Why are these organizations offering to buy Sierra Kings Hospital and not KVHD?
I've only been able to get a few answers today regarding a possibility of leasing or buying the Kern Valley Hospital District, and there's good news and bad news.
First off, I found out that there is no reason we as a community could not convert from government to private healthcare.
In many cases, I've been told, that is a remedy which could work both for the community and the employees who "usually make more money" under the helm of a hospital which is privately funded.
Good things such as administration changes can turn around a lowly hospital and bring it back to life.
Because of the contract with Cal Mtg. the insurer of the 1986 "revenue bonds" it may not be possible unless they agree with the modifications as well as paying off the debt.
But the bad new is that because of the legal troubles currently facing the Kern Valley Healthcare District, and it's lack of collateral (except for the community's money) it may not be able to find a buyer or someone to lease and lead the hospital away from it's history of financial problems.
There are also maybe issues with the reimbursement structure, the medi-cal program, and "other things to consider."
I've been given some homework to look up certain statutes which directly apply to our ability to even consider this transition.
But it was also mentioned that the "new healthcare reform" may be holding up many deals on wheels regarding hospitals.
Now, for another possibility is to keep it government owned and utilize a 501 C3 contractor who would lease the facility and continue to be able to utilize types of government programs.
The major concern regarding this problem of finding a solution to fit the community and to keep our hospital not only open, but safe and properly staffed, is the spector of lawsuits and continuing hardship in the valley. Our demographics and loss of employment will not entice a buyer, unless it's a garage sale priced deal.
We heard at the board meeting August 4th from a disembodied attorney's voice over the phone, that indeed, these GOB monies could be garnished for lawsuits and I'm going to confirm that fact as well.
So, friends and neighbors, there may be no solid answer at this late date to solve the problems with the hospital only more risks.
There is no guarantee that this bond with only a partial payment on the debt burden, a two million dollar loan with interest, loss of reimbursement from Medicare to the tune of 1.6 million said, CFO Chet Beedle, payments on the loans and the ten year issuance of these bonds, a construction project overseen by OSHPD that must be completed in a certain time frame, could be just like the last time in 1986 when they issued the same amount of bonds, 22 million. (Kind of makes you wonder about this thing)
Oh, and don't forget the people who did our community survery, Caldwell, Flores and Winters are not just getting the payment of $15,000, for the apparently irritating and repetitious phone calls, they will take a percentage of the bond monies they sell too.
So, many will have their hands in the pot of gold provided by the community. There will be lots of promises between now and November, but there will be lot's of other things as well.
Does anyone ever take responsibility? Will this board tell you they were wrong if they did something wrong so as to correct the situation before it develops into a disease?
Will they be here 30 years from now?
The answer comes to light as 22 year board member, Brad Armstrong dodged the show the other night at the meeting, not stepping up to fulfill what one audience member reminded, "the fudiciary responsibility" of our representatives.
Will the board be willing to put our money where their mouths are?
No. So far, it's all been fingers pointing at one another.
I'm sure as Armstrong didn't have any answers from his experience with putting us in debt, he had no idea how to get out of it and his presence wasn't necessary.
Whatever happens next is a gamble. And the odds are not in our favor.
Persistance and Tenacity, requires a new chapter, a new beginning....
The money received over 20 years ago was not a GOB like some people think. It was a loan the hospital took out against the assets of the hospital. The community did nothing to assist the hospital in getting that money or paying it back and don't argue that the co-pays you pay when you come to the hospital do anything more then keep the lights on. The community has had a service which they have done nothing to support financially for over 40 years. But we have people spouting off such idiots comments like "we already gave them money before" or "were not bailing them out". The GOB is not a bailout. It's about picking up your fairshare on somthing that hasn't ever been done. The bailouts everyone is comparing this GOB to were for companys that needed billions of dollars where maybe 1% or less of the population that was asked to pay up had any kind of interest in keeping that company around. As far as a private company coming in to buy the hospital' yeah right! Private companies are in buisness to MAKE MONEY. Why would a company come in and buy a hospital already so upside down it can't refinance it's own debt. Also as a private buisness they can deny anyone they want to service. So unless you have great insurance or lots of cash its down to KMC you go. Maybe the skilled nursing facility would be bought up and the clinic and probably a out patient imaging center but other then not much else. Oh yeah maybe a Urgent Care center where the strongest meds they carry are chewable asperins. The GOB is needed to upgrade the facility and equipment to standards the community deserve but if people won't put up they need to shut up anout going to Bako for the rest of there medical needs or till they decide to leave the valley cause once the hospital is gone it's not coming back.
ReplyDeletemy gripe is this guy talking about something he absolutely knows nothing about. Please disregard him as my lifetime employment has been in health care and health care management, he is in another world. I'm so irritated about the raise for the management. I'm sick over it. I will not be quiet anymore, I agree with this blog and give it an A+ for tellign it like it is. I dont' care about this job its not worth it anymore. Have fun getting your moeny.
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