HomeMy WebLinkAboutRes2015-029 Sponsored by: Hunt
CITY OF SEWARD,ALASKA
RESOLUTION 2015-029
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING THE SEWARD COMMUNITY HEALTH
CENTER TO APPLY FOR A 2015 US DEPARTMENT OF HEALTH AND
HUMAN SERVICES HEALTH RESOURCES AND SERVICES
ADMINISTRATION HEALTH INFRASTRUCTURE IMPROVEMENT
PROGRAM GRANT REQUIRING CITY COMMITMENT OF ANY FUNDS
NECESSARY TO COMPLETE THE PROJECT
WHEREAS,improving health care services and access to health care services is in the best
interests of the public; and
WHEREAS,the City of Seward has for many years pursued improvements in health care,
both through partnership with Providence Seward Medical and Care Center (PSMCC), and more
recently as grantee and co-applicant for funding to establish a Federally Qualified Health Center
(FQHC), the Seward Community Health Center(SCHC); and
WHEREAS, colocation of these organizations on a common campus and in common
facilities results in efficiencies and mutually supporting synergies for both, but that multiple space
challenges exist for both organizations,as discussed in January 19,2015 and March 23,2015 work
sessions with the City Council addressing Space Planning for SCHC and PSMCC; and
WHEREAS,SCHC and PSMCC staff have worked collaboratively with Architects Alaska
on conceptual modification,expansion and renovation designs using the existing City owned site and
facility to effectively address operational and space needs for both health care organizations; and
WHEREAS,the City acts as a legally separate co-applicant in order to obtain federal grant
funds to support a FQHC in accordance with Section 330 of the Public Health Safety Act(42 USC
§254b), requiring that the City serve as the public entity for receiving and disbursing federal 330
grant funds utilized by the FQHC; and
WHEREAS, the US Department of Health and Human Services' Health Infrastructure
Improvement Program (HIIP) offers up to one million dollars ($1,000,000)through a competitive
grant program to existing Health Center Program grantees to be used to improve or increase services
through alteration/renovation, expansion or construction of a facility; and
WHEREAS,a condition of the grant is that the City,at a minimum,commit to provide any
additional funds necessary to complete any and all SCHC portions of the project identified in the
grant application; and
WHEREAS, the base level project, identified as Phase I, including the expansion and
CITY OF SEWARD, ALASKA
RESOLUTION 2015-029
renovation of the current facility necessary to complete all aspects of the project related to SCHC,
has an estimated total project cost of$4,019,014 and, with the full federal award could result in
$3,019,014 of additional estimated City funding necessary to complete Phase I; and
WHEREAS, the SCHC Board of Directors met March 26, 2015, and recommended
requesting City Council authorization to proceed with the HIIP grant application; and
WHEREAS,the City desires that an application for HIIP funding be submitted in support of
the SCHC portion of Phase I of the hospital facility improvement project.
NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD,ALASKA that:
Section 1. The City of Seward supports requesting the HIIP funding and authorizes the
SCHC to prepare and submit the grant application on its behalf for up to one million dollars
($1,000,000)towards Phase I of the proposed hospital facility improvement project.
Section 2. Contingent upon the grant being awarded, the City will provide the additional
funding necessary to complete the project, identified as Phase I, with an estimated total cost of
$4,019,014.
Section 3. The City of Seward approves the expansion and renovation of the current facility
as included in Phase I and commits to moving forward with Phase I of the proposed project,
contingent upon the grant being awarded.
Section 4. The City of Seward will take any and all steps necessary to the best of its ability
to complete Phase I of the proposed project no later than August 31,2018,contingent upon the grant
being awarded.
Section 5. This resolution shall take effect immediately upon adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska,this 13th day of
April, 2015.
CITY OF SEWARD, ALASKA
RESOLUTION 2015-029
THE CITY OF SEWARD,ALASKA
M ianna Keil,Vice ayor
AYES: Terry, Squires, Darling, Keil
NOES: Casagranda, Butts
ABSENT: Bardarson
ABSTAIN: None
ATTEST:
Jo anna Kinney, CMC
Clerk
(City Seal)
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Council Agenda Statement
Meeting Date: April 13, 2015
From: Jim Hunt, City Manager I _ b
Agenda Item: To authorize the Seward Community Health iturisp,
Center to apply for a Health Infrastructure and •
Improvement grant, and committing City funds to
compete the clinic expansion project if the grant is
awarded
BACKGROUND & JUSTIFICATION:,
The City has participated in providing health care services to the community for many years, and
continues to partner with Providence Seward Medical and Care Center (PSMCC) and the Seward
Community Health Clinic (SCHC) to improve access to health care services.
Both PSMCC and SCHC currently occupy the City-owned facility. The shared location results in
synergies of service and efficiencies for both organizations,and as discussed in two work session with
the City Council,also presents some space challenges and therefore opportunities to consider strategic
expansion or renovation options that would best meet the need for additional space.
Staff from both organizations have worked with Architects Alaska to bring back to Council a set of
options for expansion or renovation of the facility, and has presented to the Council a concept design
consisting of Phase I(expansion and renovation)and Phase II(full build out)of the existing facility to
serve existing and future needs.At the same time,SCHC has identified a US Department of Health and
Human Services grant opportunity for up to $1 million, available to existing Health Care Center
grantees for use in work on a facility that results in increased or improved health care services to the
community.
The grant application requires that the public entity eligible to receive and disburse the funds under the
Public Safety Health Act, in this case the City, commit to providing any additional funds necessary to
complete and all SCHC portions of the project identified in the grant application.
Project cost for the SCHC-related portions of the Phase I development is estimated at $4,019,014,
therefore, with full federal award, the City could be responsible for the $3,019,014 necessary to
complete the project.
The SCHC Board of Directors met March 26, 2015, and recommended that City Council authorize
pursuing the grant application.
INTENT: Council approve and authorize the SCHC to prepare and submit the grant application on the
City's behalf for up to one million dollars($1,000,000)towards Phase I of the proposed hospital facility
improvement project.
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CONSISTENCY CHECKLIST: Yes No N/A
1 Comprehensive Plan (3.7.3.2):Relocate the long term care facility and X
the hospital to a site which will support expansion and modernization.
2 Strategic Plan(p. 19)Other Major Elements of Our Vision: Maintain X
and enhance medical and social services
3. Other (list):
FISCAL NOTE: The City of Seward is the owner of the healthcare facilities utilized by the clinic and
hospital, and expansion of those facilities necessitates City involvement and funding. The City
maintains a 1% sales tax designated for healthcare capital and services, generating approximately $1
million per year. Funding for expansion of the hospital/clinic building can be financed through a
combination of grant funds, cost-based reimbursement funding (for the hospital portion of the
expansion),patient revenues associated with added services and/or utilization,revenue bonds,and the
sales tax proceeds dedicated to healthcare. A precise plan for funding will be developed prior to final
submission of a grant application,based on the proposed configuration of the expansion project(space
allocation between the hospital and clinic facilities).
Approved by Finance Department: A---/l. 1 ._ .
ATTORNEY REVIEW: Yes No X
RECOMMENDATION: Council authorize the SCHC to submit the grant application.
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