Tax to revive hospital vital, officials say

Crittenden County residents to decide sales levy Tuesday

WEST MEMPHIS -- A June 6 fire and subsequent water damage will keep the Crittenden Regional Hospital closed for at least two more weeks than originally planned.

The hospital is to open on July 6, but that could be temporary. Voters will decide the fate of the hospital Tuesday, when they cast ballots for a proposed countywide sales tax to help the financially struggling facility.

"The fire was an unfortunate event," said Gene Cashman, the hospital's chief executive officer. "It has been very disruptive, but it is driving the point home what it will be like if we don't have a hospital."

The fire began in an empty intensive care room on the second floor. Fire investigators have yet to determine the cause of the blaze.

Hospital administrators have said if the 1 percent sales tax issue fails Tuesday, the hospital -- which is facing $30 million in debt -- will likely close. Since its closure earlier this month, the city's ambulance crews have transported patients to University Methodist Hospital in Memphis or to hospitals in Forrest City and Jonesboro.

"We took nine to Memphis yesterday," West Memphis Mayor Bill Johnson said Thursday. "We are averaging that many each day. It ties up our ambulances. Normally, it takes 10 or 15 minutes to take someone to Crittenden Regional. It may take over an hour to transport someone to Memphis.

"It definitely shows the need for a hospital here," he said.

The 150-bed hospital in the city of 25,686 saw its financial difficulties begin in 2008 after several "key" physicians left the facility or retired, Cashman said. Three-fourths of the hospital's patients also rely on Medicaid or Medicare, and federal cutbacks have hindered the facility as well, Cashman said.

"We're providing uncompensated care to noninsured patients at two times the national level," he said. "We have limited access to capital."

If approved, the sales tax will generate about $30 million over the five years it is to be collected, said Crittenden County Judge Woody Wheeless. The county already collects a 1.75 percent sales tax.

As of Friday, more than 1,200 had cast ballots since early voting began Tuesday, said a Crittenden County deputy clerk.

Cashman said he was surprised at the heavy turnout -- especially for a special election held in the summer.

"I think this shows that people here have strong feelings about it," he said. "I don't know what it means in terms of support or opposition, but I think the turnout is indicative of the communication and education we've been putting out. I would hope it is favorable."

Hospital leaders have hosted several public meetings about the sales tax. They plan to hold a "prayer walk" this evening at the hospital, and Cashman said he would attend and answer any questions voters may have about the tax.

Two weeks after the fire, crews are continuing cleanup efforts.

The fire was contained to a single room on the second floor, but the hospital's sprinkler system sprayed 35 gallons of water per minute and heavily damaged walls, floors and ceiling tiles, Cashman said. Much of the work involves demolition and reconstruction of drywall.

"This hospital is a vital asset to our community," Johnson said. "The emergency room here treated 23,000 patients last year. There is a need for a hospital here."

The mayor said if the voters reject the tax proposal Tuesday, it will be "disastrous" to the city and surrounding area.

"When prospective businesses come here to look, they ask about our school district, recreation and health care," Johnson said. "We can't bring industry in without a hospital. Also, it would have a huge economic impact on the 420 employees who work there.

"It would be absolutely catastrophic if this did not pass," he said.

There is no organized opposition to the sales tax proposal, Johnson and county election officials said.

The West Memphis Chamber of Commerce has endorsed the proposal, said executive director Holmes Hammett.

"People choose where to live based on health care availability. If you don't have a hospital, it knocks you off the list," Hammett said.

Cashman said if the tax passes, revenue will be used to recruit more physicians and to upgrade the hospital's emergency room, expand medical services at its Marion facility and market the hospital.

"We are hoping for a favorable outcome," Cashman said. "This is a necessary step for the hospital in order for it to continue on."

State Desk on 06/23/2014

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