Over-Budget New Hospital Affects Existing Facilities at PPH
". . . Michael, are we gonna have another year where we gotta put plastic over on top of the roof at PCCC to keep from having leaks, . . . but when its truly a rainy day, I'd like to fix the roof . . . ."Quote of PPH CEO Micheal Covert speaking to the PPH Board on October 5, 2009, about the budget for the new hospital.
(Listen to the Audio: PPHBdMtg100509clip.mp3)
A little background. A few years ago, the PPH Board redirected $10 million a year from normal capital expenditures for PPH's existing facitities to cover cost overruns on the new hospital in the ERTC.
That diversion decision was made before the extension was granted allowing continued use until 2030 of the downtown hospital (Palomar Medical Center - PMC). The extension was granted by the Summer of 2008. However, the PPH Board continued the diversion.
The $10 million diversion was shortsighted and should have ended by August 2008, soon after the extension was granted for the existing hospital - PMC!
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