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Council approves more support
City votes to back another half-million loan
Published Tuesday, April 28, 2009
The Troy City Council approved additional hospital-owner support in its council meeting Tuesday, support that could come with a nearly half-million price tag.
At the request of Troy Doctors Hospital LLC., the council agreed to back a $452,000 loan to repair the heating and air conditioning system at Troy Regional Medical Center.
“Why we would do this or even consider this is if we were going to ever have to take over the hospital, this would have to be done anyway,” said Troy Mayor Jimmy Lunsford.
The loan will come through Troy Bank & Trust, unlike the financing the doctors continue to seek for the $10.5 million building purchase from Superior Bank.
As part of the city’s May 29 extension to support the doctors’ current financing, the owners will have to show proof from the bank by Thursday of a secured long-term loan.
Doctors also submitted several requests to the city, should the bank approve their financing.
The first option would be to extend the current agreement from May 29 through the rest of 2009, if financing is only approved through December from Superior Bank.
This option, however, would not even be considered by the council as solid long-term financing.
Another request could be asking the city for an additional five-year cushion, where the city would purchase the hospital if at any time doctors could no longer afford loan payments.
Lunsford said the council would consider the bank’s approval of the five-year balloon as solid financing, but the mayor made a request of his own.
Essentially, the city would issue the $10.5 million debt through its Health Care Authority and in turn, would allow doctors to make payments to them on the loans.
The doctors group would still be the owners of the hospital under this option, but it would make for a smoother transition in the event they could no longer afford the payments.
Both the city and hospital representatives present said they anticipated the bank approving financing this week.
The council adjourned the meeting until Thursday at 3 p.m., if action is needed after a response comes from Superior Bank.
The council appointed Lunsford to the hospital board, and that board will meet Thursday night to discuss Lunsford’s request in a private meeting.
The council also appointed Waley Lowery to replace Ron Pierce on the Troy City School Board, once Pierce’s term ends in June.
Pierce was recognized by the council for his 10 years of service to the board Tuesday.
“It’s been a great 10 years,” Pierce said. “Our school system is one of the best in the state.”
Lowery was recommended by Councilman Jason Reeves, and he will begin his service to the board in June.
Also in the meeting, the council announced a public hearing will take place May 12 to discuss potential grant money for sewer and water tank projects.
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Comments
Posted by turtle (anonymous) on April 28, 2009 at 10:11 p.m. (Suggest removal)
Oh good grief. The city needs to just take the hospital over already. It is obvious the doctors' group can't get their act together. They don't want to invest anything of their own from it but want the control and the profits.
Posted by septuagenarian (anonymous) on April 28, 2009 at 10:36 p.m. (Suggest removal)
profits?!
Posted by Bamabunny (anonymous) on April 28, 2009 at 10:45 p.m. (Suggest removal)
The way I see it if they were making profits they would not be in trouble.
Posted by turtle (anonymous) on April 28, 2009 at 11:07 p.m. (Suggest removal)
Okay, let's rephrase that. If there are any profits to be had the doctors group are going to want them are they not? Yet, one of the issues raised in the past was that they do not want to invest their own funds, but rather wanted the city to back them on the loans.
Plus they can say there are no profits if they want to yet go to a hospital, any hospital and ask yourself if they are willing to take say 100. 00 for a service from an insurance company why do they charge people without insurance 1000.00 for the same service they'll accept 100.00 for? If there was no profit to be hand at all then the doors would have closed a long time ago. A hospital is a business just like anything else, without profit they will close.
Posted by Bamabunny (anonymous) on April 28, 2009 at 11:57 p.m. (Suggest removal)
I'm sure there has to be some profit Turtle...but I guess not enough to keep the hospital totally out of financial trouble.
There are so many costs that must be paid for like supplies...equipment...maintenance and so on not to mention staff salaries. How much of that profit goes to doctors is beyond me....or even what the doctors agreed on to keep the hospital opened.
I do know that the insurance companies arbitrate cost with the hospitals. Many times the cost is inflated so there is room to arbitrate and the hospitals agree to a settled cost which is usually lower than what was actually submitted and billed.
I can tell you from past experience with my husband....I kept getting estimated bills from the insurance company. He was in Baptist in Montgomery and every time I saw an estimated bill I almost passed out. His cost exceeded $100,000.00 for 2 weeks in CICU. I was prepared to go back to work to pay for it all. The final bill was $450.00 which I gladly paid. That was for an ambulance transport to Montgomery. I can tell you it was a BIG sigh of relief!
Posted by deepsouth1955 (anonymous) on April 29, 2009 at 7:22 a.m. (Suggest removal)
I doesn't really matter to me who owns the hospital. It is for certain that it cannot continue to operate in the red. Obviously, the key is for doctors to admit patients to the hospital. I have been at the hospital in recent days when the census count was under 20 people. Local doctors have got to mend any fences with the hospital that have been broken and start referring patients for admission. I have heard so many people comment about the hospital being so far behind in terms of updated equipment. How do you update equipment? By making more money. How do you make more money? By having more patients. How do you have more patients? By doctors having the assurance that up-to-date technology is available. It's a catch 22 situation. I don't have the answer. I hope someone does.
Posted by RobRoyCometh (anonymous) on April 29, 2009 at 8:53 a.m. (Suggest removal)
It is clear to me from the comments above that it is about time for the real story to come out because no one that comments here knows anything about anything. And if you think for one minute that the City is in it to help out - you are dead wrong. As usual politics and greed rule the day. Somebody needs to ask Hizonor Mayor Lumpford where the tax money goes that was earmarked for the hospital over 20 years ago. If they had that income there would probably not be a problem with finances and the community's tax dollars would actually go where they were voted to go instead of paying off locals with pet projects.
Posted by Bamabunny (anonymous) on April 29, 2009 at 8:58 a.m. (Suggest removal)
Some good points deepsouth.
But doctors cannot admit patients unless there is a valid and serious enough reason....and the insurance companies will only pay for what they feel is a diagnosis serious enough for hospitalization. If they feel that a patient did not warrant a hospital stay....they will not pay...and then the patient is responsible for the hospital bill.
If the patient has no insurance then the patient is responsible for the entire bill. If the patient cannot pay...then of course it is a loss for the hospital.
Posted by RobRoyCometh (anonymous) on April 29, 2009 at 9:01 a.m. (Suggest removal)
Oh and by the way, turtle, the City did own the hospital once and failed miserably at running it. Now it seems they want it to fail again. Hard to figure isn't it? The mayor is "protecting" the 18 Million dollars from the original sale of the hospital at the expense of local citizens. Further "refusal" by Lumpkin only makes it worse. Don't kid yourself Lumpy is NOT siding with the citizens of Troy and Pike county. He has his own personal vendetta.
Posted by Bamabunny (anonymous) on April 29, 2009 at 9:08 a.m. (Suggest removal)
RobRoyCometh...quote..."It is clear to me from the comments above that it is about time for the real story to come out because no one that comments here knows anything about anything."
No one knows but you do "RobRoyCometh"?? Pretty arrogant statement.
Posted by RobRoyCometh (anonymous) on April 29, 2009 at 9:12 a.m. (Suggest removal)
Might be so. Might be so.
Posted by diamondsareforgirls (anonymous) on April 29, 2009 at 11:53 a.m. (Suggest removal)
I am just thankful we have a hospital in Pike County. I am also thankful that the citizens here have the assurance it will not close. Sometimes the doctors are not the reason that census in the hospital stays low, it is the fact that so many of the citizens of Pike County think they are too good to come to TRMC. Why, I do not know, when it has been proven to myself and many people of my acquaintance that the care is much better here in Troy, where you will see at least one person that knows and cares about you, than in a bigger hospital where you are just a number. Think about it. Let's support what is here and be thankful that we have it.
As for the city taking over, I feel that since the doctors took over a year ago, I have heard and experienced many more positive outcomes than before. Let's give our doctors a chance to try, instead of knocking them down every time something new comes out in the paper. They may have something up their sleeves no one knows about. I know the staff there is remaining loyal to the patients no matter what happens, so let's support them, too.
Posted by Chris (anonymous) on April 29, 2009 at 12:03 p.m. (Suggest removal)
Congratulations to Wally Lowery!!! We support you and are glad you are willing to serve on the school board. You are sure to be a great asset. From Chris and Anna
Posted by bamachick (anonymous) on April 29, 2009 at 1:24 p.m. (Suggest removal)
We moved here a few years ago and we love the people in Troy, but I am so surprised that there are doctors in this town that do not admit to the hospital (found that out when a family member was admitted). Apparently, some of those doctors do not tell you that when you call to become a patient.
So, since she was extremely pleased with Dr. Wood, she will continue to use the hospital. BUT, We will no longer support doctors that do not support the hospital and I would encourage you that do use doctors that do not support Troy Hospital to ask yourself "Why am I going to a doctor that cannot admit me to the hospital if I need to be admitted"!!!!!
Thought: Go to the doctor, find out you need to be admitted, go to the ER to be admitted, then get admitted.
Now, you have a bill from 1st doctor and the ER bill; which are 2 bills that are not needed.
Posted by plapatriot (anonymous) on April 29, 2009 at 7:17 p.m. (Suggest removal)
We moved here 10 years ago and love it here. As a mother of four we have had to use this hospital alot. I believe that we have some of the best doctors here. I have lived in Montgomery and Dothan. We will never live in Montgomery again. My mother had to go to the emergency room two weeks ago and she had to wait over 6 hours to see the doctor. We all had to go through a metal detector and ware a band on our wrist. I do know their are a good many doctors that want admit to this hospital. They want to practice here but not support the hospital, why would anyone use a doctor that wants to send you out of town? What kind of care will you get from a doctor that you know nothing about? I believe if the people of Troy stopped going to the doctors that want support this town and its hospital, they would start supporting it or have to move. We have to have this hospital because of the University and the nursing home.. I was told last year about the tax money that we pay here in Troy and was told that it was going to support the Sportsplex. I do not know if this is true. But if the money was for the hospital, that is ware it should go.
Posted by plapatriot (anonymous) on April 29, 2009 at 7:20 p.m. (Suggest removal)
Sorry-- that is where it should go. (I am not the best speller)
Posted by WDM (anonymous) on April 29, 2009 at 7:24 p.m. (Suggest removal)
turtle and bama I thought I had talk to you about posting on subjects you didn't know anything about.LOL
Love you both.
Posted by Bamabunny (anonymous) on April 29, 2009 at 7:25 p.m. (Suggest removal)
I agree plapatriot.
I think a hospital is much more important than the Sportsplex.
Posted by Bamabunny (anonymous) on April 29, 2009 at 8:53 p.m. (Suggest removal)
LOL WDM...good one
Posted by RobRoyCometh (anonymous) on April 30, 2009 at 3:57 p.m. (Suggest removal)
SO....what is the truth about those taxes??
Come on Messenger don't back away from this one. Ask Lumpy the hard questions. Get the answers and tell us why the hospital is not getting ANY support from the taxes that are paid for the express purpose of supporting the hospital.
Posted by WDM (anonymous) on April 30, 2009 at 6:53 p.m. (Suggest removal)
Why should our tax dollars go to a hospital that is owned by a group of doctors?
Posted by RobRoyCometh (anonymous) on May 4, 2009 at 7:20 a.m. (Suggest removal)
Brilliant comment WDM. Perhaps you can try to imagine what the facility would be like now had those tax dollars gone where they were supposed to go over the past three decades. New buildings, new equipment more employees, etc etc etc. It's not about "owned by a group of doctors". That ownership probably never would have happened if the hospital had been doing well. And, above all, don't forget that the "City" (read Lumpy) already abandoned the hospital and the healthcare of the citizens of this community once. What makes you think they (he) won't do it again?
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