8E Consent 2011 0606 - Laserfiche WebLink

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Resolution To Support The Proposed Joining Of Saint Rose And San Leandro Hospitals As A District Hospital System Within Alameda County 2 June 6, 2011 The joint hospital proposal that has been developed was created in response to a separate proposal by Sutter Health and the Alameda County Medical Center (ACMC) to change the current operational model of San Leandro Hospital (SLH). Under Sutter's proposal, SLH would remain open for five more years and would continue providing emergency room services, after which it would close to be converted to an acute care rehabilitation hospital. The Sutter proposal would potentially require a $3 -6 million subsidy (theoretically from County funding sources) to operate SLH as an acute care rehabilitation hospital and it would eliminate emergency room services. In 2009, there were more than 27,000 visits to the SLH emergency room. On April 19, the Alameda County Board of Supervisors asked that the 2009 MOU for the Sutter proposal not move forward. Proponents for the joint SLH /SRH proposal concept indicate that the proposed collaboration would allow SLH to retain its license and remain fully operational, including operating its ER and Acute Care Services. Both hospitals are seismically retrofitted in accordance with State mandates through 2030; and the consolidation of purchasing, financial management, legal and compliance functions, and regulatory coordination will generate efficiencies and operational cost savings. It is also argued that the SLH /SRH proposal will enhance the financial viability of both organizations and will improve the access and outreach of safety net providers in the County. Many elected officials, including Senator Ellen Corbett, have expressed support for the concept of the SLH/SRI -I proposal. In addition, the City of Hayward, at its meeting on May 17, 2011, adopted a resolution and staff report in support of the proposal (copy attached). This concept was brought to the Mayor for discussion purposes in order to place in front of the City Council for consideration. At this time, no formal proposal has been received by the City Manager or City Council. Council has asked staff to prepare a resolution in support for the SLH /SRH joint proposal in concept. Fiscal Impact At this time there are no known or anticipated financial impacts of this proposal directly to the City. Attachments City of San Leandro Resolution City of Hayward's staff report, attachment and resolution CONCLUSION Staff recommends City Council approval of the resolution in support of the proposed concept to join Saint Rose and San Leandro Hospitals as District Hospitals operating under the authority of the Eden Township Healthcare District. This joint effort would allow for combined leadership and management of the two hospitals and maintain San Leandro Hospital as an emergency and acute care facility.