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Hospital planning for growth in Santee area

By GENE ZALESKI, T&D Staff Writer  Thursday, October 30, 2008

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The Regional Medical Center is planning for the day when it will offer more services in eastern Orangeburg County because of the area's increased economic development activity.

"How do we begin to market ourselves and getting our footprint down in the Santee area?" RMC Vice President of Strategic Planning David Cope asked hospital trustees on Tuesday. "This development will not occur overnight, so we are recommending a phased-in approach to how we can make sure that we get a footprint in there."

Cope referred to the Dubai-based Jafza International's plans to build a distribution and light manufacturing hub near Santee. Jafza, a subsidiary of Dubai World, first announced in September 2007 its intent to invest between $600-700 million in the project.

Company officials say the project could create 6,000 direct jobs and about 1,500 indirect jobs.

Cope presented trustees with a 57-page study by Chicago-based Sg2, an international healthcare intelligence company and consulting firm. The $70,000 study was budgeted as part of the hospital's strategic planning.

The study, which was first presented before the board a few months ago, looks at the current Orangeburg and Santee markets, Jafza's potential impact on these markets, RMC competitor markets and the hospital's strategy looking to 2020 and beyond. The Santee market includes Santee, Holly Hill, Eutawville and Elloree.

"We grow as they grow," Cope said.

Cope said the hospital's strategic team is now looking at where and what it would like to place in the Santee area.

Preliminary plans are to invest about $6.1 million between 2011 and 2020 to build infrastructure in the Santee area including a number of physician offices, along with an urgent care center. Plans also include the addition of X-ray machines, computed tomography, as well as ultrasound equipment.

Beyond 2020, Cope said the hospital would look to invest about $2.6 million toward the addition of an ambulatory surgery center that would include a couple of operating rooms.

Trustee Danny Covington expressed his pleasure at the study.

"This is different from just about anything since I have been on the board," he said. "It does not say here is what you do. It gives highs and lows, and time frames and probabilities. You can massage that as you see things happen. This is unique as far as I am concerned."

Cope said the hospital is also looking to add a marketing plan as part of the study with input from the board.

In other matters, Dr. John Hutto informed trustees the Missouri-based Cerner Corp. information technology project implementation is moving forward with no major obstacles.

He said a project manager, Donna Wimberg, has been hired and a low bid of $138,778 was given to Morton Buildings for the construction of a modular training/meeting facility needed as part of the project.

In other business:

* Trustees agreed to meet within the week to discuss the hospital's options for the $17.7 million outstanding from its 1998 bond.

Market volatility recently has put increasing pressure on Ambac, the company through which the hospital issued the $30 million variable-rate demand bond. If Ambac's credit rating does not improve or the hospital does not find an alternative, RMC's interest rate on the bonds could increase.

* Trustees received information on a board conflict of interest policy and will receive more information about conflict of interest examples in the future.

* Trustee Dr. Carl Carpenter recommended the hospital issue a public statement on its commitment to ensuring patient safety and quality and affordable healthcare for all its customers. The recommendation was tabled for further review.

* Mac Burton, RMC Foundation director, said the Foundation board transferred $230,000 from its fundraising efforts to the hospital. The money will go toward the general operations of the cancer center and to RMC hospice programs. The announcement received a round of applause from trustees.

T&D Staff Writer Gene Zaleski can be reached by e-mail at gzaleski@timesanddemocrat.com or by phone at 803-533-5551. Discuss this and other stories online at TheTandD.com.

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