The Memorial Hospital reduces VNA’s rent discount

Hospital's board of trustees votes to offer $7,500 discount

Other action

The Memorial Hospital Board of Trustees, at its Wednesday meeting:

■ Approved, 5-0, a recommendation to accept family medicine staff privileges

■ Approved, 5-0, a recommendation to close privileges for EGD, colonoscopy and C-section

■ Approved, 5-0, a recommendation to accept changes in the contract management policy

■ Approved, 5-0, the TMH Business Plan for 2010

■ Approved, 5-0, a recommendation to allow the VNA to lease 2,000 sqaure feet of the old hospital campus

— The Northwest Colorado Vis­i­ting Nurse Association will face an increase in the amount it pays to The Memorial Hospital to occupy its building in 2010.

In its monthly meeting Wednesday night, The TMH Board of Trustees voted to give the VNA a discount of $7,500 off of its rent in its current lease.

Last year, the first year of the 3-year contract, the VNA received a $15,000 discount. The recommendation originally included a proposal to offer no discount in 201; however, the board decided it would reassess its financial situation at the end of 2010 to determine what kind of discount, if any, it is prepared to offer in the final year of the lease.

TMH board member Corrie Ponikvar said TMH has long supported the mission and direction of the community health center.

“In the discussions we’ve had with George (Rohrich, TMH CEO), he feels that a $7,500 discount for 2010 and not offering a discount in 2011 will give them ample opportunity to look for other resources,” Ponikvar said. “We feel like we’re doing our due diligence from the hospital side in trying to support their causes.”

The discount was not written into the original lease; however, the board decided in 2009 to offer the VNA extra breathing room when it was financially feasible.

Ponikvar said the change in the discount was because of the hospital’s different financial situation after 2009.

“We’re just in a different place,” she said. “This more has to do with the partnership with the VNA. We want to support them and be mindful with regard to their mission but also be mindful of the hospital’s financial situation.”

Trustee Melton Sullivan said the VNA’s lease gives it an excellent market value.

“It’s a tremendous value, what we’re offering to them,” Sullivan said. “And it’s already a tremendous discount we’re offering over market value. We’ve been doing an awful lot to support mission and organization by offering this because it’s way below the market price.”

Beka Warren, chief quality officer and interim chief clinical officer, agreed with the recommendation, citing the changing financial climate as TMH works to transition into its new building with a tight budget year looming.

“We feel like we need to recognize them as a partner in community,” he said. “But we also have to recognize the business needs of the health care community.”

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