[Lexington] New Albert Chandler Hospital plans

[seicer]

Hospital construction adds more changes

Hospital seeks construction expansion

If you can't view either (registeration is required usually), see the Albert B. Chandler Hospital Wikipedia entry for information regarding the changes. Essentially, the hospital is at 85% capacity and will be at 100% by 2011. The board wishes to add two more stories during construction. It is likely to be approved because of the criteria (>75% occupancy, etc.).

Remember that not long ago, they added a second patient tower to the plans...

[seicer]

UK plans to buy, operate Samaratian Hospital

The Albert B. Chandler Hospital is seeing an occupancy rate of around 85%. Projected several years ago, the growth rate was assumed to remain constant at 4.5%, however, it is at 10%. The dramatic increase will see a 100% occupancy rate by 2011; on the other hand, Samaratian Hospital has been averaging the low 20s!

Article information: "UK plans to buy, operate hospital, No administration, staff layoffs seen, By Karla Ward, Herald-Leader [Lexington], Fri, Feb. 16, 2007"

[seicer]

Officials Break Ground on New UK Albert B. Chandler Hospital

Notes --

1. On May 30, 2007, ground was broken for phase one of the new 1 million sq. ft. University of Kentucky Albert B. Chandler Hospital. The $450 million is one of the largest projects in state history -- not just in size, but the impact it will have on the economy and health of Kentucky.

2. Ground was broken on the current hospital in 1955, when Governor A.B. "Happy" Chandler recommended that the Kentucky Legislature approperiate $5 million for the creation of the University of Kentucky College of Medicine and a medical center at the university. This was done after a series of studies were conducted that highlighted the health needs of the citizens, as well as the need to train more physicians for the state.

3. The first phase of the new hospital will open in 2011. Construction on the main structures will begin in May 2008.

4. The new patient care facility parking garage will open in fall 2007. The existing garage will then be demolished and work will begin on the new building.

Article information: "Officials Break Ground on New UK Albert B. Chandler Hospital, By Amanda Nelson, University of Kentucky, May 30, 2007"

[seicer]

UK hospital project expands: UK board retreat looks at growing size, costs

UK hospital project expands, By Karla Ward, Herald-Leader, June 12, 2007

UK's Board of Trustees' Hospital Committee held a retreat at the Keeneland Race Course yesterday to discuss issues regarding the new Chandler Hospital.

Phase one of the project, which should be complete by 2011, will feature 592 beds and cost $525 million. The original projections were for 489 beds and a cost of $450 million. UK is currently allotted 489 beds. The budge increased primarily because of site issues, as well as the decision to add a second patient tower, build the shell for an auditorium, and increase the number of parking spaces in the garage currently under construction.

It will be financed through hospital revenues and bonds. The state legislature, however, gave the university only $450 million in bonding authority, so UK will go and request from the General Assembly permission to spend an additional $250 million of revenue to complete the relocation from the existing hospital. UK could also raise funds by selling Cold Stream Laboratories, formerly known as the Center for Pharmaceutical Science and Technology before UK took it private. The medical center will keep $200 million in cash "on hand" throughout the construction of the new hospital to avoid financial issues.

The new hospital is expected to generate revenues of $45 million per year through 2011. For 2006-2007, it is expecting a profit of $46.4 million, an increase from $45.1 million the previous fiscal year. Growth is also expected to slow, beginning in fiscal year 2008 -- after four years of 10% increases.

In September, UK Healthcare officials will decide whether to add shell space for two additional floors to the patient towers, or to construct eight operating rooms. There is not enough money for both. Also on hold is a new cafeteria that was once planned for the new facility, but for now, the existing cafeteria is being renovated and will serve the new facility.

The first phase of the project includes a 1,598-space parking garage, an emergency department, four inpatient wings, imaging services, admitting area, lobby, gift shop, patient library, chapel, and coffee shop. Other phases depend on the availability of funding. The entire hospital relocation should be complete by 2019 with a cost of nearly $700 million. It is anticipated that the hospital will contain 630 beds.

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In related news, UK is purchasing Samaritan Hospital and will close the deal on June 29. That will mean the hospital will stay open -- it was facing closure -- and the transfer of some patients to the facility. UK also hopes that Samaritan will turn a profit, although its profit margins were hovering around 10%. It was caring for approximately 50 inpatients per day, and UK hopes to double that number over the next year.