Cottage Hospital Rennovation
[ SBN-P 4/27/2005 ]:
Cottage clears last hurdle to renovation
4/27/05
By JOSHUA MOLINA
NEWS-PRESS STAFF WRITER
Hospital expects heavy construction to start in June
In a major milestone for the medical community and county residents, the Santa Barbara City Council on Tuesday unanimously approved the rebuilding of Santa Barbara Cottage Hospital, the largest and most expensive project in the city's history.
"We will now begin construction on what will be one of the best teaching hospitals in the country," said Cottage Health System Chief Executive Officer Ron Werft.
The approval came more than two years after Cottage proposed rebuilding the hospital in the Oak Park neighborhood on the upper Westside.
Tuesday's go-ahead was expected because the city and Cottage have been negotiating practically every detail of the project, which will result in a 337-bed hospital with two parking garages totaling 1,200 spaces.
For the first time, however, Cottage officials publicly suggested that they might need public money to help pay for the hospital. The project is expected to cost $413 million, but officials fear the price tag could be much higher.
"We may need your financial assistance," said Cottage board member Dr. Nicholas Vincent, who suggested the cost of the hospital may be as high as $460 million to $480 million. "This isn't done."
The revelation surprised Mayor Marty Blum. But she said that rebuilding Cottage Hospital is absolutely essential, and if Cottage needs financial help, then the city and its residents should consider chipping in.
Cottage had promised to pay for the project using no taxpayer dollars, relying on a plan to sell private bonds, use hospital reserves, spend money from its foundation and raise funds in the community.
"This is a community project, actually," the mayor said after the meeting. "We're working together on it, and we'll have to figure out how to pay for it together. If it is through bonding or private funds, maybe there's a way for the city to help. I am not sure."
After Tuesday's meeting, Mr. Werft emphasized that as of today, Cottage doesn't plan to use any taxpayer dollars. But around the state, he said, construction bids for hospitals are coming back 15 percent to 20 percent higher than some institutions had expected and it is possible that something similar could happen here.
"To the extent that the city will help, we would certainly appreciate it," Mr. Werft said.
Cottage expects to start heavy construction in June.
The hospital will remain open throughout construction, expected to last through 2013. Cottage is working to meet a state deadline that requires all hospitals to be able to withstand a major earthquake by that time.
Cottage assembled a who's who of political insiders, consultants, architects and power brokers to steer the project through the city's channels. Early on, many neighborhood residents complained about the effects of the hospital construction.
The medical center's team wore them down, however, and some of them moved from the neighborhood when they realized the project was unstoppable.
The nonprofit Cottage Health System operates the only three hospitals on the South Coast.
It purchased St. Francis Medical Center in 2001 after that hospital, bleeding red ink, shut down. Cottage plans to build below-market housing for its workers at the upper Eastside site.
As part of the approval, Cottage agreed to many expensive upgrades -- about $10 million worth -- that are unrelated to medical services, including putting utility wires underground, making dozens of road and sidewalk improvements, and installing an underground creek culvert to stop flooding in the area.
On Tuesday, Councilman Das Williams advanced a final request: Cottage agreed to operate a solar-powered water heating system at the Child Care Center, which is part of the hospital reconstruction.
The council members praised the hospital's efforts. Councilman Dan Secord did not vote because he owns property near the hospital.
Mr. Williams said he appreciated Cottage's willingness to give employees $75 a month if they do not drive their cars to work, in an attempt to encourage alternative transportation.
"Cottage is paying their employees not to drive," he said. "That's revolutionary."
The mayor said she doesn't know what she will be doing in 2013, but she looks forward to seeing the hospital completed.
"It's been a pleasure to work with Cottage Hospital," Mrs. Blum said. "You are making an amazing investment in this community."
e-mail: jmolina@newspress.com
AT A GLANCE
Santa Barbara Cottage Hospital's rebuilding project is expected to cost $413 million.
However, an increase in construction bids for similar projects around the state has officials worried that the price tag could end up as high as $460 million to $480 million.
The renovated hospital will have 337 beds and two parking garages with a total of 1,200 spaces.
Construction is set to begin in June and is expected to last through 2013. A state deadline requires all hospitals to be able to withstand a major earthquake by then.
MIKE ELIASON / NEWS-PRESS PHOTOS
[ SBN-P online edition:
Cottage clears last hurdle to renovation ]
Cottage clears last hurdle to renovation
4/27/05
By JOSHUA MOLINA
NEWS-PRESS STAFF WRITER
Hospital expects heavy construction to start in June
In a major milestone for the medical community and county residents, the Santa Barbara City Council on Tuesday unanimously approved the rebuilding of Santa Barbara Cottage Hospital, the largest and most expensive project in the city's history.
"We will now begin construction on what will be one of the best teaching hospitals in the country," said Cottage Health System Chief Executive Officer Ron Werft.
The approval came more than two years after Cottage proposed rebuilding the hospital in the Oak Park neighborhood on the upper Westside.
Tuesday's go-ahead was expected because the city and Cottage have been negotiating practically every detail of the project, which will result in a 337-bed hospital with two parking garages totaling 1,200 spaces.
For the first time, however, Cottage officials publicly suggested that they might need public money to help pay for the hospital. The project is expected to cost $413 million, but officials fear the price tag could be much higher.
"We may need your financial assistance," said Cottage board member Dr. Nicholas Vincent, who suggested the cost of the hospital may be as high as $460 million to $480 million. "This isn't done."
The revelation surprised Mayor Marty Blum. But she said that rebuilding Cottage Hospital is absolutely essential, and if Cottage needs financial help, then the city and its residents should consider chipping in.
Cottage had promised to pay for the project using no taxpayer dollars, relying on a plan to sell private bonds, use hospital reserves, spend money from its foundation and raise funds in the community.
"This is a community project, actually," the mayor said after the meeting. "We're working together on it, and we'll have to figure out how to pay for it together. If it is through bonding or private funds, maybe there's a way for the city to help. I am not sure."
After Tuesday's meeting, Mr. Werft emphasized that as of today, Cottage doesn't plan to use any taxpayer dollars. But around the state, he said, construction bids for hospitals are coming back 15 percent to 20 percent higher than some institutions had expected and it is possible that something similar could happen here.
"To the extent that the city will help, we would certainly appreciate it," Mr. Werft said.
Cottage expects to start heavy construction in June.
The hospital will remain open throughout construction, expected to last through 2013. Cottage is working to meet a state deadline that requires all hospitals to be able to withstand a major earthquake by that time.
Cottage assembled a who's who of political insiders, consultants, architects and power brokers to steer the project through the city's channels. Early on, many neighborhood residents complained about the effects of the hospital construction.
The medical center's team wore them down, however, and some of them moved from the neighborhood when they realized the project was unstoppable.
The nonprofit Cottage Health System operates the only three hospitals on the South Coast.
It purchased St. Francis Medical Center in 2001 after that hospital, bleeding red ink, shut down. Cottage plans to build below-market housing for its workers at the upper Eastside site.
As part of the approval, Cottage agreed to many expensive upgrades -- about $10 million worth -- that are unrelated to medical services, including putting utility wires underground, making dozens of road and sidewalk improvements, and installing an underground creek culvert to stop flooding in the area.
On Tuesday, Councilman Das Williams advanced a final request: Cottage agreed to operate a solar-powered water heating system at the Child Care Center, which is part of the hospital reconstruction.
The council members praised the hospital's efforts. Councilman Dan Secord did not vote because he owns property near the hospital.
Mr. Williams said he appreciated Cottage's willingness to give employees $75 a month if they do not drive their cars to work, in an attempt to encourage alternative transportation.
"Cottage is paying their employees not to drive," he said. "That's revolutionary."
The mayor said she doesn't know what she will be doing in 2013, but she looks forward to seeing the hospital completed.
"It's been a pleasure to work with Cottage Hospital," Mrs. Blum said. "You are making an amazing investment in this community."
e-mail: jmolina@newspress.com
AT A GLANCE
Santa Barbara Cottage Hospital's rebuilding project is expected to cost $413 million.
However, an increase in construction bids for similar projects around the state has officials worried that the price tag could end up as high as $460 million to $480 million.
The renovated hospital will have 337 beds and two parking garages with a total of 1,200 spaces.
Construction is set to begin in June and is expected to last through 2013. A state deadline requires all hospitals to be able to withstand a major earthquake by then.
MIKE ELIASON / NEWS-PRESS PHOTOS
[ SBN-P online edition:
Cottage clears last hurdle to renovation ]
Posted by Malcolm on
5/02/2005
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