Board gives green light to $22 million hospital bond


Published on Tuesday, August 17, 2010 10:02 AM PDT

Susan Barr
Kern Valley Sun

Kern Valley Healthcare District Board of Directors have given the go-ahead to place a new $22 million general obligation bond on the November ballot.

Directors Kay Knight, Bob Jamison, Dr. Robert Gross, and Victoria Alwin voted in favor. Brad Armstrong was not present at the Aug. 4 meeting and therefore did not cast a vote.

Debora Peugh questions CFO Chet Beedle’s financial reports at the healthcare district’s Aug. 4 board meeting in Mt. Mesa.

In November 2006, voters rejected Measure M, which authorized $12.5 million to retrofit the hospital and meet new seismic requirements.

The measure fell short of the required two-thirds votes by less than one percent.

Speaking to a capacity crowd, Khushroo Gheyara of Caldwell, Flores and Winters addressed the board. Gheyara is senior vice president CFW, the same firm that successfully guided the Kernville Union School District through the passage of its $5.6 million improvement bond in 2004.

Gheyara offered up the district’s voter opinion phone survey results. Using a sample group of 366 valley residents, the lengthy questionaire was conducted July 29 through Aug. 2.

Directors and the local residents peppered Gheyara with questions. The bulk of the questions focused on how the sample group of survey-takers was selected and the survey questions’ wording.

“There is strong support for a potential bond measure,” Gheyara said. “According to the results of the survey 77 percent would vote for a bond measure to build a new emergency room and to improve other facilities.”

Gheyara said the survey also showed that forming an independent Citizen’s Oversight Committee could assuage voters’ concerns about how the money will be spent.

The committee’s responsibility would be to ensure that funds are spent solely on voter approved projects, with no money going for administrative salaries or bonuses.

CFO Chet Beedle said at an earlier meeting, the bond will be used, “To fund the cost of the construction in the emergency room and to make a meaningful reduction in the (existing) bond principle as we move forward with the bond obligation.”

He added that the average property owner could expect to see an increase of approximately $65 annually in their property taxes.

“Originally I was against the bond due to the current financial situation in the district, said Anne Litz of Squirrel Valley who attended the July 28 and Aug. 4 board meetings. “After everything that was presented at tonight’s meeting, I think the bond may be necessary after all.”

Also on the agenda was a merit pay increase for CEO Tim McGlew, whose currently annual salary is $203,000. McGlew remained in the meeting as board members and the public gave input on whether an increase was warranted and, if so, to what extent.

The board members reached consensus that McGlew had accomplished many of his goals since arriving at the district approximately one year ago.

Board chair Victoria Alwin and Gross were adamant in their support of a substantial increase, while the other trustees, Kay Knight and Jamison were more conservative. Ultimately an increase of five percent, or $10, 150 raise was agreed upon.

Comments

28 comment(s)

    Tom wrote on Sep 2, 2010 8:57 AM:

    " Owner, good points to consider. I am not aware of any significant accomplishments for his first year. Our population is about 22,000 for the Districts area of service. I agree, his salary is a little rich for our neighborhood. "

    owner wrote on Sep 1, 2010 6:28 PM:

    " You can not compare that way...

    KMC services a population of approx.
    345,000 people

    Kern valley services ????
    maybe 30,000 in a 30 mile raduis.

    If this is the case, WHY ARE THEY PAYING OUT 200k in 1 man's possition and for WHAT.An dont respond for, Well the man has a Degree and a diploma and and...Yuck smuck, Their are plenty of Colledge Grads that are capable of doing the same job for 130k. "

    Tom wrote on Aug 30, 2010 11:40 AM:

    " To "Home girl", I think you are correct on every point. To "Owner", all very good points to consider. I don't think a county run hospital is the best option though.. The last time I was at KMC was with my 10 year old boy and after being transfered from our ER to KMC ER, we waited over 24 hours for care. I do appreciate and respect your ideas and thoughts even if I don't agree with some of them. Thanks. "

    home girl wrote on Aug 28, 2010 12:36 AM:

    " while we all believe in personal responsibility, our little hospital receives federal funds and is in a rural area. I believe that means that they cannot legally turn anyone away and since we are in a remote rural area, we get an enhanced reimbursement.As for delivering an infant, the liability is enormous. No er doc wants to do this unless there is no choice. If I am wrong, please correct. "

    owner wrote on Aug 27, 2010 1:22 PM:

    " Look at this

    (1)Sherieff Dept (county owned with sub station)
    (2) CHP State ran, with access to county sub station
    (3) Fire depart. Ran by the county
    (4) we also have Dept. Forestry, BLM that is a goverment ran agency....
    (5) School distract's are ran under the umbrella of (Kern County)
    Why should we the tax payer be burden with the hospital expense,

    We need to have a county ran facility just like the other out laying county area's have, so the whole kern county area can help pay, just not us valley folk. "

    business owner wrote on Aug 27, 2010 1:01 PM:

    " To answe your question Tom,

    Had to have an Xray of my foot, The estimate to have the hospital do it was, $255.00 and another $55.00 dollars for truxton to read.

    Kern Radiology $65.00 plus $30 dollars for gas. Is that a no brianer to figure out.

    The hospital cant/wont deliver a newborn either, unless the newborn is pertruding from the womb.

    The hospital needs to claim BANKRUPTCY first, get rid of the OVER PAID staff and then ask US the taxpayer to help. Get rid of some existing debt with Bankruptcy. "

    Owner wrote on Aug 27, 2010 12:50 PM:

    " QMbWhy would the VOTERS want to help pay of existing morgage dept. Answer to that is to claim BANKRUPTCY.

    One of the reason I feel they are in DEBT. is that they are paying out to many 6 digit salary's that dont need to be paid out. Doesn't take a 6 digit salary to live here in our beautiful valley, and if you do need a 6 digit salary to live here, you have lived well beyond your means of life for here. "

    tom wrote on Aug 26, 2010 5:04 PM:

    " To answer your question. While a growing number of our residents do use the hospital services without paying,usually due to our overall economy and the inability to pay, that's not the intention of the bond. It's to payoff existing mortgage debt and to fund needed remodeling and improvements in the ER and radiology departments. This is not a simple issue. More information is needed. "

    Tom wrote on Aug 26, 2010 4:47 PM:

    " First, the Tom of Aug 26, 12:23 is not the Tom of Aug.23rd and 25th. Second, I would ask that "Business Owner", give it a little more thought. The comparison of health care to refuse processing seems like a poor one. I was at the Board Meeting and the proposed gerneral obligation bond tax is actually $75.00 per $100,000.00 of assesed value for 30 years. As I own several properties in our valley this tax would affect me significantly. Accurate information is the key to a good decisions. Don't get mad, get informed! "

    Tom wrote on Aug 26, 2010 12:23 PM:

    " Think of it this way,

    You pay a property tax/fee every year for a waste treatment (trash).

    If you want you can take you household trash to the waste management (dump) at no charge, Correct,

    Yes I am correct,

    Now with the new Tax proposal to collect 65 dollars per 100k, Will I be able to use the facility at no cost since I paying a Tax if it passes. "

    Tom wrote on Aug 25, 2010 9:25 AM:

    " Business Owner You are absolutley correct, there is a lot to think about. This is a very important issue to our valley. From the information I've gathered I believe the 90% number is incorrect. Only x-ray readings and a few lab test are outsourced. I don't understand the "200% over cost", where it's from or exactly what it means. I would very much appreciate clarification of these numbers. I to am trying to make an informed decision on this matter. Thank you for your participation and input in our community. "

    business owner wrote on Aug 23, 2010 1:53 PM:

    " Tom,

    So you are saying, For us homeowners to pay a property tax increase AND on top of that pay another 200% over cost of the services when we get sick.

    To me that dont seem FAIR. Do you forget
    that 90% of the services are sub contracted out, I.E. Radiology, Xrays are read by Truxton Radiology, not the hospital.

    Their is alot to think about before it get a YES vote from me, And everyone else should think about it that way too... "

    Tom wrote on Aug 22, 2010 9:00 AM:

    " The result of this election will have a significant impact on our community. Therefore I ask all my friends and neighbors to please make sure your vote is based on factual information, not emotion. Most of the comments and opinions currently on this site seemed to be based on inaccurate information. This is not a county hospital, therefore Kern County will not bail it out. Most of the patients treated at our hospital are local residents, not visitors. Since the downturn in our economy, significantly more of the patients have no insurance or way to pay "

    Truth of course wrote on Aug 19, 2010 12:12 PM:

    " Business Owner: Your cost will be $65 for every $100,000.00 worth of value of your tax, if your property is valued at $200,000.00 your tax would be doubled!
    Remember the "Solid Waste Management" Tax that was started years ago, somewhere in the early 1990's
    or so, well that was under $$25 per year when started, that one has risen to $74.64 per year! Another example is the Kernville School and the KV High school bonds which keep rising each year! We seniors have limited budgets and every raise affects how we live! "

    Business Owner wrote on Aug 16, 2010 5:34 PM:

    " Lets put it this way,

    My cost will be approx. $90.00 dollars a year for 20 years, Plus 200% over cost to use the the E.R. room.

    Think it will get my vote, everyone should look at it that way.

    LET THE COUNTY PROVIDE 100% of the funding. If the county can afford a sub-station for the sherrif dept., and pay the officer's to drive to the valley, Then the county can afford hospital upgrades, and dont kid yourself about the county not having a say so, or being billed for some services..... "

    get real Frank P. wrote on Aug 16, 2010 1:25 PM:

    " Frank, I have lived in Kernville for over 40 years and am an avid motorcycle rider. I have been to the hospital here twice. once was spraining my ankle while swimming at the river and once was a fishing accident (don't ask)
    I have seen other negative posts about dirt bikes from you! why? I am positive waaay more people are injured in the river or lake or hiking! "

    business owner wrote on Aug 16, 2010 1:16 PM:

    " To business owner,
    (1) Bond issue to create update woodrow wallace, Over Built
    (2)Kern Valley high Bond (for what)
    (3) Bike lane and Parking lane on Lake Isabella Blvd.

    I know where our taxes go, Like I said, LET THE COUNTY FOUND THE PROJECT, and lets make the whole county of kern, up everyone taxes in kern county, just not ours.

    Read and re-read before you type, Kern Valley only see's a faction of Tax money's collected from area residents. "

    Ann wrote on Aug 16, 2010 12:21 PM:

    " Would not a reasonable person conclude that the many problems within the administration of the hospital and the infighting amongst staff, Board, and the community be resolved and turned around before venturing into a huge monetary commitment? I have seen at least three CEOs take over since 2007. Rapid turnover is not a good sign of peachy keen conditions. And there has been quite a turnover, as well as legal issues, with the staff. Better to heal from within before taking on a major project that has already divided the residents of this valley. "

    to Business Owner wrote on Aug 15, 2010 8:43 AM:

    " OUR hospital is NOT a County facility! It is owned by the citizens of the valley.....hence "District". Geez....why don't you people educate yourselves? And, can you please tell me how you take care of people on welfare? More education needed....go find out where your Kern County taxes go to! "

    Truth of course wrote on Aug 14, 2010 11:38 PM:

    " Con and the person who writes "To Truth"
    you both should do your research as I have and know what the bond entails and what all the other proposals for bonds over the years have meant; most of you people who just came to this valley do not know the history, or you listen to someone who tells you erroneous history of the Healthcare District, beware of the naked man who offers you his shirt! "

    Business Owner wrote on Aug 14, 2010 10:13 PM:

    " Why should we as homeowners pay for a county facility. Get the COUNTY involved and Feds to build, This Tax is just like the School tax that built a big ole school with NO NEW kids, Over built for what,

    I pay enough in taxes and tired of taking care of the system welfare players. Wake up people it will not create jobs, outside contractors will be brought in, Contractors from LA area, dont be fooled...... "

    to Truth wrote on Aug 13, 2010 8:08 AM:

    " Once again you need further education. This bond is not about keeping the hospital open, it's not operating money...it's consruction money! Do we really need a new ER for 22,000,000? "

    Constitutionalist wrote on Aug 12, 2010 8:30 PM:

    " TTruth, less than 10% of the people in this valley own a home of $200,000 or more. Average is less than $100,000. Wake up. $65 bucks for a place to save your cheeks in an emergency? Dirt cheap.
    If you really want to help folks come up with the 130 bucks that own the rich homes, suggest they go on a diet and stop being obese. (28 % of the valley is Obese, not just fat.) Then they can ppay the 130 from saved food bills, and not need the ER quite so soon. "

    Truth of course wrote on Aug 11, 2010 11:34 PM:

    " Wendy, the community is not supporting this GOB yet! When they say $65 on your tax bill, they are talking about $65 per $100,000.00 of value, so if you have a home worth $200,000.00 your tax bill will be $130 for that GOB for that year! Better read first, don't believe the people who are connected or the board members that voted for it, if you vote for it, it will probably save the hospital from closing, but if you don't care, don't vote for it! "

    Not A Chance wrote on Aug 11, 2010 11:22 PM:

    " We cannot support any more taxes up here. "

    Frank Pinon wrote on Aug 11, 2010 1:43 PM:

    " Yeah, we need a new ER to take care of the flatland numbskulls that bust themselves up on their dirtbikes.
    People here cannot pay their propane and water bills. (Those that own homes). It will be interesting to see how folks vote come election day. I am looking for another bond turn down. "

    Peg wrote on Aug 11, 2010 11:47 AM:

    " This GO Bond was well considered by the members of the board prior to passing the measure for the November ballot. I believe in our hospital and Tim McGlew and I am hopeful that the residents of the Kern River Valley take the time to educate themselves about it so that they can make an informed decision in November. "

    Wendy Cody wrote on Aug 11, 2010 8:47 AM:

    " KV Healthcare District has needed an emergency room for a long time now! The present arrangement was never intended to be used for ER situations. It is great to see the community supporting this vital improvement. "

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