Does anyone remember a debate like this back in 2004 on the DM location in Jim Barnett Park?
I sure do not recall any such debate, wonder why or maybe I missed it?
Thursday, June 24, 2010
Friday, May 21, 2010
What is a "park" and why was the DM location chosen in Jim Barnett Park?
Not showing any disrespect here, but just wanted to remind everyone that a "park" is:
Is not Jim Barnett Park becoming more and more commercialized with more buildings while losing valuable green space?
Times have changed and the lease has expired, why not explore keeping the DM downtown to hopefully keep a draw of visitors on the walking mall to patronize those businesses.
After having dialog with two former Park-n-Rec board members, they basically had NO say in the deal as City Council and DM members worked it out.
Wonder why DM and the 2004 City Council members/Ed Daley were so gung ho about the Park?
Wonder if it will eventually have some connection with SU?
Wonder who will benefit the most with the DM in the Park?
1. An area of land set aside for public use, as:
a. A piece of land with few or no buildings within or adjoining a town, maintained for recreational and ornamental purposes.
b. A landscaped city square.
c. A large tract of rural land kept in its natural state and usually reserved for the enjoyment and recreation of visitors.
Is not Jim Barnett Park becoming more and more commercialized with more buildings while losing valuable green space?
Times have changed and the lease has expired, why not explore keeping the DM downtown to hopefully keep a draw of visitors on the walking mall to patronize those businesses.
After having dialog with two former Park-n-Rec board members, they basically had NO say in the deal as City Council and DM members worked it out.
Wonder why DM and the 2004 City Council members/Ed Daley were so gung ho about the Park?
Wonder if it will eventually have some connection with SU?
Wonder who will benefit the most with the DM in the Park?
Tuesday, May 18, 2010
Park perception - Now transitioning into a private club?
If Discovery Museum officials are all about constructing a “green” building, then why would supporters even consider building on basically the last desirable green space in Jim Barnett Park?
Anyone can clearly understand why DM officials wanted the building in Jim Barnett Park with the sweetheart deal that was given on a 40-year lease for $1 annually on the land, but that deal has expired.
Wonder why this green space was even offered up by the prior Parks & Rec board and City Council back in 2004?
Has not Jim Barnett Park already sacrificed enough green space? Most notable, back in 1995, the community lost free use of 7.2446 acres of the former Rouss Park, which was open space that included an unsecured baseball field that is now home to Ohrstrom-Bryant Theatre. Shenandoah University got the deal of the century when it purchased the Rouss park property for $1.5 million at 0 percent interest on a three-year note for that high-profile green space.
Why would I state “deal of the century”?
As Shelly Lee pointed out in The Star on May 4, the museum is educational, but how is it going to be affordable for all children with the rate of admission jumping from $7 at the present location to $10 if it’s constructed in the park?
Several folks have already shared their thoughts in The Star with alternative possibilities because there are so many vacant and under-utilized buildings in Winchester in or close to the downtown with ample parking.
Kudos to the current Parks & Rec board members who did a heckuva job in drawing up all of those questions on the Discovery Museum that were featured in The Star on April 24.
The vision of WPRD is that it strives to develop, provide, and maintain quality programs and facilities that meet the growing needs of our diverse community.
The perception is that Jim Barnett Park is transitioning into a private club if individuals don’t have necessary funds to participate.
Anyone can clearly understand why DM officials wanted the building in Jim Barnett Park with the sweetheart deal that was given on a 40-year lease for $1 annually on the land, but that deal has expired.
Wonder why this green space was even offered up by the prior Parks & Rec board and City Council back in 2004?
Has not Jim Barnett Park already sacrificed enough green space? Most notable, back in 1995, the community lost free use of 7.2446 acres of the former Rouss Park, which was open space that included an unsecured baseball field that is now home to Ohrstrom-Bryant Theatre. Shenandoah University got the deal of the century when it purchased the Rouss park property for $1.5 million at 0 percent interest on a three-year note for that high-profile green space.
Why would I state “deal of the century”?
- SU paid $8.09 per square foot for the former Exxon station property lot at 710 Millwood Ave., now an SU parking lot beside Bob Evans, on May 14, 1993.
- SU purchased Rouss Park for $4.75 per square foot on Aug. 17, 1995.
- SU paid $9.71 per square foot for the property at 647 Millwood on April 1, 1996, a former service station property lot that is basically now the parking lot at TV3-Winchester.
As Shelly Lee pointed out in The Star on May 4, the museum is educational, but how is it going to be affordable for all children with the rate of admission jumping from $7 at the present location to $10 if it’s constructed in the park?
Several folks have already shared their thoughts in The Star with alternative possibilities because there are so many vacant and under-utilized buildings in Winchester in or close to the downtown with ample parking.
Kudos to the current Parks & Rec board members who did a heckuva job in drawing up all of those questions on the Discovery Museum that were featured in The Star on April 24.
The vision of WPRD is that it strives to develop, provide, and maintain quality programs and facilities that meet the growing needs of our diverse community.
The perception is that Jim Barnett Park is transitioning into a private club if individuals don’t have necessary funds to participate.
Sunday, May 16, 2010
Immigration by the Numbers
November 02, 2006 — This is a MUST SEE video for anyone interested in the immigration debate, whether you are a citizen, an illegal alien or a Congressman.
This video, Immigration by the Numbers, features Roy Beck demonstrating the catastrophe of the huge numbers of both legal and illegal immigration by Third World people into the modern nations. He uses standard statistics and simple gumballs to show this disaster in the making.
Video was done by Roy Beck:
http://www.answers.com/topic/roy-beck
This video, Immigration by the Numbers, features Roy Beck demonstrating the catastrophe of the huge numbers of both legal and illegal immigration by Third World people into the modern nations. He uses standard statistics and simple gumballs to show this disaster in the making.
Video was done by Roy Beck:
http://www.answers.com/topic/roy-beck
Wednesday, May 12, 2010
Valley Health meeting deals with growth
First of all, I like to state in my opinion, Mr. Mark Merrill is a very nice individual. I think he'll be the best thing to happen to VHS.
There is no doubt that VHS is feeling the affects of the economy as it was featured in a story today in the Winchester Star ... Valley Health meeting deals with growth
BUT I have much concern if VHS is doing a better job of pre-qualifying the customers. Up until last May/June timeframe of 2009, their billing policy was not as detailed as it reads today ... www.valleyhealthlink.com/billing
Valley Health's previous billing policy … Valley Health January 15, 2009 Financial Aid Policy basically stated the following:
I was informed of a lady right now that was paying $10 per week on an outstanding bill and VHS elected to garnish her wages.
After a friend of mine inquired with me, the perception is that this lady is a prime candidate for some type of financial assistance. I asked … did she fill out the FIS form? My friend stated that from what he understood that she was not aware of any such FIS form.
Currently, the middle-aged lady has the necessary forms in her possession and hopefully the outstanding debt that VHS has elected to garnish her wages for will be written off as bad-debt now since it’s already been billed.
There is a strong suspicion that this lady would have qualified for “charity-care” only IF she would have been pre-qualified.
Now here’s the kicker, if VHS is not doing the best job possible of pre-qualifying the customers, then if it’s done after the fact, after it’s been billed, that will inflate the “bad debt” figure as it’s the “charge figure” that is written off vs. the “cost figure” when “charity care” is predetermined.
Basically, if you sell a widget for $100 but it only costs you $2 to make, then for “charity care” purposes you are only allowed to write-off $2. Once it’s been billed at the charge of $100, then VHS has to write-off $100 for bad-debt if a customer qualifies for charity-care assistance after the fact of being billed.
Now granted, there are some folks who have the ability to pay but refuse to pay as those would be legitimate bad debt expenses.
The evident perception was that if you the customer did not ask or inquire about any type of financial assistance, then VHS did not inform you. Mr. Merrill told me in person that they are trying to do a better job of pre-qualifying the customers.
So folks, it’s up to you to ask the questions and file the necessary FIS form found in the following link … www.valleyhealthlink.com/billing
To close, don't forget the WMC had been pretty darn profitable.
The Winchester Medical Center's profits alone from 2001-2007 increased 460%.
There is no doubt that VHS is feeling the affects of the economy as it was featured in a story today in the Winchester Star ... Valley Health meeting deals with growth
Merrill also noted some challenges Valley Health has been facing, such as a declining demand for elective surgeries and an increase of charity care and bad debt in the last four years.
“We’ve had almost a 1 percent increase, or a $10 to $12 million increase, year-over-year in terms of our charity care and bad debt, as the economy has softened and more people have been added to the roles of the uninsured,” he said. “Hopefully, the health reform will reduce some of those uninsured.”
BUT I have much concern if VHS is doing a better job of pre-qualifying the customers. Up until last May/June timeframe of 2009, their billing policy was not as detailed as it reads today ... www.valleyhealthlink.com/billing
Valley Health's previous billing policy … Valley Health January 15, 2009 Financial Aid Policy basically stated the following:
- Please pay us
- If you cannot pay us, make arrangements to pay us
- If you are uninsured, we want a deposit
I was informed of a lady right now that was paying $10 per week on an outstanding bill and VHS elected to garnish her wages.
After a friend of mine inquired with me, the perception is that this lady is a prime candidate for some type of financial assistance. I asked … did she fill out the FIS form? My friend stated that from what he understood that she was not aware of any such FIS form.
Currently, the middle-aged lady has the necessary forms in her possession and hopefully the outstanding debt that VHS has elected to garnish her wages for will be written off as bad-debt now since it’s already been billed.
There is a strong suspicion that this lady would have qualified for “charity-care” only IF she would have been pre-qualified.
Now here’s the kicker, if VHS is not doing the best job possible of pre-qualifying the customers, then if it’s done after the fact, after it’s been billed, that will inflate the “bad debt” figure as it’s the “charge figure” that is written off vs. the “cost figure” when “charity care” is predetermined.
Basically, if you sell a widget for $100 but it only costs you $2 to make, then for “charity care” purposes you are only allowed to write-off $2. Once it’s been billed at the charge of $100, then VHS has to write-off $100 for bad-debt if a customer qualifies for charity-care assistance after the fact of being billed.
Now granted, there are some folks who have the ability to pay but refuse to pay as those would be legitimate bad debt expenses.
The evident perception was that if you the customer did not ask or inquire about any type of financial assistance, then VHS did not inform you. Mr. Merrill told me in person that they are trying to do a better job of pre-qualifying the customers.
So folks, it’s up to you to ask the questions and file the necessary FIS form found in the following link … www.valleyhealthlink.com/billing
To close, don't forget the WMC had been pretty darn profitable.
The Winchester Medical Center's profits alone from 2001-2007 increased 460%.
2001 - $11.8 million (per Quad State Biz Journal)
'
'
'
2005 - $54,346,679 (per IRS990)
2006 - $57,422,678 (per IRS990)
2007 - $66,617,961 (per IRS990)
Sunday, May 9, 2010
The Spirit of Shenandoah campaign update
Campaign Progress
Overall Campaign Goal: $65.0 million
Raised to Date: $65.1 million
Raised to Date: $65.1 million
The overall campaign goal is comprised of the following:
Capital Gifts
Capital Gifts Goal: $29.5 million
Raised to Date: $18.3 million
Endowment
Endowment Goal: $32.0 million
Raised to Date: $16.6 million
Operational
Operational Goal: $3.5 million
Raised to Date: $30.2 million
http://www.spiritofshenandoah.org/Progress/progress.asp
Friday, May 7, 2010
Interesting perspective on HS baseball from KY high school legendary coach
PRP's Miller says prep baseball players put stats first
Mike Fields notebook: April 30
Mike Fields - Herald-Leader Staff Writer
There is no more authoritative voice on Kentucky high school baseball than Pleasure Ridge Park Coach Bill Miller. He recently earned his 900th career victory, the third most in state history. In 30 years with the Panthers, he's won four state titles and been runner-up four times. He's a guru of the game.
So it was interesting to hear Miller expound on high school baseball when I called him to ask about his 900th win. He shrugged that off by saying he's been around a long time and has had a lot of good players. This year's PRP is 18-3 "but I don't know if that means anything. It may just mean we haven't played very good competition."
Thus began Miller's blunt appraisal of Kentucky high school baseball: "Everybody talks about how much better is these days, but I don't concur. Every year I think it gets weaker." Miller offered the opinion that past powerhouses, such as Madison Central's undefeated 1982 state champs and Harrison County's best clubs in the 1990s "would eat these teams alive today."
He thinks today's kids lack baseball instincts that come from playing a lot, even if it's stickball in the backyard.
"I think what happens is that parents are looking for shortcuts for their kids, so they pour money into private instruction, private hitting lessons." Miller thinks summer travel teams are also a curse. Players (and their parents) are more interested in individual highlights and catching a scout's eye than learning the basics of the game. "What's happening in baseball is what happened with AAU basketball several years ago, and it's pathetic what it did to basketball."
Just as some kids (and their parents) consider AAU hoops more important than the high school game, Miller thinks the same thing is taking hold in baseball. Parents are wary of their kids' high school coaches counteracting what their kids learned in private instruction. "Used to be, parents brought their kids to us and asked us to make them better," Miller said. "Now they say, 'My son's been working with so-and-so. I don't want you messing with him.
"I guess I sound like a doomsayer," Miller added. "I hope I'm wrong. Maybe it's a cycle. Maybe we'll see better teams and players come along. But it doesn't seem to be going that direction."
Link: PRP's Miller says prep baseball players puts stats first
Mike Fields notebook: April 30
Mike Fields - Herald-Leader Staff Writer
There is no more authoritative voice on Kentucky high school baseball than Pleasure Ridge Park Coach Bill Miller. He recently earned his 900th career victory, the third most in state history. In 30 years with the Panthers, he's won four state titles and been runner-up four times. He's a guru of the game.
So it was interesting to hear Miller expound on high school baseball when I called him to ask about his 900th win. He shrugged that off by saying he's been around a long time and has had a lot of good players. This year's PRP is 18-3 "but I don't know if that means anything. It may just mean we haven't played very good competition."
Thus began Miller's blunt appraisal of Kentucky high school baseball: "Everybody talks about how much better is these days, but I don't concur. Every year I think it gets weaker." Miller offered the opinion that past powerhouses, such as Madison Central's undefeated 1982 state champs and Harrison County's best clubs in the 1990s "would eat these teams alive today."
He thinks today's kids lack baseball instincts that come from playing a lot, even if it's stickball in the backyard.
"I think what happens is that parents are looking for shortcuts for their kids, so they pour money into private instruction, private hitting lessons." Miller thinks summer travel teams are also a curse. Players (and their parents) are more interested in individual highlights and catching a scout's eye than learning the basics of the game. "What's happening in baseball is what happened with AAU basketball several years ago, and it's pathetic what it did to basketball."
Just as some kids (and their parents) consider AAU hoops more important than the high school game, Miller thinks the same thing is taking hold in baseball. Parents are wary of their kids' high school coaches counteracting what their kids learned in private instruction. "Used to be, parents brought their kids to us and asked us to make them better," Miller said. "Now they say, 'My son's been working with so-and-so. I don't want you messing with him.
"I guess I sound like a doomsayer," Miller added. "I hope I'm wrong. Maybe it's a cycle. Maybe we'll see better teams and players come along. But it doesn't seem to be going that direction."
Link: PRP's Miller says prep baseball players puts stats first
Sunday, May 2, 2010
Still NO response to these questions on the Wellness Center from any VHS official
For the record, the editorial was in print in the Winchester Star back on 10-16-2009.
Valley Health opened the doors of their new Wellness Center last September of 2008. Since it’s nearing a year old, it’s fair to the local community to be aware of its annual checkup. The $17million dollar Wellness Center project was funded from VHS [Valley Health System] cash reserves. FY 2004 year-end balance sheets showed cash, cash equivalents and investments in excess of $170 million, easily sufficient to finance the capital costs of the project. Still have not been able to obtain the figures on Valley Health’s cash reserves for FY2005, 2006, 2007 and 2008.
Since Valley Health is a not-for-profit, one can be under the assumption that this information should be made available to the public when it’s requested. Unfortunately, the former CEO did not provide that answer as it was a question featured in the open forum of the Winchester Star on February 23, 2009 “Vexing Paradox”, Questions posed to better understand VH ‘community benefit’.
Below are a few reasonable questions that should be a good barometer to inform the local community on how the Wellness Center is operating during these difficult economic times. Quotes and statements were obtained from the Quad State Business Journal in May of 2006.
- Are the current members at the Wellness Center representing all of the economic classes from our local community?
One issue raised by the International Health, Racquet and Sportsclub Association in Boston, in a January [2005] letter to Valley Health's board of directors, is that "to justify a hospital-affiliated fitness facility' tax exempt status, it must restrict membership to hospital patients; or if non-patients will be members it must be available to the entire community and be able to document that its membership is representative of all economic classes in the community. The tax exemption of several hospitals has been challenged, often successfully, because hospitals have failed to meet theses guidelines."- What are the outreach programs available where anyone can come at any time and there are no fees?
- What is the current membership and what is the age breakdown of present members? It has been said current membership is somewhere between 5,000 – 6,000 members.
Dena Kent said financial aid would be available to some people. "We will do health assessments on every member and develop individual plans for them. If they have a medical condition that needs attention, then they can get a scholarship [if they are needy]. "There will be a number of health outreach programs, where anyone can come at any time and there are no fees."
In projections used for COPN (Certificate of Pubic Need) approval, Valley Health said it is looking at a membership of 4,000 persons, targeting the 35-to 80-age group, especially people who don't exercise, said Kent.
- Have local tax paying health club memberships increased since the Wellness Center opened it’s door to the local public, or worse yet, did any of them shutdown within the last year?
"I have met with owners of the local clubs, and some say we will take members away from them," said Kent. "But we are hoping to attract people who don't exercise. In most markets, commercial clubs did not go out of business; their memberships actually went up because of the increased awareness of fitness."
Valley Health is projecting the wellness center business will break even in its second year, and after the third year will throw off cash flow of almost $1.3 million. Funding the cost of the center from Valley Health internal resources means there is no requirement for debt service.
For the record, the information above was in print in the Winchester Star back on 10-16-2009.
View these documents of interests below:
January 2005 - Letter from IHRSA to VHS BOD's that went unanswered according to Tim Sullivan who is a Legislative Analyst for IHRSA, International Health, Racquet & Sportsclub Association.
IHRSA_Letter_BOD_VHS_2005_Page1
IHRSA_Letter_BOD_VHS_2005_Page2
May 2006 - Article that was featured in the Quad State Business Journal.
VHS Plans to Build Wellness Center
Between the Winchester Star on April 9th's and NVDaily's April 17th front page articles, was able to obtain the following information:
(NVDaily) - The center, which opened in September 2008, brought in $1.1 million in revenue in its first three months of operation, according to tax records.
(WincStar) - Just before the wellness and fitness center opened in September 2008, it had collected 3,200 applications for membership.
Kent said the goal was to reach 5,000 members in three years, but it has moved beyond that. “We hit that number in a year,” she said, noting that the center now has 5,800 members.
Saturday, May 1, 2010
SU Baseball Mourns Loss
WINCHESTER, Va. – The Shenandoah University baseball team mourns the loss of one of its own Saturday as Preston Tarleton ’08 passed away Friday following a car accident last Sunday evening.
Tarleton, who played in 78 games for from 2005-08 as an outfielder, was involved in a one-car accident Sunday evening in his native Maryland. He was transported to Baltimore’s Shock Trauma Hospital following the accident and passed away Friday afternoon after being taken off of life support.
“We are devastated,” SU head coach Kevin Anderson said. “Preston was the kind of young man that makes programs great – he never said a word, but came to the ballpark everyday ready to play.
“We have a number of players still in the program that played with Preston as well as a couple of members of my coaching staff who played with or coached him, and we all extend our deepest sympathies to Preston’s family.”
Tarleton’s best season in a Hornets uniform came in 2007, when he hit .308 with two doubles in 13 starts. For his career, he had 39 hits and 23 RBI.
Tarleton, 23, is survived by his parents Mask and Haypatia Tarleton. He graduated from Shenandoah’s Harry F. Byrd School of Business in 2008 and was a USA South Conference All-Academic team honoree in his senior year.
Funeral arrangements are pending at this time.
Tarleton, who played in 78 games for from 2005-08 as an outfielder, was involved in a one-car accident Sunday evening in his native Maryland. He was transported to Baltimore’s Shock Trauma Hospital following the accident and passed away Friday afternoon after being taken off of life support.
“We are devastated,” SU head coach Kevin Anderson said. “Preston was the kind of young man that makes programs great – he never said a word, but came to the ballpark everyday ready to play.
“We have a number of players still in the program that played with Preston as well as a couple of members of my coaching staff who played with or coached him, and we all extend our deepest sympathies to Preston’s family.”
Tarleton’s best season in a Hornets uniform came in 2007, when he hit .308 with two doubles in 13 starts. For his career, he had 39 hits and 23 RBI.
Tarleton, 23, is survived by his parents Mask and Haypatia Tarleton. He graduated from Shenandoah’s Harry F. Byrd School of Business in 2008 and was a USA South Conference All-Academic team honoree in his senior year.
Funeral arrangements are pending at this time.
Friday, April 23, 2010
Private College/University's financial comparison for years 2006 - 2008
Click on the following link to view the private school's financial comparison among the USA-South and ODAC conferences:
SU's breakdown on contributions, gifts, grants, and similar amounts received:
2006:
10,124,069 - Direct Public Support
367,293 - Indirect Public Support
2,088,700 - Gov't Contributions (Grants)
==========
12,580,062 = Cash 8,620,821 + NonCash 3,959,241
2007:
4,087,383 - Direct Public Support
412,538 - Indirect Public Support
2,888,565 - Gov't Contributions (Grants)
==========
7,388,486 = Cash 6,486,875 + NonCash 901,611
2008:
6,638,299 - Direct Public Support
403,200 - Indirect Public Support
1,482,743 - Gov't Contributions (Grants)
==========
8,524,242 = Cash 7,615,757 + NonCash 908,485
2008, 2007, 2006 financial comparison (USA-South and ODAC schools)
SU's breakdown on contributions, gifts, grants, and similar amounts received:
2006:
10,124,069 - Direct Public Support
367,293 - Indirect Public Support
2,088,700 - Gov't Contributions (Grants)
==========
12,580,062 = Cash 8,620,821 + NonCash 3,959,241
2007:
4,087,383 - Direct Public Support
412,538 - Indirect Public Support
2,888,565 - Gov't Contributions (Grants)
==========
7,388,486 = Cash 6,486,875 + NonCash 901,611
2008:
6,638,299 - Direct Public Support
403,200 - Indirect Public Support
1,482,743 - Gov't Contributions (Grants)
==========
8,524,242 = Cash 7,615,757 + NonCash 908,485
Tuesday, April 13, 2010
Downtown Arena Concept shared with the Planning Commission
The concept of an Arena downtown on the walking mall was shared with the Planning Commission this afternoon.
Below is a link where the power-point can be viewed:
http://www.slideshare.net/
Below is a link where the power-point can be viewed:
http://www.slideshare.net/
Friday, April 9, 2010
City officials pursuing VHS for some taxes
The Winchester Star ran two front page articles today. Brief segments below:
Tax tiff
Winchester Medical Center and city officials zero in on application of the hospital’s tax-exempt status to property used for purposes other than traditional health care.By Vic Bradshaw
The Winchester Star
Winchester--This year, the city government is performing its triennial assessment of properties owned by nonprofit organizations.
The timing, it appears, could not be better.
City officials and Winchester Medical Center have been in a bit of a tax tug-of-war recently, and the parties hope a fresh reassessment will provide some clarity regarding their differences.
At issue is the application of the hospital’s tax-exempt status to property used for purposes other than traditional health care.
“Valley Health needs to pay taxes — and that’s real estate taxes and personal property taxes and [Business, Professional and Occupational License] taxes — on things that are generating revenue for Valley Health,” said Jeffrey Buettner, the City Council’s president. “It puts them at an unfair advantage with the private sector, and that’s wrong. It’s a fairness issue. We’re not on a witch hunt here.”
For remainder of the article, click on this link:
http://winchesterstar.com/pages/view/tax.html
A different health clubValley Health Wellness and Fitness Center doesn’t emphasize body-building or muscle-sculptingBy Lorraine Halsted
The Winchester Star
Winchester--On a recent Friday, Keith Edic walked past the rows of elliptical trainers, treadmills, and resistance training equipment in the the expansive sunlit room at Valley Health Wellness and Fitness Center. While the early-morning crowd had thinned out, the center was still bustling — with members milling around and working out on exercise machines — while a small free-weight room in the corner was sitting empty.
For remainder of the article, click on this link:
http://winchesterstar.com/pages/view/club.html
Thursday, April 8, 2010
Reviewing the side-by-side comparison again with Lewis-Gale Medical Center
Salem officials sit on Lewis-Gale board
Roanoke Times & World News, Apr 4, 2010 | by Sarah Bruyn Jones
For at least a decade Lewis-Gale Medical Center has relied on the advice of Salem city officials in making decisions related to its hospital.
And Salem, with an estimated population of 25,400, has also relied on the strong relationship it has developed with its largest taxpayer and non-government employer. Lewis-Gale -- owned by for- profit HCA, which bills itself as the nation's leading provider of health care services -- contributes roughly $1.9 million in annual revenue to the city from business license fees, personal property taxes and real estate taxes. Lewis-Gale employs about 1,500 people, slightly fewer than the Salem Veterans Affairs Medical Center.
Most directly, the Salem-based Lewis-Gale hospital has solicited advice by appointing city officials to its board of trustees. Currently two officials sit on the Lewis-Gale advisory board. They are City Manager Kevin Boggess and Melinda Payne, director of the department of planning and development.
"They are going to understand the needs of the community and they can provide valuable advice and direction on the needs of the community," said Nancy May, spokeswoman for Lewis-Gale.
Payne has served on the board for about three years, while Boggess was just recently appointed. Boggess' city manager predecessor, Forest Jones, is a former board member.
Some ethicists question the arrangement.
"It seems to me that there is at least the potential for a conflict of interest to exist," said Rich Wokutch, a professor at Virginia Tech's Pamplin College of Business who specializes in business ethics.
After all, a city official could have to work with competitors of the hospital, or something beneficial to the hospital might not be in the best interest of the city.
Boggess, prior to joining the board, stood up at a public hearing to support Lewis-Gale's efforts to prevent Carilion Clinic from bringing a mobile imaging unit to Salem. More recently another competitor of Lewis-Gale has worked with the city in planning to develop an outpatient surgery center and medical offices on the former Elizabeth Campus.
"We're a free market," Boggess said when asked about the proposed Elizabeth Campus development. "And competition is good and the city of Salem has an interest in seeing that property developed."
Both Boggess and Payne said their first commitment is to the city government and their paid jobs. Lewis-Gale board members are not paid.
"Our positions are we are going to do what's in the best interest of the city. Always," Payne said. "That's what we have to do."
Boggess also emphasized that much of the advice he is asked to give focuses on internal hospital policy and personnel issues.
Wokutch said at the very least people in the position of Payne or Boggess should recuse themselves from decisions where even the appearance of a conflict of interest might exist. Both said they would do exactly that. Additionally, May said the board bylaws require every trustee to sign a statement listing all conflicts of interest.
"The trustee also agrees not to participate in any vote or deliberations on the matter," May said.
While the arrangement may raise some eyebrows among ethicists who discourage cozy relationships between government and business, one expert in hospital board structure said this situation is unique and harmless.
Typically James Orlikoff said he would vehemently oppose any hospital that appointed a government official to its board. But that's mostly in the case of nonprofit hospitals. For instance, Roanoke-based Carilion Clinic is a nonprofit and does not have any government officials on its board of directors, which has a governing instead of an advisory role.
Orlikoff, who is president of a Chicago-based consulting firm that specializes in hospital governance, said that for-profit hospitals that are part of the national HCA Inc. chain, such as Lewis-Gale, have an entirely different governance structure that makes the question of conflict moot. In short, the hospital's trustees really don't have any power and can make only recommendations, which may or may not be adhered to by management.
"The real power rests with the corporate board of HCA, not the hospital advisory board," Orlikoff said. "The bottom line is it doesn't matter what the board says, HCA is going to do what it wants to do to make a profit."
Remember the side-by-side comparison between Lewis-Gale and Winchester Medical Center? If not, then follow this link on the post from November 9, 2009: