GCHD receives $245,000 legislative grant

POMEROY-The Garfield County Hospital District (GCHD) received a legislative grant in the amount of $245,000, earmarked for the Capital Improvement Project (CIP) of installation of a new electrical system and heating, ventilation and air-conditioning system for the old hospital portion of the building. A special GCHD meeting was convened on May 14, to discuss details of said project.

To ensure the total cost of the CIP is covered by grant money, Slaybaugh stated several other grant applications were in the works to pad the funds. While working on the $300,000 Murdock Foundation Grant application, in order to strengthen the request, the project needed to be tied to a provided service. The addition of a CT scanner was identified as the most needed, feasible service for the GCHD.

The Emergency Department (ED) has a significant need for the CT scanner because several conditions require a CT scan for proper diagnosis, including suspected stroke, which requires immediate action when presented. Also, the clinic providers frequently order CT scans, and with the addition of Dr. Iacobelli, the number of ordered CT scans is expected to increase. In the last year, Slaybaugh estimates that 65 outpatient referrals, as well as 37 ED referrals, were made to other facilities. In addition, 21 acute patients were referred out as well. Slaybaugh further estimates that these referrals could have brought the GCHD $19,651.21 net income.

Jim Heilsburg, Chief Financial Officer for the GCHD, stated that the income from CT scans would help raise revenue from Medicare and Medicaid reimbursements, too. Co-CEO, Jayd Keener added that when a patient is referred from the Pomeroy ED to Tri-State Hospital for a CT scan, they must be sent to Tri-State's ED, and the attending provider then refers them to radiology for the scan. This way, Tri-State may charge for the ED visit, as well as the radiology service, and the patient is also charged for the Pomeroy ED visit. Dr. Park stated that CT scans can rule out some suspected conditions, and when patients do not have to be sent out for a diagnosis, it would save them time and travel.

The proposed CIP would include the new electrical and HVAC systems, plus new construction of a CT room off of the east end of the existing building, and the purchase of a CT scanner. They would most likely begin with a 40-slice scanner, with the ability to upgrade to an 80-slice scanner in the future, which would be more expensive. Slaybaugh stated that the hospital currently has the adequate radiology staff needed to operate the CT, including one technician who is almost finished with CT certification, who could in turn assist in training other staff members. The staff could also work with neighboring facilities for training, and could begin as soon as the project is completed.

The estimated costs involved with the project include $125,000 for the construction of the additional room, $30,000 for electrical and wiring for the CT, $25,000 for interior remodel and finishing, $17,000 for permits and construction review, and $461,002 for the scanner itself, which totals $658,002 for the CT scanner portion of the project. The intention is to pay all costs of the project with grant funding, without expending any hospital district funds or asking for more public funds, at this time.

Wolf expressed concern that $125,000 would not cover all the costs of construction for the added room, and that there needs to be more discussion by the board before a decision is made. She added the board should be making the decision to commit to a project such as this, and then direct the CEOs to carry out the project as directed, not the reverse. Commissioner Jen Dixon stated that the GCHD should move forward with the project because the community would benefit from having a CT scanner located here.

Commissioner Mike Field added that a history of over 100 patients per year being sent out for CTs demonstrates a need for the service here. Commissioner Chris Herres was concerned that the public, who just approved a levy to keep the GCHD afloat, would view this project as an unwise expenditure. He would only favor the project if it can be guaranteed to be paid for with grant money. Heilsburg reminded the board that such a project would increase reimbursement money from Medicare, which also pays for interest from a loan, as well as a percentage of depreciation for the equipment and building.

The GCHD board approved the CIP for consideration, and to allow the CEOs to continue refining their estimates of cost and funding sources. Wolf also called for setting up a committee of hospital administration and two board members to review grant proposals, with a report to the board at each meeting.