10/09/1989 Meeting (2) - Laserfiche WebLink

Home Browse Search

e establishes scope and what the board actually does would be overseen by the council which could, at any time, restructure the hospital authority board. Mr. Gleason added that an applicant must meet State and Federal standards for a nonprofit organization. He anticipated that the board would review whether an applicant had certification that it was not providing duplication of services. Referring to Mr. Heusel1s testimony, Mr. Holmer asked about the board's authority to regulate the interest rate charged to patients. Mr. Martin said the ordinance does not restrain the board from establishing expectations about an applicant's practices. Annual audits would indicate whether the applicant had met those expectations. It would be up to the board to develop regulations for dealing with failure to perform. Mr. Gary added that failure to honor contractual obligations is addressed under contract law. Mr. Gleason said that the practical remedy for failure to perform is found in the next transaction. CB 4164--An ordinance creating the Eugene Hospital Authority; and Declaring an Emergency. Mr. Holmer moved, seconded by Ms. Ehrman, that the bill, with unanimous consent of the council, be read the second time by council bill number only, and that enactment be considered at this time. Mr. Bennett considered the issue not one of whether Sacred Heart General e Hospital provides quality health care, but whether a compelling public purpose ;s served by the City providing below-market rate financing that would be of specific benefit to the applicant. He expressed concern that the authority could receive applications for services that are being provided by the private sector in a competitive market place. While she supported the broadening of the ordinance to include any nonprofit provider of services defined by statute, Ms. Ehrman said additional information is needed before she could make a decision on the matter. She urged caution in too closely aligning the City with a private organization and said the City's goal in creating a hospital authority should be to favorably affect the cost of health care and not to give preferential treatment to a provider or to attempt to manage a hospital facility. Mr. Boles said he had sufficient information to make a decision. Mr. Green concurred with Mr. Bennett's statement that Sacred Heart General Hospital provides outstanding medical care and said he preferred delaying action. Mr. Holmer again questioned delegating responsibility for determining the acceptability of the feasibility study to the City Manager. He agreed to defer a decision to the council's October 11 meeting. e MINUTES--Eugene City Council October 9, 1989 Page 6