Scripps Health to launch $2.6B expansion

https://www.beckershospitalreview.com/facilities-management/scripps-health-to-launch-2-6b-expansion.html

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San Diego-based Scripps Health is planning a $2.6 billion expansion — the largest construction project in the organization’s 125-year history.

The expansion will include constructing a $1.3 billion replacement hospital for Scripps Mercy Hospital San Diego; a new seven-story patient tower for San Diego-based Scripps Memorial Hospital La Jolla; and a three-story acute care structure at Scripps Memorial Hospital Encinitas (Calif.). In addition, seismic retrofitting construction is planned for Scripps Mercy Chula Vista (Calif.) and Scripps Green Hospital in San Diego.

“This is our vision to build the health care system of the future — starting today,” said Chris Van Gorder, Scripps president and CEO. “Our focus is on delivering the right care in the right setting that reflects the changing health care needs of the communities we serve across the San Diego region.”

Scripps Health will also build two Scripps MD Anderson outpatient cancer centers in a move to deepen its affiliation with Houston-based MD Anderson Cancer Center.

The expansion projects, none of which break ground until 2021, will be financed by operating revenues, borrowing and fundraising.

“As systems look to the coming decades, they are forced to make big bold choices now.  Do they want to still be dominant systems in 25 years and how much investment in structure and building is needed to remain a great system. This reflects a bold exciting choice by Scripps and its leadership,” said Scott Becker, JD, publisher of Becker’s Hospital Review. 

Banner Health secures $550M bond to finance construction of two hospitals

http://www.beckershospitalreview.com/facilities-management/banner-health-secures-550m-bond-to-finance-construction-of-two-hospitals.html

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Phoenix-based Banner Health secured a $550 million revenue bond issue to finance the construction of two new teaching hospitals in Tucson, Ariz., and Phoenix, according to Az Central.  

The bonds will be used to help finance $325 million of a new 16-story patient tower currently under construction at Banner University Medical Center in Phoenix, and another $225 million will finance the construction of a nine-story tower at Banner University Medical Center in Tucson.

When the construction is completed in Phoenix, the tower will house 256 inpatient beds, an emergency department, trauma center, operating rooms and lab space. The 16-story tower is expected to be completed by October 2018.

The new hospital tower in Tucson will replace the current hospital, include 200 patient rooms and provide new laboratories, operating rooms and diagnostic centers, according to The Daily Wildcat.

The Maricopa County Board of Supervisors approved the bond issue Sept. 6. Banner Health is obligated to pay off the bonds, under the agreement.

A Bygone Era: When Bipartisanship Led To Health Care Transformation

http://www.npr.org/sections/health-shots/2016/10/02/495775518/a-bygone-era-when-bipartisanship-led-to-health-care-transformation?utm_campaign=KHN%3A+First+Edition&utm_source=hs_email&utm_medium=email&utm_content=35220326&_hsenc=p2ANqtz-_Y4ev2QTsrH6TWQlVimlZP-SvZi73CIdcG5_Qc0FFbgg3uhW_LaYUI4SJlbWsfEbgZ1DvEpMbHHzNXkdzYm9iAtzxUOA&_hsmi=35220326

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People might be forgiven for thinking that the Affordable Care Act is the federal government’s boldest intrusion into the private business of health care.

But few know about a 70-year-old law that is responsible for the construction of much of our health system’s infrastructure. The law’s latest anniversary came and went without much notice in August.

The Hill-Burton Act was signed into law by President Harry S. Truman on August 13, 1946 — and its effect on health care in the U.S. was nothing short of monumental. Perhaps more importantly, it stands as an example, warts and all, of how a bipartisan Congress can forge compromises to bolster American infrastructure and boost the well-being of our people.

Known formally as the Hospital Survey and Construction Act, Hill-Burton started as a Truman initiative. In November 1945, only two months after the official end of World War II, he gave a speech to Congress outlining five goals to improve the nation’s health. The first and least controversial of these called for constructing hospitals and clinics to serve a growing and rapidly demilitarizing population.

Hill-Burton provided construction grants and loans to communities that could demonstrate viability — based on their population and per capita income — in the building of health care facilities. The idea was to build hospitals where they were needed and where they would be sustainable once their doors were open.

Over the subsequent decades, new facilities sprang up all around the country, including many in the 40 percent of U.S. counties that lacked hospitals in 1945.

By 1975, Hill-Burton had been responsible for construction of nearly one-third of U.S. hospitals. That year Hill-Burton was rolled into bigger legislation known as the Public Health Service Act. By the turn of the century, about 6,800 facilities in 4,000 communities had in some part been financed by the law. These included not only hospitals and clinics, but also rehabilitation centers and long-term care facilities.

In 1997, this type of direct, community-based federal health care construction financing came to an end. However, numerous Hill-Burton clinics and hospitals still exist around the country, specifically financed by a part of law to provide care to those unable to afford it.

A month after enactment of the law, Truman, a Democrat, appointed Republican Sen. Burton to the Supreme Court in a bipartisan gesture that doesn’t seem imaginable in today’s polarized political landscape. And consider this: Burton was unanimously approved by the entire Senate the same day he was appointed. With no committee hearings! He joined the court the very next day.

“Hill-Burton speaks to an earlier time in our history when the American people and those who represented them had confidence that government could do good things,” Markel said. “And that makes it all the more phenomenal to me.”