders.
Commissioners didn’t say when they might decide on a construction method, but that they should be prepared to proceed if voters approve the quarter-cent sales tax in the Nov. 2 referendum.
COMMISSIONERS said, at the recommendation of County Counselor Alan Weber, they would hire an attorney who specializes in healthcare issues to help guide them through legal issues in construction of a new hospital.
The attorney likely will be brought on board ahead of the referendum so that all things pertinent to construction of a new hospital could accelerate on Nov. 3, the day after the vote on the sales tax.
Revenue from the countywide quarter-cent sales tax, together with up to $350,000 generated by a half-cent Iola sales tax, will meet debt service for a loan for maintenance and operation of the hospital when the county takes the reins. Commissioners have been assured that hospital profits — they’re in the $1.5 million a year range today — and Medicare reimbursement for construction of a critical access hospital will be sufficient to make payments on about $25 million in bonds to pay for construction and equipping of a new hospital.
When the county assumes full control, a board of directors will decide the administrative team. Lundstrom said it would be appropriate for commissioners to have a list of potential directors ahead of the election, so that a board could be formed and operational immediately after the election.
