The Basin Clinic Board of Directors and consultant Jason McCormick last week held community meetings to discuss their campaign to build a critical access hospital (CAH). The meetings were held over the course of three evenings, Aug. 18-20, in Paradox, Nucla and Redvale.
At the Redvale meeting, McCormick gave a presentation, which covered financial and general information about the proposed hospital.
Throughout the meeting, McCormick emphasized the importance of the community collaborating to complete the project.
“The only way to succeed in this region is to collaborate,” he said.
He said locals may feel that the proposed 20-mill levy “pays for itself” when they consider the risk of travelling for health care, cost of fuel and repeat trips, or having to move away from the area entirely to access the care they need.
McCormick said the hospital would likely have a positive impact on the local economy, adding that studies show the impact of a hospital on its local economy is two times greater than the hospital’s budget.
Voters will have to approve any additional capital debt required for building, and further details about building cannot be planned currently, as the governing board of the proposed special district will be responsible for such planning.
McCormick estimated that the cost to build a 65,000-square-foot facility would be $75 million. Under this estimation, annual payments would be $375,000, with monthly payments at $31,250 based on a loan at 5% for 30 years.
He reviewed some of the services the CAH could offer, including a swing-bed unit with nursing home services, a clinic, dental, emergency care, labs and imaging, and minor procedures such as colonoscopies and pain management.
On staffing the facility, McCormick said hiring three physicians and one nurse practitioner offers the professionals a good work-life balance. He later added that there are many incentives for professionals to move to the area, including new schools, affordability and close proximity to Telluride and Moab for recreation.
He discussed the importance of building a facility based upon the population’s needs, which he said creates profitability, as organizations that build bigger than their population’s needs struggle.
McCormick said CAHs rarely close, and closures mostly happen on the East Coast, where multiple hospitals are built in too close proximity to one another.
“I can say with all conviction, if you work together … you can build a critical access hospital and be successful,” said McCormick.
Board member Don Colcord wanted to be clear that the proposed 20-mill levy will pay for the district, not the hospital, which he said pays for itself.
McCormick added that the mill cannot be increased or decreased without a vote.
When asked how the hospital “pays for itself,” McCormick explained that unlike school districts, which use a general obligation loan, hospitals use a revenue bond. This means the entity has to ask the community for permission to go into debt. He said the community would not be agreeing to a tax; they would be agreeing to the district going into debt.
McCormick and the board plan to have more community meetings before their campaign is over.
Only two to three community members attended Redvale’s meeting. In a later comment to the Forum, Executive Director Christina Pierce said Paradox and Nucla meetings saw more turnout, with seven attending in Paradox and nearly 30 at Nucla’s meeting.
She said at those meetings, people asked a lot of questions.
On questions about staffing the CAH, she said they discussed the opportunity for local kids to pursue health care fields and return to the community to work.
Another big question was water and sewer. The executive director said Tim Pierce, of Mustang Water Authority, answered those questions, and the big takeaway was that the town has three ponds and is currently only using one full-time.
Approval of the proposal by voters in November will result in the formation of a hospital district and a new board to govern it. Those interested in being elected to the board need to complete and submit required forms to Christina Pierce by Aug. 28.
