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Community Advisory Committee-Update and Community Interactions
The July 24th meeting was attended by eight community members. Our next meeting will be on August 28th, 2010 at 8:30 AM in the TVHD hospital conference room.

Construction Update
For the Board and community, here is a quick summary of current status:

Architectural Design –Our project manager/owner’s representative, Norm Clendenin, and our Architectural/Engineering/Design firm, Stephen Wen Associates (SWA), have received permission from OSHPD for “phased review.” They are also requesting a two-year extension to our seismic deadline. All plans except Civil engineering have been submitted to OSHPD and Civil will be submitted shortly. Allowing eighteen months for OSHPD approval, we hope to go out to RFP for construction in late 2011 or early 2012 with project completion in 2014.

Bond Issue(s) – As previously reported, we had approximately $16.5 million in the bank (with accrued interest) from the sale of the 2004 GO Bond authorization to sell $15 million. Along with contributions and gifts these monies totaled approximately $17 million before we started paying for design and project management services on the new hospital. We expect the full cost of the new hospital, including soft costs and equipment, etc. to total approximately $71 million. We sought and won a $50 million GO Bond authorization approval on November 3rd, 2009 to allow us to build the new facility, with the balance of funding to come from operations. We don’t anticipate selling the $50 million in bonds until that money is needed and/or when the bond interest rates are most favorable to minimize the burden on taxpayers.

California Environmental Quality Act (CEQA) –Karen Northcutt is under contract to perform our CEQA review and compile our report. Now that we have our site and alternate site plans and designs finalized, Karen is working to complete the CEQA study and will provide us with her observations and recommendations as soon as possible. Then the Board will need to determine whether they can make a “negative declaration” or, more likely, proceed with an Environmental Impact Report (EIR). Scott Navé, Norm Clendenin and I have all been in contact with Ms. Northcutt and are working with her to expedite the review and/or report. In July we met with Ms. Northcutt and her associate in a joint meeting with SWA and the City of Tehachapi.

Capital Hills Site – We continue to work closely with Tehachapi City officials to work towards making the Capital Hills site the home of our new hospital complex. The City has designated our new hospital a street address of 2000 Magellan Drive. We have also been offered the donation of a site in Golden Hills, as an alternate site should one be necessary. It is very clear that Capital Hills is our preferred site and expected home of the new hospital. As soon as possible we will proceed with rescheduling the Land Development Committee meeting with the City of Tehachapi. We have met since the board decision with City officials and will continue to meet with them on an ongoing basis until the new hospital is completed.

Skilled Nursing
Skilled Nursing Facility – The District still needs to make a determination whether we will continue to “swing beds” to long term care patients in the new hospital or whether we want to borrow additional funds to build a nursing home, or contract with a third party to build and operate one on our property. In any event, it is clear we will not simply turn our backs
on our LTC residents. I provided the Board a position paper for their review in December. Joe Demont is working up a business plan and analysis to assist the Board in coming to a decision in this matter. We hope to select one of several firms that have expressed an interest in constructing a Nursing Home, so we won’t have to “swing” the majority of our acute beds to LTC patients in our new hospital.

Contract Negotiations
Blue Shield – Blue Shield notified us that they want to renegotiate their contract. Joe Demont and Mary (Carleen) Warrack analyzed the numbers and were working with Blue Shield. Right now, it does not appear to be in our best interest to renegotiate rates.

GemCare – Joe Demont and Carleen Warrack are still working with Stephen Linesch to revise our MOA with GemCare for the new members and all GemCare beneficiaries/participants. There has been very little progress this past month, and still no final contract is in sight.

IMG Contract – Independence Medical Group (IMG) has a contract with the TVHD Rural Family Health Clinics. They notified us that we were in violation of our agreement because we were sending their patients to IMG-contracted facilities for lab and x-ray services even though we had the ability to provide these services at our hospital. We had our contract reviewed by legal and that review confirmed we had a contract for clinic services ONLY and NOT for hospital based services. Mr. Demont wrote back to IMG informing them of our disagreement over their concerns, sharing our position, and requesting that if they want to include our hospital services in the contract we renegotiate the contract and our rates; alternatively they could take our rejection of their argument as notice of Termination of Contract and serve 120-day notice. They chose the latter. Since then, Gary Bohamed and I have emailed back and forth and met to try to salvage our contractual relationship.

Pharmacist’s Contract –Kim Hoffman, PharmD is our contract pharmacist. Her current contract expired last October and we are working with her either to renew her contract this year or go out to hire a full-time pharmacist’s services and then contract for on-call pharmacist only. Andrew Petty, RN supervises this service and heads this negotiation.

Residents’ Prescriptions – Kim Smith, PharmD and Andrew Petty, R.N., released an RFP on April 28th,, 2009. Sav-On was the only proposal for the pharmacy contract for our LTC patients’ prescriptions at that time, but they never followed up with a contract. K-Mart elected not to submit a revised proposal. Andrew and Kim reviewed proposals from “OmniCare” and from “Dawn’s Pharmacy” in Tehachapi. After careful analysis, they selected “Dawn’s Pharmacy” and they were working with Scott Navé, Joe Demont and Mary (Carleen) Warrack, to finalize a contract. Dawn’s Pharmacy has since closed, so we are reaching out to other area pharmacies. Meanwhile, we work with K-Mart’s pharmacy, without the benefit of a contract.

Hospital Information System
Our current and projected health information system needs exceed the capabilities of our current Mardon Health Information System. We are exploring their new product and other vendors’ products to determine the best long-range solution to our HIS needs (including a “meaningful use” electronic health record or EHR) for the future. We had nine Hospital Information System (HIS) vendors’ responses to our Request for Proposals for a replacement HIS. Joe Demont, Eric Tescher and Dusty Colvard have taken the lead over this lengthy initial review and evaluation process; Taqueena Hall will now join the review team. The final selection process will include clinical visits to sites using the proposed systems. The selected vendor will have to be approved by the TVHD Board of Directors. The conversion is expected to take at least a year and be very costly (as much as $3 million), but much of the cost will be reimbursed either under the patient protection and affordable care act (PPACA), ARRA or under our Medicare cost-based reimbursements, etc.

Physician Services
As discussed previously, SB 726 was pulled from the Assembly docket in return for guaranteed support from Assembly Speaker Perez when it is reintroduced (see attachment). This week the key players met and discussed the proposal and ways to modify it so all the parties could agree to support it (by limiting the number of MDs to be hired per facility to two, by limiting which facilities could do so, etc.). The bill was subsequently approved by the State Assembly and is now back in the Senate where the California Medical Association has launched an all-out effort to defeat the bill. Meanwhile, we have had inquiries from physicians interested in practicing in Tehachapi: a pediatrician whose husband will be working in Bakersfield and who expects to be moving to the Hart Flats area, a cardiologist who wants to do echocardiography locally and see cardiology patients in Tehachapi, and a gastroenterologist who wants to perform colonoscopies in our present hospital. We have been without the services of a podiatrist to care for our LTC residents that occupy our “swing beds” for nearly six months. We have contacted nearly every podiatric group in Bakersfield, Lancaster and Palmdale. I personally contacted a podiatrist I had met, and we now have a podiatrist, Dr. Holly Spohn-Gross, DPM, from the Kernville area who is (finally) providing these services to our residents.

Surgical Services
So far, none of the local gastroenterologists or surgeons have shown any interest in pursuing a conscious sedation (colonoscopy) business line in our current operating suite. I will be taking on this project, but right now other priorities supersede this initiative. We still need to move a few functions around to accommodate re-opening surgery.

Sincerely,
Alan J. Burgess, FACHE, CFAAMA
Diplomate in Healthcare Administration
Chief Executive Officer, Tehachapi Hospital
Tehachapi Valley Healthcare District
115 West "E" Street, P.O. Box 1900
Tehachapi, CA 93581-1900
Work (661) 823-3001
Fax (661) 823-3082

26August2010

Community Advisory Committee-Update and Community Interactions
The May 22nd meeting was attended by eight community members. Because of the Board trip to Lompoc Valley Medical Center on June 26th, the June CAC meeting is cancelled. Our next meeting will be on July 24th, 2010 at 8:30 AM in the TVHD hospital conference room.

Construction Update
For the Board and community, here is a quick summary of current status:

Architectural Design
 Our project manager, Norm Clendenin, and our Architectural/ Engineering/Design firm, Stephen Wen Associates (SWA), have received permission from OSHPD for “phased review.” They are also requesting a two-year extension to our seismic deadline. Allowing eighteen months for approval, we hope to break ground in the late 2011 or early 2012 with project completion in 2014.

Bond Issue(s)
 As previously reported, we had approximately $16.5 million in the bank (with accrued interest) from the sale of the 2004 GO Bond authorization to sell $15 million. Along with contributions and gifts these monies totaled approximately $17 million before we started paying for design and project management services on the new hospital. We expect the full cost of the new hospital, including soft costs and equipment, etc. to total approximately $71 million. We sought and won a $50 million GO Bond authorization approval on November 3rd, 2009 to allow us to build the new facility, with the balance of funding to come from operations. We don’t anticipate selling the $50 million in bonds until that money is needed and when the bond interest rates are most favorable to minimize the burden on taxpayers.

California Environmental Quality Act (CEQA)
Karen Northcutt is under contract to perform our CEQA review and compile our report. Now that we have our site and alternate site plans and designs finalized, Karen is working to complete the CEQA study and will provide us with her observations and recommendations as soon as possible. Then the Board will need to determine whether they can make a “negative declaration” or, more likely, proceed with an Environmental Impact Report (EIR). Scott Navé, Norm Clendenin and I have all been in contact with Ms. Northcutt and are working with her to expedite the review and/or report.

Capital Hills Site
We continue to work closely with Tehachapi City officials to work towards making the Capital Hills site the home of our new hospital complex. The City has designated our new hospital a street address of 2000 Magellan Drive. We have also been offered the donation of a site in Golden Hills, as an alternate site should one be necessary. As of the last Board meeting, it is clear that Capital Hills is our preferred site and expected home of the new hospital. Once we have full appraisals for both sites, we will know when to proceed with rescheduling the Land Development Committee meeting with the City of Tehachapi. We have met since the board decision with City officials and will continue to meet with them on an ongoing basis until the new hospital is completed.

Contract Negotiations:
Blue Shield
Blue Shield notified us that they want to renegotiate their contract. Joe Demont and Mary (Carleen) Warrack are analyzing the numbers and working with Blue Shield. Right now, it does not appear to be in our best interest to renegotiate rates.

Drug Room Services
Kim Smith, PharmD and Andrew Petty, R.N., released an RFP on April 28th,, 2009. Sav-On was the only proposal for the pharmacy contract for our LTC patients’ prescriptions at that time, but they never followed up with a contract. K-Mart elected not to submit a revised proposal. Andrew and Kim reviewed proposals from “OmniCare” and from “Dawn’s Pharmacy” in Tehachapi. After careful analysis, they selected “Dawn’s Pharmacy” and they are working with Scott Navé, Joe Demont and Mary (Carleen) Warrack, to finalize a contract.

GemCare
 Joe Demont and Carleen Warrack are still working with Stephen Linesch to revise our MOA with GemCare for the new members and all GemCare beneficiaries/participants. There has been little progress this past month, and still no final contract.

Hospital Information System
Our current and projected health information system needs exceed the capabilities of our current Mardon Health Information System. We are exploring their new product and other vendors’ products to determine the best long-range solution to our HIS needs (including a “meaningful use” electronic health record or EHR) for the future. We had nine Hospital Information System (HIS) vendors’ responses to our Request for Proposals for a replacement HIS. Joe Demont, Eric Tescher and Dusty Colvard have taken the lead over this lengthy initial review and evaluation process; the final selection process will include clinical visits to sites using the proposed systems. The selected vendor will have to be approved by the TVHD Board of Directors. The conversion is expected to take at least a year and be very costly, but much of the cost will be reimbursed either under the ARRA or under our Medicare cost-based reimbursements, etc.

Surgical Services
So far, none of the local gastroenterologists or surgeons has shown any interest in pursuing a conscious sedation (colonoscopy) business line in our current operating suite. I will be taking on this project, but right now other priorities supersede this initiative. We still need to move a few functions around to accommodate re-opening surgery.

Sincerely,
Alan J. Burgess, FACHE, CFAAMA
Diplomate in Healthcare Administration
Chief Executive Officer, Tehachapi Hospital
Tehachapi Valley Healthcare District
115 West "E" Street, P.O. Box 1900
Tehachapi, CA 93581-1900
Work (661) 823-3001
Fax (661) 823-3082

12June2010

Community Advisory Committee-Update and Community Interactions
Our most recent meeting was held on Saturday, March 27th with 11 district residents in attendance. This was one of our best attended meetings in three years! We will continue to meet the fourth Saturday of every month at 8:30 a.m. except that the April 24th meeting is cancelled as I will be out of town. Our next meeting will be on May 22nd, 2010 at 8:30 AM in the TVHD hospital conference room.

Construction Update

For the Board and community, here is a quick summary of current status:

Architectural Design
Our project manager, Norm Clendenin, and our Architectural/ Engineering/Design firm, Stephen Wen Associates (SWA), have received permission from OSHPD for “phased review.” They now expect to submit our design (everything except the Civil Engineering) to the OSHPD by the end of April 2010. Allowing eight to fourteen months for approval, we hope to break ground in the late Spring of 2011.

Bond Issue(s)
As previously reported, we had approximately $16.5 million in the bank (with accrued interest) from the sale of the 2004 GO Bond authorization to sell $15 million. Along with contributions and gifts these monies totaled approximately $17 million before we started paying for design and project management services on the new hospital. We expect the full cost of the new hospital, including soft costs and equipment, etc. to total $67 million. Thus we sought and won a $50 million GO Bond authorization approval on November 3rd, 2009 to allow us to build the new facility. We don’t anticipate selling these bonds until that money is needed and when the bond interest rates are more favorable to minimize the burden on taxpayers.

California Environmental Quality Act (CEQA)
No significant changes this month. Norm and I met with Karen Northcutt. She has been retained to perform our CEQA review. Now that we have our site plan and designs nearly finalized, Karen is working to complete the CEQA study and will provide us with her observations and recommendations as soon as possible. Then the Board will decide whether they can make a “negative declaration.”

Capital Hills Site
We continue to work closely with Tehachapi City officials to work towards making the Capital Hills site the home of our new hospital complex. The City has designated our new hospital a street address of 2000 Magellan Drive. They have also presented an alternative to building out Voyager Drive along our West property line; the new plan will be to build out Challenger Drive. This will work out much better for the District and will help us build within our budget. The proposed April 15th Land Development Committee meeting, scheduled to discuss the revised plan was cancelled at our request and will be rescheduled. We look forward to the meeting and the opportunity to discuss the current proposal. At the Board’s request we are also performing construction cost analyses on alternate sites.

Quiet Room Fundraiser
I sent a new letter to our mailing list of all local religious congregations and other interested parties, soliciting their financial support for the Quiet Room in the new hospital. I also solicited their input on a draft policy on clergy and meeting the spiritual needs of hospitalized and emergency patients. We are in the process of tallying the responses and updating our master list of congregations.

Skilled Nursing Facility
The District needs to make a determination whether we will continue to “swing beds” to long term care patients or whether we want to borrow additional funds to build a nursing home, or contract with a third party to build and operate one on our property. In any event, it is clear we will not simply turn our backs on our LTC residents. I provided the Board a position paper for their review in December. Joe Demont is working up a business plan and analysis to assist the Board in coming to a decision in this matter. We hope to select one of several firms that
have expressed an interest in constructing a Nursing Home, so we won’t have to “swing” acute beds to LTC patients in our new hospital.

Travel Report
On Wednesday, January 27th, Norm and I traveled to Sacramento to meet with the CDC Federal Receiver and CDC key staff to discuss our hospital construction and to show them what we have done in our planning to minimize the interactions between inmates, prisoners and the general public. We also discussed CDCR’s long range plans to meet court ordered measures to satisfy inmate healthcare needs. City Manager Greg Garrett, Mayor Linda Vernon and Councilmember Ed Grimes arranged for the meeting, joined us at the table in Sacramento, and demonstrated by their presence that TVHD and the City are working together well for the future needs and interests of the Greater Tehachapi community.

Contract Negotiations:
Drug Room Services
Kim Smith, PharmD and Andrew Petty, R.N., released an RFP on April 28th,, 2009. Sav-On was the only proposal for the pharmacy contract for our LTC patients’ prescriptions at that time, but they never followed up with a contract. K-Mart elected not to submit a revised proposal. Andrew and Kim are reviewing proposals from “OmniCare” and from “Dawn’s Pharmacy” in Tehachapi. After careful analysis, they selected “Dawn’s Pharmacy” and they are working with Scott Navé, Joe Demont and Mary (Carleen) Warrack, finalizing a contract.

GemCare
Joe Demont and Carleen Warrack are still working with Stephen Linesch to revise our MOA with GemCare for the new members and all GemCare beneficiaries/participants. There has been a little more progress this past month, but still no final contract.

Hospital Information System
Our current and projected health information system needs exceed the capabilities of our current Mardon Health Information System. We are exploring their new product and other vendors’ products to determine the best long-range solution to our HIS needs for the future. Meanwhile, we have had to replace one of the Mardon system servers, which took our operating system off line for a whole day. Everything is back up and working well. We even gained some operating speed on the system, but this is a temporary solution.

We had six Hospital Information System (HIS) vendors’ responses to our Request for Proposals for a replacement HIS. Joe Demont and Dusty Colvard have taken the lead over this review and selection process. The selected vendor will have to be approved by the Board of Directors.
Surgical Services
As previously noted, we had been approached by two Bakersfield surgeons that were interested in coming to Tehachapi to perform “conscious sedation” procedures/surgeries (such as colonoscopies) at our facility using our rooms and helping us to gear up for a transition to doing surgeries in the new hospital. They have indicated they want a cash business guarantee that we are no longer comfortable with. In December we had a gastroenterologist also show some interest in doing procedures in our hospital. So far, none of the local gastroenterologists or surgeons have shown any interest in pursuing this business line in our current operating suite. I will be taking on this project, but right now other priorities supersede this initiative. We still need to move a few functions around to accommodate re-opening surgery.

Sincerely,
Alan J. Burgess, FACHE, CFAAMA
Diplomate in Healthcare Administration
Chief Executive Officer, Tehachapi Hospital
Tehachapi Valley Healthcare District
115 West "E" Street, P.O. Box 1900
Tehachapi, CA 93581-1900
Work (661) 823-3001
Fax (661) 823-3082

24April2010

Community Advisory Committee-Update and Community Interactions
Our last regularly scheduled meeting was held on Saturday, January 23rd with only 5 in attendance. We will continue to meet the fourth Saturday of every month at 8:30 a.m. Our next meeting will be on February 20th, 2010.

Construction Update

For the Board and community, here is a quick summary of current status:

Architectural Design
Our Architectural/Engineering/Design firm, Stephen Wen Associates (SWA), has already taken their conceptual space plans to the next level. We anticipate a full submission to the OSHPD in March 2010. Allowing eight to fourteen months for approval, we hope to break ground in the Spring of 2011.

Bond Issue(s)
As previously reported, we had approximately $16.5 million in the bank (with accrued interest) from the sale of the 2004 GO Bond authorization to sell $15 million. Along with contributions and gifts these monies totaled approximately $17 million before we started paying for design and project management services on the new hospital. We expect the full cost of the new hospital, including soft costs and equipment, etc. to total $67 million. Thus, we sought and won a $50 million GO Bond authorization approval on November 3rd, 2009 to allow us to build the new facility. We don’t anticipate selling these bonds until that money is needed and when the bond interest rates are more favorable to minimize the burden on taxpayers.

California Environmental Quality Act (CEQA)
Norm and I met with Karen Northcutt. She has been retained to perform our CEQA review. Now that we have our site plan and designs nearly finalized, Karen is working to complete the CEQA study and will provide us with her observations and recommendations as soon as possible. Then the Board will decide whether they can make a “negative declaration.”

Capital Hills Site
We continue to work closely with Tehachapi City officials to work towards making the Capital Hills site the home of our new hospital complex. The City has designated our new hospital a street address of 2000 Magellan Drive.

Quiet Room Fundraiser
I have sent a new letter to our mailing list of all local religious congregations and other interested parties, soliciting their financial support for the Quiet Room in the new hospital. I also solicited their input on a draft policy on clergy and meeting the spiritual needs of hospitalized and emergency patients.

Skilled Nursing Facility
The District needs to make a determination whether we will continue to “swing beds” to long term care patients or whether we want to borrow additional funds to build a nursing home, or contract with a third party to build and operate one on our property. In any event, it is clear we will not simply turn our backs on our LTC residents. I provided the Board a position paper for their review last month. Joe Demont is working up a business plan and analysis to assist the board in coming to a decision in this matter.

Travel Report
On Wednesday, January 27th, Norm and I traveled to Sacramento to meet with the CDC Federal Receiver and CDC key staff to discuss our hospital construction and to show them what we have done in our planning to minimize the interactions between inmates, prisoners and the general public. We also discussed CDCR’s long range plans to meet court ordered measures to satisfy inmate healthcare needs. City Manager Greg Garrett, Mayor Linda Vernon and Councilmember Ed Grimes arranged for the meeting, joined us at the table in Sacramento, and demonstrated by their presence that TVHD and the City are working together well for the future needs and interests of the Greater Tehachapi community.

Contract Negotiations:

Drug Room Services
Kim Hoffman, PharmD and Andrew Petty, R.N., released an RFP on April 28th. Sav-On was the only proposal for the pharmacy contract for our LTC patients’ prescriptions, but they never followed up with a contract. K-Mart elected not to submit a revised proposal. Andrew and Kim are reviewing proposals from “OmniCare” and from “Dawn’s Pharmacy” in Tehachapi. After careful analysis, they will recommend a pharmacy contractor.

GemCare
Joe Demont and Carleen Warrack are still working with Stephen Linesch to revise our MOA with GemCare for the new members and all GemCare beneficiaries/participants. There has been a little more progress this past month, but still no final contract.

Hospital Information System
Our current and projected health information system needs exceed the capabilities of our current Mardon Health Information System. We are exploring their new product and other vendors’ products to determine the best long-range solution to our HIS needs for the future. Meanwhile, we have had to replace one of the Mardon system servers, which will take our operating system off line all day on Tuesday, February 9th. We can give a verbal update at the Board meeting.

So far we have seen five Hospital Information System (HIS) vendors’ presentations; the most recent company to make a presentation of their hospital-wide integrated HIS was McKesson. We are still waiting to see what Mardon has to offer. Joe Demont and Dusty Colvard have taken the lead over this endeavor. We also expect to visit a current user to see their Paragon product from McKesson in use in a real hospital environment (as opposed to a demo system) on Friday, February 12th.

Surgical Services
As previously noted, we had been approached by two Bakersfield surgeons that were interested in coming to Tehachapi to perform “conscious sedation” procedures/surgeries (such as colonoscopies) at our facility using our rooms and helping us to gear up for a transition to doing surgeries in the new hospital. They have indicated they want a cash business guarantee that we are no longer comfortable with. In December, we had a gastroenterologist also show some interest in doing procedures in our hospital. So far, none of the local gastroenterologists or surgeons has shown any interest in pursuing this business line in our current operating suite. I will be taking on this project, but right now other priorities supersede this initiative. We still need to move a few functions around to accommodate re-opening surgery.
Sincerely,
Alan J. Burgess, FACHE, CFAAMA
Diplomate in Healthcare Administration
Chief Executive Officer, Tehachapi Hospital
Tehachapi Valley Healthcare District
115 West "E" Street, P.O. Box 1900
Tehachapi, CA 93581-1900
Work (661) 823-3001
Fax (661) 823-3082

7March2010

Dear Friends:

Community Advisory Committee-Update and Community Interactions
Our last regularly scheduled meeting was held on Saturday, October 24th with only 5 in attendance. We will continue to meet the fourth Saturday of every month at 8:30 a.m. However, we were “dark” in November and December as the Saturdays immediately followed Thanksgiving and Christmas, respectively. Meetings will resume on January 23rd, 2010.

Construction Update
For the Board and community, here is a quick summary of current status:

Architectural Design
Our Architectural/Engineering/Design firm, Stephen Wen Associates (SWA), has already taken their conceptual space plans to the next level. We have fairly complete site plans, floor plans, frontages, elevations, and even an animated view. We are also working with SWA and their subcontractors to specify equipment, furniture, furnishings, etc. Norm will give an update at the Board Mtg. We have already had a preliminary plan check by OSHPD.

Bond Issues
As previously reported, we had approximately $16.5 million in the bank (with accrued interest) from the sale of the 2004 GO Bond authorization to sell $15 million. Along with contributions and gifts these monies totaled approximately $17 million before we started paying for design and project management services on the new hospital. We expect the full cost of the new hospital, including soft costs and equipment, etc. to total $67 million. Thus we sought and won a $50 million GO Bond authorization approval on November 3rd to allow us to build the new facility. We don’t anticipate selling these bonds until needed.

California Environmental Quality Act (CEQA)
Norm and I met with Karen Northcutt. She has been retained to perform our CEQA review. Now that we have a new site plan and designs nearly finalized, Karen has restarted the CEQA study and will provide us with her observations and recommendations as soon as possible. Then the Board will decide whether they can make a “negative declaration.”

Capital Hills Site
We continue to work closely with Tehachapi City officials to work towards making the Capital Hills site the home of our new hospital complex. The City has designated our new hospital a street address of 2000 Magellan Drive. At the Land Development Committee meeting with the City, Police, Fire, Southern California Edison, TVHD and our architects and contractors, the city reiterated its insistence that TVHD build out Voyager Drive along the entire length of the property. This and other requirements the city intends to impose could be a budget buster. If they cannot be mitigated, they may stop or delay our project or require us to relocate.

Other News
Quiet Room Fundraiser
I have finalized a new letter to go out to our mailing list of all local religious congregations and other interested parties, soliciting their financial support for the Quiet Room in the new hospital. I also want to solicit their input on a draft policy on clergy and meeting the spiritual needs of hospitalized and emergency patients. Sarah will use mail-merge to prepare the letters for distribution to those on that list.

Skilled Nursing Facility
The District needs to make a determination whether we will continue to “swing beds” to long term care patients or whether we want to borrow additional funds to build a nursing home, or contract with a third party to build and operate one on our property. In any event, it is clear we will not simply turn our backs on our LTC residents. Joe Demont is working up a business plan and analysis to assist the board in coming to a decision in this matter.

GemCare
Joe Demont and Carleen Warrack are still working with Stephen Linesch to revise our MOA with GemCare for the new members and all GemCare beneficiaries/participants. There has been a little more progress this past month, but still no final contract.

Surgical Services
As previously noted, we have been approached by two Bakersfield surgeons that are still interested in coming to Tehachapi to perform “conscious sedation” procedures/surgeries (such as colonoscopies) at our facility using our rooms and helping us to gear up for a transition to doing surgeries in the new hospital. In December we had a gastroenterologist also show some interest in doing procedures in our hospital. So far, none of the local gastroenterologists and surgeons have shown any interest in pursuing this business line in our operating suite. I will be taking on this project, but right now other priorities supersede this initiative. We need to move a few functions around to accommodate re-opening surgery.

Personal Comments
I have been working for the District since June 1, 2007. I am overdue for my annual personnel evaluation and hopefully for a salary adjustment. My salary is still the lowest of any hospital CEO in Kern County and I believe I have delivered on the things I was hired to do. I hope that with this year’s CEO evaluation by the Board an appropriate parity salary will be approved and implemented retroactive to my second anniversary of employment.

Sincerely,
Alan J. Burgess, FACHE, CFAAMA

Diplomate in Healthcare Administration
Chief Executive Officer, Tehachapi Hospital
Tehachapi Valley Healthcare District
115 West "E" Street, P.O. Box 1900
Tehachapi, CA 93581-1900
Work (661) 823-3001
Fax (661) 823-3082


12January2010

Dear Friends:

Community Advisory Committee-Update and Community Interactions
Regularly scheduled meeting was held on Saturday, October 24th with only 5 in attendance. We will continue to meet the fourth Saturday of every month at 8:30 a.m. However, we will be “dark” in November and December as the Saturdays would be immediately after Thanksgiving and Christmas, respectively. Meetings will resume on January 23rd, 2010.

Construction Update
For the Board and community, here is a quick summary of current status:

Architectural Design
Our Architectural/Engineering/Design firm, Stephen Wen Associates (SWA), has already taken their conceptual space plans to the next level. We have fairly complete site plans, floor plans, frontages, elevations, and even an animated view. We are also working with SWA and their subcontractors to specify equipment, furniture, furnishings, etc. Norm will give an update at the Board Mtg. We have already had a preliminary plan check by OSHPD.

Bond Issues
As previously reported, we had approximately $16.5 million in the bank (with accrued interest) from the sale of the 2004 GO (General Obligation) Bond authorization to sell $15 million. Along with contributions and gifts these monies totaled approximately $17 million before we started paying for design and project management services on the new hospital. We expect the full cost of the new hospital, including soft costs and equipment, etc. to total $67 million. Thus we sought and won a $50 million GO Bond authorization approval on November 3rd to allow us to build the new facility. I personally made 46 presentations on my personal time to community groups. I want to recognize all those that volunteered their time, money and efforts to help us win voter approval of “Measure A.” We don’t anticipate selling these bonds until needed.

California Environmental Quality Act (CEQA)
Norm and I met with Karen Northcutt. She has been retained to perform our CEQA review. Now that we have a new site plan and designs nearly finalized, Karen has restarted the CEQA study and will provide us with her observations and recommendations as soon as possible. Then the Board will decide whether they can make a “negative declaration.”

Capital Hills Site
We continue to work closely with Tehachapi City officials to work towards making the Capital Hills site the home of our new hospital complex. The City has designated our new hospital a street address of 2000 Magellan Drive.

Quiet Room Fundraiser
I have finalized a new letter to go out to our mailing list of all local religious congregations and other interested parties, soliciting their financial support for the Quiet Room in the new hospital. I also want to solicit their input on a draft policy on clergy and meeting the spiritual needs of hospitalized and emergency patients. Sarah will use mail-merge to prepare the letters for distribution to those on that list.

GemCare
Joe Demont and Carleen Warrack are working with Stephen Linesch to revise our MOA with GemCare for the new members and all GemCare beneficiaries/participants. There has been a little more progress this past month, but still no final contract.

Surgical Services
As previously noted, we have been approached by two Bakersfield surgeons that are still interested in coming to Tehachapi to perform “conscious sedation” procedures/surgeries (such as colonoscopies) at our facility using our rooms and helping us to gear up for a transition to doing surgeries in the new hospital. Jami Young was leading the business development modeling of their proposal by members of our executive staff. She also contacted local gastroenterologists and surgeons to determine their interest in pursuing this business line in our operating suite. I will be taking on this project. We need to move a few functions around to accommodate re-opening surgery.

Personal Comments
I will be attending the American Academy of Medical Administrators annual conference in Las Vegas, Nevada, from November 18 through 21. I will also take a week of vacation to spend with my family in Nevada and Utah. Due to the travel, I will not be in attendance at the November Board of Directors meeting. Finally, I want to commend everyone involved with helping us earn the community’s support for our Bond Measure “A.” It is no small accomplishment to pass a $50 million bond in this economy. Thank you one and all.

Sincerely,
Alan J. Burgess, FACHE, CFAAMA

Diplomate in Healthcare Administration
Chief Executive Officer, Tehachapi Hospital
Tehachapi Valley Healthcare District
115 West "E" Street, P.O. Box 1900
Tehachapi, CA 93581-1900
Work (661) 823-3001
Fax (661) 823-3082

14Nov2009

Dear Friends:

Community Advisory Committee-Update and Community Interactions
Regularly scheduled meeting was held on Saturday, September 26th with only 4 in attendance. We continue to meet the fourth Saturday of every month at 8:30 a.m. We will meet in October on the 24th and we will be “dark” in November and December as the Saturdays would be immediately after Thanksgiving and Christmas, respectively. Meetings will then resume on January 23rd, 2010.

Construction Update
For the Board and community, here is a quick summary of current status:

Architectural Design
Our Architectural/Engineering/Design firm, Stephen Wen Associates (SWA), has already taken their conceptual space plans to the next level. We have fairly complete site plans, floor plans, frontages, elevations, and even an animated view. We are also working with SWA and their subcontractors to specify equipment, furniture, furnishings, etc. Norm will give an update at the Board Meetoing.

Bond Issues
As previously reported, we now have approximately $16.5 million in the bank (with accrued interest) from the sale of the 2004 GO Bond (General Obligation Bond) authorization to sell $15 million. Along with contributions and gifts these monies will total approximately $17 million. We expect the full cost of the new hospital, including soft costs and equipment, etc. to total $67 million. Thus we plan on raising an additional $50 million GO Bond authorization approval on November 3rd to allow us to build the new facility. In support of our upcoming bond measure for the November 3rd ballot, Joe Demont and I have volunteered our lunch times, evenings and weekends (off the “clock”) to make public presentations to various groups on the need for a new hospital and for their support of Bond Measure “A” in the special election. So far I have made 38 presentations to community groups. The response has been very positive.

California Environmental Quality Act (CEQA)
Norm and I met with Karen Northcutt. She has been retained to perform our CEQA review. Now that we have a new site plan and designs nearly finalized, Karen has restarted the CEQA study and will provide us with her observations and recommendations as soon as possible.

Capital Hills Site
We continue to work closely with Tehachapi City officials to work towards making the Capital Hills site the home of our new hospital complex. The City has designated our new hospital an address of 2000 Magellan Drive.

Quiet Room Fundraiser
I have drafted a new letter to go out to our mailing list of all local religious congregations and other interested parties, soliciting their financial support for the Quiet Room in the new hospital. Sarah will use mail-merge to prepare the letters for distribution to those on that list.

GemCare
Stephen Linesch contacted us with the news that GemCare just won the county employees' health plan and they want to work with TVHD for hospital and clinic coverage for these plan members. Joe Demont and Carleen Warrack are working with Mr. Linesch to revise our MOA with GemCare for the new members and all GemCare beneficiaries/participants. There has been a little more progress this past month, but no final contract as of yet.

Personal Comments
     I will be attending the American Academy of Medical Administrators annual conference in Las Vegas, Nevada, from November 18 through 21. I will also take a week of vacation to spend with my family in Nevada and Utah. Due to the travel, I will not be in attendance at the November Board of Directors meeting.
     Finally, I want to commend our employees association, the Explorer Post, Nursing Students, and all those who helped to make our presence seen and felt at the Hospital Health Fair and at the Home Depot Community Safety Fair. Both events were overwhelmingly successful and a great opportunity to “toot our own horn” while encouraging the community’s support. Thank you one and all.

Sincerely,
Alan J. Burgess, FACHE, CFAAMA

Diplomate in Healthcare Administration
Chief Executive Officer, Tehachapi Hospital
Tehachapi Valley Healthcare District
115 West "E" Street, P.O. Box 1900
Tehachapi, CA 93581-1900
Work (661) 823-3001
Fax (661) 823-3082

17Oct2009
      

Dear Friends:

Community Advisory Committee-Update and Community Interactions
Regularly scheduled meeting was held on Saturday, August 22nd with 9 in attendance. We continue to meet the fourth Saturday of every month at 8:30 a.m. In support of our upcoming bond measure for the November 3rd ballot, Joe Demont and I have volunteered our lunch times and evenings (off the “clock”) to make public presentations to various groups on the need for a new hospital and for their support of Bond Measure “A” in the special election.

Construction Update
For the Board and community, here is a quick summary of current status:

Architectural Design
Our Architectural/Engineering/Design firm, Stephen Wen Associates (SWA), has already taken their conceptual space plans to the next level. We have fairly complete site plans, floor plans, frontages, elevations, and even an animated view. We are also working with SWA and their subcontractors to specify equipment, furniture, furnishings, etc. Norm will give an update at the Board Mtg.

Bond Issues
As previously reported, we now have approximately $16.5 million in the bank (with accrued interest) from the sale of the 2004 GO (General Obligation) Bond authorization to sell $15 million. Along with contributions and gifts these monies will total approximately $17 million. We expect the full cost of the new hospital, including soft costs and equipment, etc. to total $67 million. Thus we plan on raising an additional $50 million GO Bond authorization approval on November 3rd to allow us to build the new facility. Along with the Tehachapi Hospital Foundation, the TVHD Executive Staff is working to make a November 2009 approval of our bond issue a reality. We really need everyone to support this crucial effort. I created a PowerPoint presentation (at home on my time and on my personal computer) to be used by the “Get It Built” committee when making public presentations to ask for support of the November 3rd ballot measure.

California Environmental Quality Act (CEQA)
Not much change this month.
Karen Northcutt has been retained to perform our CEQA review. Now that we have a new site plan and designs nearly finalized, Norm is working with her to restart the CEQA study and provide us with her observations and recommendations.

Capital Hills Site
We continue to work closely with Tehachapi City officials to work towards making the Capital Hills site the home of our new hospital complex. Norm and I met with John Pierce of Tower Investments to discuss our current plans. They indicate that they are still on board to support our construction efforts and work with us. They also approved right of way across their property for an extension of Magellan. The City has designated our new hospital an address of 2000 Magellan Drive.

Quiet Room Fundraiser
I have drafted a new letter to go out to our mailing list of all local religious congregations and other interested parties, soliciting their financial support for the Quiet Room in the new hospital. Sarah will use mail-merge to prepare the letters for distribution to those on that list.

GemCare
Stephen Linesch contacted us with the news that GemCare just won the county employees' health plan and they want to work with TVHD for hospital and clinic coverage for these plan members. Joe Demont and Carleen Warrack are working with Mr. Linesch to revise our MOA with GemCare for the new members and all GemCare beneficiaries/participants. There has been progress this month, but no final contract as of yet.

Personal Comments
In the past month I have made presentations on the new hospital construction to hospital leadership, the Optimists, the Chamber of Commerce Board of Directors, to the Greater Tehachapi Valley Economic Development Council, and various other groups. Joe and Norm have also made presentations, and many more are in the works. We need everyone’s efforts and perseverance to get the voters to approve the November 3rd ballot measure.

Sincerely,
Alan J. Burgess, FACHE, CFAAMA

Diplomate in Healthcare Administration
Chief Executive Officer, Tehachapi Hospital
Tehachapi Valley Healthcare District
115 West "E" Street, P.O. Box 1900
Tehachapi, CA 93581-1900
Work (661) 823-3001
Fax (661) 823-3082

14Sep2009
      

Dear Friends:

Community Advisory Committee-Update and Community Interactions
Normal meetings were held on Saturday, June 27th (with 9 in attendance) and Saturday, July 25th (with 4 in attendance). We will continue to meet the fourth Saturday of every month at 8:30 a.m. In support of KERO TV-23, the local ABC network affiliate in Bakersfield and their week-long salute to Tehachapi, TVHD advertised on television to bring Tehachapi and our surrounding communities the message that we provide “Quality Healthcare. Right Here. Right Now.” We are now running a month-long campaign on KERO.

Construction Update
For the Board and community, here is a quick summary of current status:

Architectural Design
Our Architectural/Engineering/Design firm, Stephen Wen Associates (SWA), has already taken their conceptual space plans to the next level. We have fairly complete site plans, floor plans, frontages, elevations, and even an animated view. We are also working with SWA and their subcontractors to specify equipment, furniture, furnishings, etc. Norm will give an update at the Board Mtg.

Bond Issues
    As previously reported, we have approximately $12.7 million in the bank (with interest right at $14 million) and authorization to sell Series C of the 2004 GO Bonds that were approved by the voters; this will allow us to raise an additional $2.275 million. Along with contributions and gifts these monies total approximately $17 million. We expect the full cost of the new hospital, including soft costs and equipment, etc. to total $67 million. Thus we expect we will need to plan on raising an additional $50 million GO Bond authorization approval on November 3rd to allow us to build the new facility.
    Along with the Tehachapi Hospital Foundation, the TVHD Executive Staff is working to make a November 2009 approval of our bond issue a reality. We really need everyone to support this crucial effort. I created a PowerPoint presentation (at home on my personal computer) to be used by the “Get It Built” committee when making public presentations to ask for support of the November 3rd ballot measure.

California Environmental Quality Act (CEQA)
Not much change this month. Karen Northcutt has been retained to perform our CEQA review. Now that we have a new site plan and designs nearly finalized, Norm will be working with her to restart the CEQA study and provide us with her observations and recommendations.

Capital Hills Site
We continue to work closely with Tehachapi City officials to work towards making the Capital Hills site the home of our new hospital complex. Norm and I also met with John Pierce of Tower Investments to discuss our current plans. They indicate that they are still on board to support our construction efforts and work with us.


Sincerely,
Alan J. Burgess, FACHE, CFAAMA

Diplomate in Healthcare Administration
Chief Executive Officer, Tehachapi Hospital
Tehachapi Valley Healthcare District
115 West "E" Street, P.O. Box 1900
Tehachapi, CA 93581-1900
Work (661) 823-3001
Fax (661) 823-3082

16Aug2009

hfmn0509jpg
14June2009

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ed. note: The below brief was extracted from the TVHD CEO's Communique for July 2009, italics inserted for clarity.




Dear Friends:
Construction Update
For the Board and community, here is a quick summary of current status: Architectural Design Our Architectural/Engineering/Design firm, Stephen Wen Associates (SWA), has already taken their conceptual space plans to the next level, with some initial conceptual floor plans were shared with our staff in obtaining feedback to help them in coming up with a schematic design. These very preliminary first draft plans were shared with the Building and Planning Committee to get their input and with our departments, where their input was similarly solicited. All feedback was collect and summarized and shared with the SWA architects in our first face-to-face meeting with them since they were selected. That meeting was held on Friday, May 8th, 2009. Our feedback was incorporated into the first schematic design plans, and additional feedback was obtained in meetings on May 28th and 29th. Revised schematic designs will be shared again with the hospital employees and the medical staff in meetings on June 11th and 12th. We hope to be into developmental design very soon. Norm will give an update at the Board Mtg.

Bond Issue(s)
As previously reported, we have approximately $12.7 million in the bank (with interest right at $14 million) and a GO (General Obligation) Bond authorization to raise an additional $2.3 million. Along with contributions and gifts these monies total approximately $17 million. We expect the full cost of the new hospital, including soft costs and equipment, etc. to total $67 million. Thus we expect we will need to plan on raising an additional $50 million GO Bond authorization in November to build the new facility. I feel strongly that we cannot wait longer to ask for the bond approval; postponing the vote would give us little if any fallback should the bond issue fail. Along with the Tehachapi Hospital Foundation, the TVHD Executive Staff is working to make a November 2009 approval of our bond issue a reality. We really need everyone to support this crucial effort.

California Environmental Quality Act (CEQA)
No change this month. Karen Northcutt has been retained to perform our CEQA review. There isn’t really all that much she can do until we have a new site plan and designs nearly finalized.

Capital Hills Site
We continue to work closely with Tehachapi City officials to work towards making the Capital Hills site the home of our new hospital complex. Norm and I also met with John Pierce of Tower Investments to discuss our current plans. They indicate that they are still on board to support our construction efforts and work with us.

Sincerely,
Alan J. Burgess, FACHE, CFAAMA

Diplomate in Healthcare Administration
Chief Executive Officer, Tehachapi Hospital
Tehachapi Valley Healthcare District
115 West "E" Street, P.O. Box 1900
Tehachapi, CA 93581-1900
Work (661) 823-3001
Fax (661) 823-3082

17June2009








Dear Friends:

Architectural Design
SWA Architects completed our Space Needs Assessment Plan and Don Roloff has completed the Equipment Needs Assessment as an SWA subcontractor. Along with the revised Strategic Plan by Michael Philps, these became an important part of the Request for Qualifications (RFQ) that we released for firms interested in bidding on our architectural design. Forty firms requested copies of the RFQ and eighteen responded to the RFQ. Of those, a selection committee of the CEO, CFO, CNO, Project Manager and Compliance Officer selected the top five candidate firms. Those firms were hosted in a meeting on April 1st where the CEO, CFO, CNO, Compliance Officer, Project Manager, and Dr. Conklin (TVHD Governing Board Chair) answered their questions and showed them the site. All five firms presented their approaches to us on Monday, April 13th, 2009. In rating and reviewing the presentations on April 15th, the selection committee requested that a Request for Clarification go to all the short-listed firms to ensure we were comparing them equally on the same elements, including the number of visits to the site during construction, etc. Based on their presentations, responses, the quality and cost of the proposals, all five companies were graded and SWA was ranked first. Based on the special meeting of the TVHD Board of Directors on Wednesday, April 29th, SWA was selected to be the Architectural Engineering firm to design our new facilities. SWA has already taken their conceptual space plans to the next level, with some initial conceptual floor plans to be used with our staff in obtaining feedback to help them in coming up with a schematic design. These very preliminary first draft plans were shared with the Building and Planning Committee to get their input and with our departments, where their input was similarly solicited. All feedback was collect and summarized and shared with the SWA architects in our first face-to-face meeting with them since they were selected. That meeting was held on Friday, May 8th, 2009. Norm will provide an update at the board meeting.

Bond Issue(s)
As reported at the March board meeting, we have approximately $12.7 million in the bank (with interest right at $14 million) and a GO (General Obligation) Bond authorization to raise an additional $2.3 million. Along with contributions and gifts these monies total approximately $17 million. We expect the full cost of the new hospital, including soft costs and equipment, etc. to total $67 million. Thus we expect we will need to plan on raising an additional $50 million GO Bond authorization in November to build the new facility. Caldwell Flores Winters, Inc. and Wulff Hansen & Co. each gave a presentation at the April 15th Board Meeting on GO Bonds. Along with the Tehachapi Hospital Foundation, the TVHD Executive Staff is working to make that a reality.

California Environmental Quality Act (CEQA)
No change this month.
Karen Northcutt has been retained to perform our CEQA review.  Norm is working with Karen to get the process on track.  There isn’t really all that much she can do until we have a new site plan and design.

Capital Hills Site
We continue to work closely with Tehachapi City officials to work towards making the Capital Hills site the home of our new hospital complex. Norm and I also met with John Pierce of Tower Investments to discuss our current plans. They indicate that they are still on board to support our construction efforts and work with us.

Personal Comments
I participated in the AAMA Annual Board Meeting in Chicago, April 23rd thru 25th. At that meeting the nominating committee presented their slate of officers, which included a proposal for me to become the Chair-Elect of the AAMA for 2010, Chair in 2011, and Immediate Past Chair and Chairman of the AAMA Foundation in 2012. Their nomination was unanimously affirmed by the AAMA Board. The nomination will be official after the vote of the membership at the 2009 AAMA Annual Meeting in Las Vegas, November 18-20, 2009. It is very humbling and a great honor to be selected by my peers to head our nation-wide professional association.
Finally, it is important for us to get the good news out about all this District is accomplishing and to share our vision with the public. If you had this monthly CEO Commuiqué forwarded to you, received a printed copy, or know someone who would want to be added to our emailing list, please send those email addresses to snolet@tvhd.org and we will add them to our email list. Please DO NOT send someone else’s email address without their permission. Thank you.

Sincerely,
Alan J. Burgess, FACHE, CFAAMA

Diplomate in Healthcare Administration
Chief Executive Officer, Tehachapi Hospital
Tehachapi Valley Healthcare District
115 West "E" Street, P.O. Box 1900
Tehachapi, CA 93581-1900
Work (661) 823-3001
Fax (661) 823-3082

16May2009




      

Dear Friends:

Architectural Design
SWA Architects has basically completed our Space Needs Assessment Plan and Don Roloff has completed much of the Equipment Needs Assessment.  Along with the revised Strategic Plan by Michael Philps, these became an important part of the Request for Qualifications (RFQ) that we released for firms interested in bidding on our architectural design.  Forty firms requested copies of the RFQ and eighteen responded to the RFQ.  Of those, a selection committee of the CEO, CFO, CNO, Project Manager and Compliance Officer selected the top five candidate firms.  Those firms were hosted in a meeting on April 1st where the CEO, CFO, CNO, Project Manager, and Dr. Conklin (TVHD Governing Board Chair) answered their questions and showed them the site.  All five firms will present their approaches to us on Monday, April 13th, 2009.  Shortly thereafter a finalist will be chosen, based on the quality and cost of the proposals.

Bond Issue(s)
As reported at the March board meeting, we have approximately $12.7 million in the bank (with interest right at $14 million) and a GO Bond authorization to raise an additional $2.3 million.  Along with contributions and gifts these monies total approximately $17 million.  We expect the full cost of the new hospital, including soft costs and equipment, etc. to total $67 million.  Thus we expect we will need to plan on raising an additional $50 million GO Bond authorization to build the new facility.  A bond company will make a presentation at the April 15th Board Meeting.

California Environmental Quality Act (CEQA)
No change this month.
No change this month.
Karen Northcutt has been retained to perform our CEQA review.  Norm is working with Karen to get the process on track.  There isn’t really all that much she can do until we have a new site plan and design.

Capital Hills Site
We continue to work closely with Tehachapi City officials to work towards making the Capital Hills site the home of our new hospital complex.

Personal Comments
As I mentioned last month, we are not satisfied with the functionality, capabilities or the vendor’s support of our Mardon Health Information System.  We are exploring their new product and other vendors’ products to determine the best long-range solution to our HIS needs for the future.

I attended the CSRHA Rural Health Symposium in Fresno, on April 2nd and 3rd.  Again, I expressed our concerns regarding the proposed “hospital provider fee” [hospital tax on every inpatient admission].  There is no consensus yet on how the tax will be applied (i.e. Governmental hospitals, rural hospitals, hospital districts, critical access hospitals, etc.).  I will keep the board informed as we hear of further developments.

We also discussed AB 648 which is proposed to allow California hospitals the same right to hire physicians as hospitals in 48 other states already enjoy.  (Only CA and TX don’t allow hospitals to hire physicians.)

I contacted C. Duane Dauner, President of the California Hospital Association to inquire whether the CHA would be willing to sponsor a legislative reduction in the super-majority of 67% voter approval required of hospital district bond authorizations to the 55% required for educational bonds.  ACAA (Assembly Constitutional Amendment) 9 by Huffman (Coauthors: Portantino, Salas, and Torlakson) (Coauthor: Senator Hancock) has now been proposed and submitted to allow just that.

Finally, we have been approached by two Bakersfield surgeons that are interested in coming to Tehachapi to perform “conscious sedation” surgeries (such as colonoscopies) at our facility using our rooms and helping us to gear up for a transition to doing surgeries in the new hospital.  Jami Young is doing the business development modeling of their proposal.

Sincerely,
Alan J. Burgess, FACHE, CFAAMA

Diplomate in Healthcare Administration
Chief Executive Officer, Tehachapi Hospital
Tehachapi Valley Healthcare District
115 West "E" Street, P.O. Box 1900
Tehachapi, CA 93581-1900
Work (661) 823-3001
Fax (661) 823-3082

15Apr2009




      

Dear Friends:

Architectural Design
We received a final draft of our Strategic Plan from Michael and Kathleen Philps just prior to the February Board meeting.   SWA Architects has met with our Department leaders to help us to better understand, define and refine our space requirements and equipment needs in the new hospital.  If there are any comments or feedback to provide Michael and Kathleen Philps on the plan, please share them with me.  Meanwhile, Norm Clendenin, our project manager, continued to adjust and refine our construction project management time line.  We included the information learned from the Strategic Plan revision and the space needs assessment in developing our construction RFQ which was released by the Kern County Builders Exchange on March 2nd.  Only those firms we prequalify will be able to participate in the final RFP/bidding process. 

Bond Issue(s)
Andrew Petty, our CNO, Joe Demont, our CFO, Norm Clendenin, our Project Manager and I met recently to begin to quantify our space and equipment needs so we can better understand, refine and define our construction costs leading to our next requirement – raising adequate funding to make the new hospital a reality by 2013.  We expect to share our cost estimates at the March 18th Board Meeting.

California Environmental Quality Act (CEQA)
No change this month.
Karen Northcutt has been retained to perform our CEQA review.  Norm is working with Karen to get the process re-started and back on track.  I have heard nothing more on this aspect of our construction planning in the past several months.


Capital Hills Site
We continue to work closely with Tehachapi City officials to work towards making the Capital Hills site the home of our new hospital complex.

Personal Comments
As I mentioned last month, we are not satisfied with the functionality, capabilities or the vendor’s support of our Mardon Health Information System.  They suggested that we upgrade to their newer product, which they have demonstrated for us.  We are also inviting other vendors to provide us a sampling of their integrated systems in preparation for our move to a newer, better system.  I believe it is imperative that we begin planning now, so we can transition to a new, fully integrated, patient scheduling, billing, accounting and clinical Hospital Information Management System.  We really need to be on a new system at least a year before moving into the new hospital.  Moving to a new system and moving to a new facility are each too complicated to attempt both at the same time.

I attended the Kern/Eastern Sierra Section Member Meeting in Delano, on March 6th.  I expressed our concerns regarding the proposed “hospital provider fee” [hospital tax on every inpatient admission].  There is no consensus yet on how the tax will be applied (i.e. governmental hospitals, rural hospitals, hospital districts, critical access hospitals, etc.).  I will keep the board informed as we hear of further developments.

I have contacted C. Duane Dauner, President of the California Hospital Association to inquire whether the CHA would be willing to sponsor a legislative reduction in the super-majority of 67% voter approval required of hospital district bond authorizations to the 55% required for educational bonds.  We will be discussing this matter later this week in Sacramento.

Sincerely,
Alan J. Burgess, FACHE, CFAAMA

Diplomate in Healthcare Administration
Chief Executive Officer, Tehachapi Hospital
Tehachapi Valley Healthcare District
115 West "E" Street, P.O. Box 1900
Tehachapi, CA 93581-1900
Work (661) 823-3001
Fax (661) 823-3082

16Mar2009




         

Dear Friends:

Architectural Design
I have shared the Board’s feedback with our Strategic Plan consultants.  We hope to receive a revised draft of our Strategic Plan from Michael and Kathleen Philps prior to the Board meeting.   SWA Architects has met with our Department leaders to help us better understand and define our space and equipment requirements in the new hospital.  Upon completion and final approval of the revised strategic plan SWA can help us to best define what we are trying to build and plan the space requirements, accordingly.  Meanwhile, Norm Clendenin, our project manager, continues to adjust and refine our construction project management time line.  We will include the information learned from the Strategic Plan revision and the space needs assessment in developing our construction RFQ.  Only those firms we prequalify will be able to participate in the final RFP/bidding process. 

Bond Issue(s)
Andrew Petty, our CNO, Joe Demont, our CFO, Norm Clendenin, our Project Manager and I met recently to begin to quantify our space and equipment needs so we can better understand, refine and define our construction costs leading to our next requirement – raising adequate funding to make the new hospital a reality by 2013.


Capital Hills Site
We continue to work closely with Tehachapi City officials to work towards making the Capital Hills site the home of our new hospital complex.

Sincerely,
Alan J. Burgess, FACHE, CFAAMA

Diplomate in Healthcare Administration
Chief Executive Officer, Tehachapi Hospital
Tehachapi Valley Healthcare District
115 West "E" Street, P.O. Box 1900
Tehachapi, CA 93581-1900
Work (661) 823-3001
Fax (661) 823-3082

11Feb2009





New Hospital Construction Updates
Project Manager's Field Office
projmgrjpg
Finally, visible "signs" of activity!

20Jan2009

Editor's Note: We received the immediately below letter as an e-mail sent by the secretary of Alan Burgess on 20January2009.  The now retracted  "Message", extracted directly and without editing (excepting my bolding for emphasis of what surprised me, personally) from the February CEO Communiqué published by TVHD around 15January2009, is shown  at the bottom of this web page as "TVHD CEO's Message,  February, 2009" published here and sent out as "eNews Brief" on 15January2009 to some 44 requesting subscribers.  Although its removal is requested, for transparency, its viewing is necessary to understand what the "dither" is all about. Please understand, the TVHD CEO retracts in its entirety the message, wishing "to put this episode behind us and go forward with trust and a spirit of cooperation".
John Mester, Editor Email



Dear Friends of the Tehachapi Valley Healthcare District:

I met with Greg Garrett, the Tehachapi City Manager today and he assured me the City of Tehachapi is “110% behind the hospital construction project.”

He also shared that he felt my CEO Communiqué, and its posting on the Foundation web site misrepresented the facts and intent of the meeting.  As my understanding of the meeting was only based on second-hand information, I apologized for any inaccuracies in the release.  Our intent is to work with the City and not be at odds over this or any other matter.  We all live in the same community and are working for the same goal – an adequate hospital to meet the current and future needs of the Greater Tehachapi Area.

Specifically, Greg denied mentioning a $15 million expectation of the cost to the District to add into the city water, sewer and drains or in “mitigation fees.”  He acknowledged that we may be expected to cover the cost of infrastructure on our property (to tie to the sewer and water and to provide roads, parking, drainage, etc.).  We may also need to participate with the city in enlarging the water main, if the existing 12” line is determined incapable of meeting the hospital’s needs in addition to the expected Capital Hills development, for which it was originally planned.  We may need to provide a water tower to ensure adequate fire hydrant and sprinkler system pressures in the new hospital.  Greg also provided me with a copy of a rough ESTIMATE, dated 4/9/08 of Sewer Connection, Water Connection, Water Meter & Traffic Mitigation Fees totaling an estimated $1,017,552.86 for these services.  (Scanned copy attached;  I am also attaching the letter from David James detailing the meeting with Norm Clendenin and Bill Kinsella.)

In order to maintain healthy and productive working relations with the City of Tehachapi, I am asking that the previous message be removed from our website(s).  The City was particularly offended by the paragraph that was contributed by someone else and included in the Communiqué.  That paragraph began: “I understand that we have rejected such demands in the past.  [and ended with:]  The other point is, did they do the same to the Postal Service, the Holiday Inn, and others?  I suspect not.”  I believe we can and must work with the City on this issue and retract that paragraph, entirely.  Greg and I both wish to put this episode behind us and go forward with trust and a spirit of cooperation.

Thank you for your understanding and continued support.

Sincerely,

Alan J. Burgess, FACHE, CFAAMA
Diplomate in Healthcare Administration
Chief Executive Officer, Tehachapi Hospital
Tehachapi Valley Healthcare District
115 West "E" Street, P.O. Box 1900
Tehachapi, CA 93581-1900
Work (661) 823-3001
Fax (661) 823-3082

20Jan2009

The immediately below letter was attached to the above e-mail message of 20January2009 from the TVHD CEO.

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The immediately below document was also attached to the above e-mail message of 20January2009 from the TVHD CEO.


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Retracted 20January2009
TVHD CEO's Message,  February, 2009


Dear Friends,
New Hospital Construction Update

····here is a quick summary of current status:

Architectural Design

I have shared the Board’s feedback with our Strategic Plan consultants. We hope to receive a revised draft of our Strategic Plan from Michael and Kathleen Philps soon, but probably not prior to the Board meeting. SWA Architects has met with our Department leaders to understand their space and equipment requirements in the new hospital. Upon completion and final approval of the revised strategic plan SWA can better define what we are trying to build and plan the space requirements, accordingly. Meanwhile, Norm Clendenin, our project manager, has developed a revised construction project management time line. We will include the information learned from the Strategic Plan revision and the space needs assessment in developing our RFQ for Design-Build firms. Only those firms we prequalify will be able to participate in the final RFP/bidding process.

Bond Issue(s)

No changes from the previous report.

California Environmental Quality Act (CEQA)

 Karen Northcutt has been retained to perform our CEQA review. Norm is working with Karen to get the process re-started and back on track.

Capital Hills Site

 A sign has been erected on the Capital Hills Site and a formal unveiling was held on Monday, November 3rd. A Construction site work trailer was delivered to the site last week and will soon become the on-site office for Norm Clendenin, our project manager. The Tehachapi city manager, planner and staff met with Bill Kinsella and Norm Clendenin this week. The city announced that they expect us to pay a prorated share for the improvement of infrastructure to the site, just as if we were a commercial developer. They estimated a cost of approximately $15 million!

I understand that we have rejected such demands in the past. That is one of the reasons, I have heard, that we did not build on the prior site (off Tucker Road). Perhaps we need to have our attorney notify them that it is illegal to burden another government agency with such fees. What exactly is the infrastructure they speak of that will cost $15 million? All the services were already supposed to be there when the city led the charge to annex our property. The other point is, did they do the same to the Postal Service, the Holiday Inn, and others? I suspect not.

Email Alan J. Burgess, FACHE, CFAAMA, CEO TVHD

Retracted 20January2009
15Jan2009






2008 Year End Report
FAREWELL 2008…WELCOME 2009!

Dear Friends of the Tehachapi Hospital Foundation:

As Board Chair, it is my pleasure to report another financially successful year for the Tehachapi Hospital Foundation.  At year end, Foundation assets have increased by $35,000 to a total of $400,000.

Membership has remained stable at more than 300 while the Tehachapi Valley Healthcare District and the Tehachapi Hospital Foundation managed major challenges.  It was determined by mid-year that the hospital designed by Aspen Street Architects was not feasible.  The TVHD Board terminated Aspen Street and hired Norm Clendenin as the Project  Manager to oversee all aspects of planning, designing, and building Tehachapi’s new hospital.  Currently, preparation of a Strategic Plan is underway that will best determine Tehachapi’s near-term and future needs.  Clendenin’s preliminary timeline indicates that we could have a new hospital up and running within the next four years.

New Board members have joined the Tehachapi Hospital Foundation Board and we continue to seek others who would be interested in serving.  Email addresses and phone numbers for all of our Board Directors are listed on the Foundation’s website, www.thfinc.org, which the webmaster continually updates.  Our website also provides membership information and application, Foundation Bylaws, history and TVHD’s current construction activities and timeframe.  Please visit the site frequently to read the Newsletter and other timely bulletins, as well as to give us your thoughts and feedback.  We want communication to flow in both directions and we request everyone’s input and ideas!

The Foundation’s Public Relations Committee, chaired by Marilyn Beardslee, has been working on a PowerPoint presentation and brochure that will be presented  via numerous workshops throughout the greater Tehachapi community this coming Spring and Summer.  We strongly believe that our diverse community can meet the challenges of bringing a state-of-the-art healthcare system to Tehachapi.

Thank you for your continued support.  Your continued Foundation membership is very important to us.

Sincerely,
Jo Anne Huckins
Chair, Tehachapi Hospital Foundation


9Jan2009

TVHD CEO's Message,  December, 2008

Dear Friends,
New Hospital Construction Update
  Architectural Design
Norm Clendenin has been on board since August 2008 as the TVHD Project Manager/ Owner’s Representative. On Saturday, November 1st we held a well attended Strategic Planning Retreat, facilitated by Michael Philps and his wife Kathleen; they are working to complete a draft of our Strategic Plan from their research and the feedback from that meeting. Upon completion of the revised strategic plan, SWA Architects can better describe what we are trying to build and plan the space requirements, accordingly. Meanwhile, Norm has developed a revised construction project management time line. We will also include the information learned from the Strategic Plan revision and the space needs assessment in developing our RFQ for Design-Build firms. Only those firms we prequalify will be able to participate in the final RFP/bidding process.

Bond Issue(s) – no change
The original bond issue of $15 million was approved by the voters in March 2004. On August 17, 2004 $9,724,987.70 in hospital district general obligation bonds were sold as “Series A” of this authorization. On June 20, 2006 an additional $2,999,990.75 in general obligation bonds were sold as “Series B” of this authorization. As of this date, the final general offering “Series C” municipal bonds for the remainder ($2.275.021.55) of the $15 million bond authorization has not been issued. We are holding up that action, so as to comply with federal law and IRS rulings, until we are ready to begin construction. Monies raised so far are held in a secured bank account that is monitored by a third-party and can only be used for new hospital planning and construction. Our first two bond issues will be subject to arbitrage. We are committed to the construction of a new, replacement hospital and will proceed to complete the Series C issuance as soon as advisable. Meanwhile we must come up with additional monies, approximately $30-55 million or more, to fully fund the proposed construction, along with the renovation of the current hospital to become a fully and separately licensed Skilled Nursing Facility. A second bond issue request will be pursued if all efforts fail to provide the necessary funding of the project.

Current Hospital Campus Space Utilization
The current use of a home across the street from the hospital is neither cost-effective nor desirable. Bill Kinsella and Joe Demont worked with a local firm to consider other possible sources of additional space for offices, so we can bring the Human Resources, Medical Staff/Credentials functions, and Grant-funded positions back onto the main campus. We met with the City Manager and City Planner prior to this month’s board meeting. Bill Kinsella and Joe Demont hope to have a mobile unit space in place by the end of the year.

Alan J. Burgess, FACHE, CFAAMA, CEO TVHD

18Nov2008

TVHD CEO's Message,  November, 2008

Dear Friends,

New Hospital Construction Update
Here is a quick summary of current status: Architectural Design With the August 2008 selection of Norm Clendenin as the new TVHD Project Manager/ Owner’s Representative, we plan on going out for a new RFQ aimed at Design-Build firms to prequalify them for a final RFP/bidding process. This will happen after we complete the strategic plan revision and can better describe what we are trying to build. Meanwhile, Norm is working on a revised construction project management time line. We will also include the information learned from the Strategic Plan revision by Michael and Kathleen Philps in developing our RFQ for Design-Build firms. Finally, we have issued an RFQ/RFP for Space Programmers to bid on our space needs assessment package and to perform those essential calculations which will also become part of our RFQ and RFP for Design-Build firms.

Bond Issue(s) – no change
The original bond issue of $15 million was approved by the voters in March 2004. On August 17, 2004 $9,724,987.70 in hospital district general obligation bonds were sold as “Series A” of this authorization. On June 20, 2006 an additional $2,999,990.75 in general obligation bonds were sold as “Series B” of this authorization. As of this date, the final general offering “Series C” municipal bonds for the remainder ($2.275.021.55) of the $15 million bond authorization has not been issued. We are holding up that action, so as to comply with federal law and IRS rulings, until we are ready to begin construction. Monies raised so far are held in a secured bank account that is monitored by a third-party and can only be used for new hospital planning and construction. Our first two bond issues will be subject to arbitrage. We are committed to the construction of a new, replacement hospital and will proceed to complete the Series C issuance as soon as advisable. Meanwhile we must come up with additional monies, approximately $30-55 million or more, to fully fund the proposed construction, along with the renovation of the current hospital to become a fully and separately licensed Skilled Nursing Facility. A second bond issue request will be pursued if all efforts fail to provide the necessary funding of the project.

Current Hospital Campus Space Utilization – presentation by Joe Demont and/or Bill Kinsella.
The current use of a home across the street from the hospital is neither cost-effective nor desirable. Bill Kinsella and Joe Demont worked with a local firm to consider other possible sources of additional space for offices, so we can bring the Human Resources, Medical Staff/Credentials functions, and Grant-funded positions back onto the main campus. We met with the City manager and City planner prior to this month’s board meeting. Bill Kinsella and Joe Demont will provide more information, including designs, costs and so forth, at the board meeting.

Alan Burgess,
CEO, TVHD

17Oct2008

TVHD CEO's Message,  September, 2008

Dear Friends,

Architectural Design

With the August 2008 selection of Norm Clendenin as the new TVHD Project Manager/ Owner’s Representative, we plan on going out for a new RFQ aimed at Design-Build firms to prequalify them for a final RFP/bidding process. This will happen after we complete the strategic plan revision and can better describe what we are trying to build. Meanwhile, Norm is working on a revised construction project management time line.

Bond Issue(s)

        No change from the previous report. The original bond issue of $15 million was approved by the voters in March 2004. On August 17, 2004 $9,724,987.70 in hospital district general obligation bonds were sold as “Series A” of this authorization. On June 20, 2006 an additional $2,999,990.75 in general obligation bonds were sold as “Series B” of this authorization. As of this date, the final general offering “Series C” municipal bonds for the remainder ($2.275.021.55) of the $15 million bond authorization has not been issued. We are holding up that action, so as to comply with federal law and IRS rulings, until we are ready to begin construction. Monies raised so far are held in a secured bank account that is monitored by a third-party and can only be used for new hospital planning and construction. Our first two bond issues will be subject to arbitrage.
        We are committed to the construction of a new, replacement hospital and will proceed to complete the Series C issuance as soon as advisable. Meanwhile we must come up with additional monies, approximately $30-55 million or more, to fully fund the proposed construction, along with the renovation of the current hospital to become a fully and separately licensed Skilled Nursing Facility. A second bond issue request will be pursued if all efforts fail to provide the necessary funding of the project.

Alan Burgess,
CEO, TVHD
17Sept2008

President’s Message, July 2008
Dear Friends,

The Tehachapi Hospital Foundation remains committed to moving forward with construction of the new hospital; indeed, we believe it is essential to Tehachapi’s economy and quality of life.

While recent events have upped the difficulty factor of what was already a major undertaking, Foundation member support is essential to the successful completion of the task.  As part of this effort, the Foundation is interested in switching to online communication, as much as possible.  If you have an email address and would like to be kept up-to-date in this manner, please forward your electronic address  to us.  Another method is to visit "http://www.thfinc.org", click on “Membership”, then “Subscribe to ENews”.

Online communication assures that you will be informed of Tehachapi Hospital Foundation activity and actions in a better, easier, and less expensive manner. Needless to say, we assure you that your address will not be shared with any other organization.

Otherwise, we are always available to answer your questions or listen to your concerns via phone at (661) 972-1450 or mail at P.O. Box 734, Tehachapi CA 93581-0734.

Thank you for your continuing support.

Sincerely,
JoAnne Huckins
Chair

6Aug2008
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