At today's (Oct. 30) 9 a..m. meeting, the Idyllwild Fire Protection District (IFPD) commission approved a motion to use Riverside County’s tax collector to bill and collect its $65 per parcel special assessment.
The district delayed its approval of resolution authorizing the fee for this year; consequently, IFPD’s special assessment was omitted from the original set of bills distributed to Idyllwild property owners.
Without the special assessment the fire department would be short more than $200,000 this year.
After preliminary discussions, Don Kent, the county tax collector, agreed to issue corrected bill for only $1 per parcel. This is about 10 percent of the county legally authorized fee.
Kent imposed only one condition — a letter to local property owners, especially for off-the-Hill residents, explaining why a second or corrected bill had to be mailed.
The board approved Fire Chief Steve Kunkle’s recommendation to use the county’s capabilities. The vote was 3-0, with commissioners Ben Killingsworth and Glen McWilliams absent.
By early Friday afternoon, residents were calling and visiting the Town Crier and asking how the letter had arrived so quickly after its morning approval.
“Let’s be honest. We had a problem and had to move quickly,” President Paul Riggi said at the meeting. “This solution works out for everyone.”
Below is the body of Kunkle's letter:
"On behalf of the Idyllwild Board of Fire Commissioners the District would convey our apologies that you are receiving your assessment fee on a corrected tax bill instead of your normal tax bill. This is due to a timing issue by the Board in approving a required Resolution. The Board sought legal council opinion to re-confirm that taxpayer’s rights were not being violated before approving the Resolution. The assessment remains the same as the last three years as well as council’s opinion."
for informaion on the audit meeting see JP's blog.
Friday, October 30, 2009
Thursday, October 29, 2009
Reed to head new management team at Town Crier
Grace Reed will head the new Idyllwild Town Crier management team as publisher and will report directly to Tindle Newspapers Ltd. (TNL) Chief Executive Officer Brian Doel. Doel announced the new team on Thursday, Oct. 29, at the Town Crier office. Joining Reed are J.P. Crumrine (center in photo) as editor and Jim Crandall as chief operations officer.
The new team will take over from retiring Publisher-Editor Becky Clark on Nov. 14. The Town Crier is the lone American paper in the Tindle chain of more than 225 community newspapers and several radio stations.
With a motto of “Local Papers at the Heart of the Community,” Tindle focuses on local coverage. With that emphasis, Tindle has managed to avoid many of the problems that burden larger papers laden with expensive national and international news coverage responsibilities.
“The Town Crier is a good community paper,” said Doel. “It fits well within the Tindle ethos and dedication to producing and publishing community news. This team evolved from within the Town Crier, has been part of it for years, and is identified with the people of Idyllwild as part of the community.”
“I was surprised,” said Reed, who brings solid business background to her new position. She will be the face of the Town Crier in the community. Having served previously as advertising sales manager, Reed said she would focus on enhancing the good relationships she has built throughout the community and will continue to stay in touch with Town Crier customers.“I’m excited,” said Reed. “I think we have a great future ahead of us. I think we have a tremendous team and I’m looking forward to improving the products we offer our customers and the service we offer the community.”
Crumrine moves from news editor to editor. “In the short term, our readers won’t see any real difference,” he said. “Becky and I share the same views about what to cover and the depth of that coverage. In the long term, I want to improve our use of the Internet as a form of information distribution. I’d like to see that happen.”
Known to his coworkers for his wry sense of humor, Crumrine added, “And, if the Los Angeles Times continues to falter, I hope we’ll be prepared to take over.” Returning to the challenges of the job ahead, Crumrine added, “I feel excited. It’s an important responsibility. I’ll do everything I can to protect the community’s right to speech and their right to govern themselves.”
Crandall proffered kudos to his team members. “I think Grace is perfect for the job,” he said. “She’s popular in town and knows how to resolve conflict. I’ve never seen anybody as dedicated to getting the news as J.P. This is a great chance for him to grow on the job and bring the paper to an even stronger level.”
Crandall will focus on improving the reach of the Crier’s circulation. “I’ll also continue to make sure that we’re getting the best products [within Crier infrastructure] for the best price. With this new team I hope we can make the Town Crier everything Ernie Maxwell wanted it to be and focus on being the best paper Idyllwild has ever seen.”
Clark said she is pleased with the choices. “I think this will be great for the paper and the community,” she said smilingly. “I wanted to leave knowing that the paper is in good hands and I know now that it is — not just with this new management team but with our entire team.”
IFPD Special Mtg Re: Tax Assessments
The rescheduled Idyllwild Fire Protection Department meeting regarding the special assessments SNAFU has been set for tomorrow morning (Friday) at 9 a.m.
IDYLLWILD FIRE PROTECTION DISTRICT
AGENDA FOR SPECIAL MEETING
October 30, 2009. (09:00 a.m.)
The meeting is held at the Idyllwild Fire Station, 54160 Maranatha Dr. The Board may approve or take action on items contained in the discussion Calendar.
Call to Order:
Roll Call:
1. Mcwilliams – Vaught – Parker – Riggi – Killingsworth – Kunkle – Coopersmith
Pledge of Allegiance:
Consent Calendar:
1. None
Reports:
1. Presidents
2. Vice Presidents
3. Chief
Correspondence:
As Included
Action Items:
1. Review and approve County assessor’s supplemental tax billing.
Discussion Items:
1. Review and approve County assessor’s supplemental tax billing.
Citizen Comments:
Citizens may comment on any matter as contained on the special meeting agenda.
Executive / Closed Session:
1. None Scheduled.
Adjournment:
If you challenge any decision in court, you may be limited to raising only those issues you or someone else raised at the public meeting described in this notice, or in written correspondence delivered to this agency at, or prior to, the public meeting.
IDYLLWILD FIRE PROTECTION DISTRICT
AGENDA FOR SPECIAL MEETING
October 30, 2009. (09:00 a.m.)
The meeting is held at the Idyllwild Fire Station, 54160 Maranatha Dr. The Board may approve or take action on items contained in the discussion Calendar.
Call to Order:
Roll Call:
1. Mcwilliams – Vaught – Parker – Riggi – Killingsworth – Kunkle – Coopersmith
Pledge of Allegiance:
Consent Calendar:
1. None
Reports:
1. Presidents
2. Vice Presidents
3. Chief
Correspondence:
As Included
Action Items:
1. Review and approve County assessor’s supplemental tax billing.
Discussion Items:
1. Review and approve County assessor’s supplemental tax billing.
Citizen Comments:
Citizens may comment on any matter as contained on the special meeting agenda.
Executive / Closed Session:
1. None Scheduled.
Adjournment:
If you challenge any decision in court, you may be limited to raising only those issues you or someone else raised at the public meeting described in this notice, or in written correspondence delivered to this agency at, or prior to, the public meeting.
Saturday, October 24, 2009
IFPD Special mtg Tax Assessments
In case your curious, the Idyllwild Fire Protection District Commission has scheduled a speciall meeting for 9 a.m., Monday morning, Oct. 26 at the Fire Station. They will be discussing the special assessments billing on the riveside County Tax bill. The notice is below:
IDYLLWILD FIRE PROTECTION DISTRICT
AGENDA FOR SPECIAL MEETING
October 26, 2009. (09:00 a.m.)
The meeting is held at the Idyllwild Fire Station, 54160 Maranatha Dr. The Board may approve or take action on items contained in the discussion Calendar.
Call to Order:
Roll Call:
1. Mcwilliams – Vaught – Parker – Riggi – Killingsworth – Kunkle – Coopersmith
Pledge of Allegiance:
Consent Calendar:
1. None
Reports:
1. Presidents
2. Vice Presidents
3. Chief
Correspondence:
As Included
Action Items:
1. Review and approve County assessor’s supplemental tax billing.
Discussion Items:
1. Review and approve County assessor’s supplemental tax billing.
Citizen Comments:
Citizens may comment on any matter as contained on the special meeting agenda.
Executive / Closed Session:
1. None Scheduled.
Adjournment:
If you challenge any decision in court, you may be limited to raising only those issues you or someone else raised at the public meeting described in this notice, or in written correspondence delivered to this agency at, or prior to, the public meeting.
IDYLLWILD FIRE PROTECTION DISTRICT
AGENDA FOR SPECIAL MEETING
October 26, 2009. (09:00 a.m.)
The meeting is held at the Idyllwild Fire Station, 54160 Maranatha Dr. The Board may approve or take action on items contained in the discussion Calendar.
Call to Order:
Roll Call:
1. Mcwilliams – Vaught – Parker – Riggi – Killingsworth – Kunkle – Coopersmith
Pledge of Allegiance:
Consent Calendar:
1. None
Reports:
1. Presidents
2. Vice Presidents
3. Chief
Correspondence:
As Included
Action Items:
1. Review and approve County assessor’s supplemental tax billing.
Discussion Items:
1. Review and approve County assessor’s supplemental tax billing.
Citizen Comments:
Citizens may comment on any matter as contained on the special meeting agenda.
Executive / Closed Session:
1. None Scheduled.
Adjournment:
If you challenge any decision in court, you may be limited to raising only those issues you or someone else raised at the public meeting described in this notice, or in written correspondence delivered to this agency at, or prior to, the public meeting.
Friday, October 23, 2009
IFPD Special Assessments
According to both IFPD President Paul Riggi and Fire Chief Steve Kunkle, the commission may hold a special meeting as early as Monday to consider their options for remedying the omission of requesting the Riverside County Treasurer to collect the district's $65 per parcel special assessment.
Acoording to both gentlemen, there are, at least, a couple of options available and the commission should discuss them.
A special meeting notice needs to posted at least 24 hours prior to the meeting. If you interested in attending, watch this spot for more news over the weekend and we'll alert to the time and day of meeting as soon as we know.
Acoording to both gentlemen, there are, at least, a couple of options available and the commission should discuss them.
A special meeting notice needs to posted at least 24 hours prior to the meeting. If you interested in attending, watch this spot for more news over the weekend and we'll alert to the time and day of meeting as soon as we know.
Friday, October 16, 2009
IFPD special assessments
The Idyllwild Fire Protection District’s (IFPD) budget problems may have just gotten considerably more complicated. Over the past week, Idyllwild residents have received their December 2009 tax bills. Conspicuously absent is IFPD’s $65 per parcel special assessment.
This was not a conscious gift to local residents. Instead, failing to comply with the Riverside County Treasurer’s office deadlines may cost IFPD the full estimated amount of $200,000 this year or perhaps only a portion if the treasurer can correct the bills at some charge.
IFPD’s September agenda included the passage of the resolution approving the 20-year-old assessment (although its value has varied during this period). The action was deferred until the October meeting, last Tues, when the resolution was adopted 3-0.
On Friday, Fire Chief Steve Kunkle confirmed that the special assessment was omitted from the current property tax bill. The resolution and accompanying paperwork were still not ready to send to the county treasurer.
The resolution’s passage on Oct. 13 was still too late for the County to include in the tax bills. Their mailing began on Monday, Oct 12.
In May 2009, Idyllwild Water District held a public hearing and passed a resolution for its standby water fees on undeveloped parcels. Pine Cove Water District transacted the same business in June.
Kunkle did not know if the county would be able to include the assessment in the April bills.
According to Kunkle, in September, he advised the commission to approve the resolution. If a public hearing were necessary, the commission could rescind it at the next meeting, hold the hearing in October and then re-pass the resolution. On Tuesday, the commission passed the assessment resolution without a public hearing.
A $200,000 short fall in this year’s budget would be a serious event and might affect service or staffing levels. Before adjusting the budget, IFPD should determine if the error can be corrected in April and, if so, whether there will be a cost to the district.
If not, the commission has to decide what to do about the remainder of this fiscal year and then how to handle the assessments for next year.
On Monday, I will try to speak to someone at the county treasurer’s office and offer you more insight.
This was not a conscious gift to local residents. Instead, failing to comply with the Riverside County Treasurer’s office deadlines may cost IFPD the full estimated amount of $200,000 this year or perhaps only a portion if the treasurer can correct the bills at some charge.
IFPD’s September agenda included the passage of the resolution approving the 20-year-old assessment (although its value has varied during this period). The action was deferred until the October meeting, last Tues, when the resolution was adopted 3-0.
On Friday, Fire Chief Steve Kunkle confirmed that the special assessment was omitted from the current property tax bill. The resolution and accompanying paperwork were still not ready to send to the county treasurer.
The resolution’s passage on Oct. 13 was still too late for the County to include in the tax bills. Their mailing began on Monday, Oct 12.
In May 2009, Idyllwild Water District held a public hearing and passed a resolution for its standby water fees on undeveloped parcels. Pine Cove Water District transacted the same business in June.
Kunkle did not know if the county would be able to include the assessment in the April bills.
According to Kunkle, in September, he advised the commission to approve the resolution. If a public hearing were necessary, the commission could rescind it at the next meeting, hold the hearing in October and then re-pass the resolution. On Tuesday, the commission passed the assessment resolution without a public hearing.
A $200,000 short fall in this year’s budget would be a serious event and might affect service or staffing levels. Before adjusting the budget, IFPD should determine if the error can be corrected in April and, if so, whether there will be a cost to the district.
If not, the commission has to decide what to do about the remainder of this fiscal year and then how to handle the assessments for next year.
On Monday, I will try to speak to someone at the county treasurer’s office and offer you more insight.
Thursday, October 15, 2009
VHS + Lawyers + Doctors = Ka-Ching!
As the Emcee sang in "Cabaret",
"Money makes the world go around, It makes the world go 'round.
A mark, a yen, a buck, or a pound"
The federal judge overseeing Valley Health System’s (VHS) bankruptcy petition has granted a special hearing that could result in a challenge of the agreement to sell virtually the entire hospital district to local physicians.
On Tuesday, Oct. 13, the Los Angeles law firm of Latham and Watkins, on behalf of several clients, including save Hemet Valley Hospital and Prime Healthcare Services and three local residents, requested bankruptcy Judge Peter Carroll to lift the a stay to permit the pursuit of state court litigation.
The plaintiffs are challenging the legality of the agreement between VHS and Physicians for a Healthy Hosptial (PHH).
They lodge three principal complaints. First, the challengers argue that VHS was required to notify and to work with the Riverside County Local Area Formation Commission if it plans to divest most or all of its services.
Secondly, “Save Hemet Valley Hospitals” claims that the VHS board has so many connections with Dr. Kali P. Chaudhuri, a Hemet physician and healthcare businessman, its decisions were tantamount to insiders’ actions rather than representatives of district’s constituents.
“The board members’ approval of the sale of VHS to a Chaudhuri entity — while they are employed or receiving substantial financial benefits from Chaudhuri’s other interests — is a patent conflict of interest,” they alleged.
The third major objection focuses on the boards sudden June decision to “explore” a sale and the lapse of only 30 days until it conferred an exclusive negotiating pact with PHH.
VHS’s legal counsel, John Marshall says, “Valley Health System will oppose the Motion.”
The sales agreement between VHS and PHH would provide VHS with about $160 million if you count $55 million of alleged claims from PHH members. Otherwise, PHH needs about $50- $60 million cash to close the deal, borrow some and will then have possession of about $38 million of VHS cash and receivables.
The owner of Prime Healthcare is another physician, turned healthcare entrepreneur, Prem Reddy.
The hearing will be 9:30 a.m., Monday, Nov. 2 at the Federal Bankruptcy Courthouse in Riverside.
Heading to some sports' photo ops and interview in Hemet. More tomorrow, as “the Scalpel twists”.
"Money makes the world go around, It makes the world go 'round.
A mark, a yen, a buck, or a pound"
The federal judge overseeing Valley Health System’s (VHS) bankruptcy petition has granted a special hearing that could result in a challenge of the agreement to sell virtually the entire hospital district to local physicians.
On Tuesday, Oct. 13, the Los Angeles law firm of Latham and Watkins, on behalf of several clients, including save Hemet Valley Hospital and Prime Healthcare Services and three local residents, requested bankruptcy Judge Peter Carroll to lift the a stay to permit the pursuit of state court litigation.
The plaintiffs are challenging the legality of the agreement between VHS and Physicians for a Healthy Hosptial (PHH).
They lodge three principal complaints. First, the challengers argue that VHS was required to notify and to work with the Riverside County Local Area Formation Commission if it plans to divest most or all of its services.
Secondly, “Save Hemet Valley Hospitals” claims that the VHS board has so many connections with Dr. Kali P. Chaudhuri, a Hemet physician and healthcare businessman, its decisions were tantamount to insiders’ actions rather than representatives of district’s constituents.
“The board members’ approval of the sale of VHS to a Chaudhuri entity — while they are employed or receiving substantial financial benefits from Chaudhuri’s other interests — is a patent conflict of interest,” they alleged.
The third major objection focuses on the boards sudden June decision to “explore” a sale and the lapse of only 30 days until it conferred an exclusive negotiating pact with PHH.
VHS’s legal counsel, John Marshall says, “Valley Health System will oppose the Motion.”
The sales agreement between VHS and PHH would provide VHS with about $160 million if you count $55 million of alleged claims from PHH members. Otherwise, PHH needs about $50- $60 million cash to close the deal, borrow some and will then have possession of about $38 million of VHS cash and receivables.
The owner of Prime Healthcare is another physician, turned healthcare entrepreneur, Prem Reddy.
The hearing will be 9:30 a.m., Monday, Nov. 2 at the Federal Bankruptcy Courthouse in Riverside.
Heading to some sports' photo ops and interview in Hemet. More tomorrow, as “the Scalpel twists”.
Friday, October 9, 2009
ICRC works to repair reporting to county
At its Oct. 8 meeting, the Idyllwild Community Recreation Council (ICRC) discussed changes it is making to improve its reporting procedures to the county – changes brought on by a Sept. 17 meeting called by Bill Brown, operations manager for Riverside County’s County Service Areas (CSA). Brown pointed out to the ICRC board at the Sept. 17 meeting a number of areas in which ICRC had a duty to report directly to Brown as well as to the CSA 36 advisory committee. ICRC had been reporting only to the CSA advisory committee since taking over the recreation contract over two years ago.
Although the reporting responsibilities are outlined in the ICRC contract with the county, an individual on Brown’s staff had been tasked with seeing that ICRC met its direct reporting responsibilities to the county. That staff person failed to notify ICRC of any reporting errors in over two and a half years. Consequently, when that person left his county position, Brown took over personal responsibility for overseeing ICRC compliance.
ICRC board member Vic Sirkin stated that the board had requested someone from Brown’s staff sit down with the board to make certain that their compliance would be error free from this point on. ICRC accountant Jim Ludy revised Town Hall Recreation statement of revenues and expenses format, also to accommodate and answer questions from Brown. Brown had questioned previous reports that appeared to allocate 72 percent of budget to salaries and only 9 percent to programs. Ludy’s reallocations, charging percentages of some salaries to program supervision and maintenance, revised the overall percentages. With that reallocation, not including additional estimates Ludy could have made which would have raised budget percentages spent on programs, the 2009/2010 budget now allocates 35 percent to programs, 44 percent to administrative wages and benefits, 10 percent to operational expenses, and 11 percent to maintenance wages, benefits and expenses.
Board Chair Chris Singer noted that the county was withholding a $10,000 allocation to build the ICRC par (exercise) course from 3rd District Supervisor Jeff Stone until Brown receives answers from ICRC regarding questions he formulated after the Sept. 17 meeting. ICRC has not yet received those questions. Brown had sent them, but previous Board treasurer Reba Coulter had the mailbox key, had not, according to Singer, checked the mail, and the certified mail from Brown was returned. Brown is resending them. Singer said ICRC would convene a special meeting to formulate answers to Brown’s inquiries and return them to Brown. Because of the holdup of the check from Stone, ICRC has delayed ordering the exercise course equipment. Sirkin reported that once ordered, equipment would take 40 days to receive, but that now, with the onset of winter, there is little urgency to install equipment until the spring. Sirkin noted however that by adequately covering the walking course with bark chips, it could facilitate providing a recreational venue for the community as soon as bark chips are laid down.
In other business, the board voted to approve Joann Graham as the board’s new treasurer. Graham, a local escrow officer and current Jazz in the Pines treasurer, will begin working for the board sometime before November 1.
Singer also reported that Idyllwild Community Center (ICC) committee member Robert Priefer has completed talks with three prospective architectural firms, and that each agreed that the current renderings for the ICC could be completed easily within the proposed $6 million dollar budget. Each of the three firms is either building community centers or has built them in the past.
ICRC is currently $142 under budget for the year.
Although the reporting responsibilities are outlined in the ICRC contract with the county, an individual on Brown’s staff had been tasked with seeing that ICRC met its direct reporting responsibilities to the county. That staff person failed to notify ICRC of any reporting errors in over two and a half years. Consequently, when that person left his county position, Brown took over personal responsibility for overseeing ICRC compliance.
ICRC board member Vic Sirkin stated that the board had requested someone from Brown’s staff sit down with the board to make certain that their compliance would be error free from this point on. ICRC accountant Jim Ludy revised Town Hall Recreation statement of revenues and expenses format, also to accommodate and answer questions from Brown. Brown had questioned previous reports that appeared to allocate 72 percent of budget to salaries and only 9 percent to programs. Ludy’s reallocations, charging percentages of some salaries to program supervision and maintenance, revised the overall percentages. With that reallocation, not including additional estimates Ludy could have made which would have raised budget percentages spent on programs, the 2009/2010 budget now allocates 35 percent to programs, 44 percent to administrative wages and benefits, 10 percent to operational expenses, and 11 percent to maintenance wages, benefits and expenses.
Board Chair Chris Singer noted that the county was withholding a $10,000 allocation to build the ICRC par (exercise) course from 3rd District Supervisor Jeff Stone until Brown receives answers from ICRC regarding questions he formulated after the Sept. 17 meeting. ICRC has not yet received those questions. Brown had sent them, but previous Board treasurer Reba Coulter had the mailbox key, had not, according to Singer, checked the mail, and the certified mail from Brown was returned. Brown is resending them. Singer said ICRC would convene a special meeting to formulate answers to Brown’s inquiries and return them to Brown. Because of the holdup of the check from Stone, ICRC has delayed ordering the exercise course equipment. Sirkin reported that once ordered, equipment would take 40 days to receive, but that now, with the onset of winter, there is little urgency to install equipment until the spring. Sirkin noted however that by adequately covering the walking course with bark chips, it could facilitate providing a recreational venue for the community as soon as bark chips are laid down.
In other business, the board voted to approve Joann Graham as the board’s new treasurer. Graham, a local escrow officer and current Jazz in the Pines treasurer, will begin working for the board sometime before November 1.
Singer also reported that Idyllwild Community Center (ICC) committee member Robert Priefer has completed talks with three prospective architectural firms, and that each agreed that the current renderings for the ICC could be completed easily within the proposed $6 million dollar budget. Each of the three firms is either building community centers or has built them in the past.
ICRC is currently $142 under budget for the year.
Wednesday, October 7, 2009
VHS sale set for December vote
The Valley Health System board of directors approved the sale of the hospital district to the local physicians group — Physicians for Healthy Hospitals (PHH).
A specific price was not used during the meeting, but it is in the range of $114 to $118 million.
District voters, including Idyllwild residents, will cast their ballots in favor or against the sale on Dec. 15. The Registrar of Voters announced the election day yesterday.
Despite the urging of more than a dozen doctors for a unanimous vote in support of the sale, Director Robert O’Donnell was lone dissenter on the board that approved the action 6-1.
O’Donnell’s reasons were simple. First, he does not like the idea that if the voters reject the offer, PPH still gets to purchase Menifee Valley Medical Center (MVMC) for $29 million. Secondly, PHH promised but has yet to reveal a business plan, which demonstrates their ability to turn the hospital money sponge-like operations into a clean green profitable machine.
O’Donnell is the only person willing to publicly express a desire to review PHH’s business plan before blessing the deal, but others have expressed similar sentiments. Rob Davis, Hemet attorney who represents one of VHS’s numerous creditors, said his clients and other secured creditors expect to receive cash if the sale actually closes. However, the unsecured creditors committee has apparently requested more information from PHH, including the confidential or unrevealed business plan.
The doctors are paying VHS’ long term debt ($44.7 million), paying VHS’s pre-petition (pre-bankruptcy filing) unsecured creditors ($21 million), assuming “substantial” post-petition debt ($31 million estimate), assuming the $8.4 million owed to Select Healthcare, paying insurance premiums for future malpractice coverage ($4.1 million), giving the VHS remnant $400,000 per year for five years ($2 million), assuming annual and sick leave obligations to current staff ($6.0 million) and relief from contract breach claims levied by PHH “affiliates ($55 million).
Excluding the last item, which does not have a specific verified value, the other payments total $117.2 million. In return, PPH receives real assets, the two hospitals, the Health Center and other real estate appraised at $76 million and cash and accounts receivable of about $38 million.
Many doctors spoke in favor of the sale and PHH’s commitment to higher quality healthcare in the valley. None described how the physicians will find the capital to pay the $80 million and still have money to invest in improving facilities or expanding services.
The agreement requires PHH to maintain “core services” for five years. Basic emergency services are an example of a core service.
One of the non-physicians speaking in favor the transaction was John Petty, Riverside County 3rd District Planning commissioner. After the meeting, he explained his thoughts on why the hospital finances will improve.
“The doctors now have skin in the game. It’s pride of ownership,” he replied. He believes the Hemet Hospital reputation has been severely damaged through the recent referenda votes and now doctors have the incentive to change that reputation.
Summarizing the public’s choice in December, Director Tom Wilson said, “The bottom line when you entertain the idea to sell these facilities is they’re not just bricks and mortar. These are people, lives and safety.”
None of the sale's details were available Tuesday night. VHS counsel, John Marshall said the information including the final agreement will be posted on the district's Web site, www.valleyhealthsystem.com. However this will not occur in time to review the paperwork and still submit a comment to the county Registrar of Voter's office by 6 p.m., Thursday, Oct. 8. This is when arguments for or against the transaction must be filed.
A specific price was not used during the meeting, but it is in the range of $114 to $118 million.
District voters, including Idyllwild residents, will cast their ballots in favor or against the sale on Dec. 15. The Registrar of Voters announced the election day yesterday.
Despite the urging of more than a dozen doctors for a unanimous vote in support of the sale, Director Robert O’Donnell was lone dissenter on the board that approved the action 6-1.
O’Donnell’s reasons were simple. First, he does not like the idea that if the voters reject the offer, PPH still gets to purchase Menifee Valley Medical Center (MVMC) for $29 million. Secondly, PHH promised but has yet to reveal a business plan, which demonstrates their ability to turn the hospital money sponge-like operations into a clean green profitable machine.
O’Donnell is the only person willing to publicly express a desire to review PHH’s business plan before blessing the deal, but others have expressed similar sentiments. Rob Davis, Hemet attorney who represents one of VHS’s numerous creditors, said his clients and other secured creditors expect to receive cash if the sale actually closes. However, the unsecured creditors committee has apparently requested more information from PHH, including the confidential or unrevealed business plan.
The doctors are paying VHS’ long term debt ($44.7 million), paying VHS’s pre-petition (pre-bankruptcy filing) unsecured creditors ($21 million), assuming “substantial” post-petition debt ($31 million estimate), assuming the $8.4 million owed to Select Healthcare, paying insurance premiums for future malpractice coverage ($4.1 million), giving the VHS remnant $400,000 per year for five years ($2 million), assuming annual and sick leave obligations to current staff ($6.0 million) and relief from contract breach claims levied by PHH “affiliates ($55 million).
Excluding the last item, which does not have a specific verified value, the other payments total $117.2 million. In return, PPH receives real assets, the two hospitals, the Health Center and other real estate appraised at $76 million and cash and accounts receivable of about $38 million.
Many doctors spoke in favor of the sale and PHH’s commitment to higher quality healthcare in the valley. None described how the physicians will find the capital to pay the $80 million and still have money to invest in improving facilities or expanding services.
The agreement requires PHH to maintain “core services” for five years. Basic emergency services are an example of a core service.
One of the non-physicians speaking in favor the transaction was John Petty, Riverside County 3rd District Planning commissioner. After the meeting, he explained his thoughts on why the hospital finances will improve.
“The doctors now have skin in the game. It’s pride of ownership,” he replied. He believes the Hemet Hospital reputation has been severely damaged through the recent referenda votes and now doctors have the incentive to change that reputation.
Summarizing the public’s choice in December, Director Tom Wilson said, “The bottom line when you entertain the idea to sell these facilities is they’re not just bricks and mortar. These are people, lives and safety.”
None of the sale's details were available Tuesday night. VHS counsel, John Marshall said the information including the final agreement will be posted on the district's Web site, www.valleyhealthsystem.com. However this will not occur in time to review the paperwork and still submit a comment to the county Registrar of Voter's office by 6 p.m., Thursday, Oct. 8. This is when arguments for or against the transaction must be filed.
Saturday, October 3, 2009
Banning Fire Saturday Afternoon
The Banning Fire was reported about 12:15 today. It is on the west side of the San Jacinto Range just a mile or two south of Interstate 10.
Cal Fire is managing the fire defense and has already called for Riverside County Fire Department and Forest Service engines to help. Air tankers are actively involved. As of 1:30 the fire was being held to 15 to 20 acres.
Several hikers in the area said they heard numerous gun shots coming from the vicinity of the fire before they first saw smoke. Perhaps target shooting was the culprit.
The top photo was taken about 12:25 p.m. from Hwy 243 as it passes Banning High School.
The middle photo is several miles south, up the mountain about 10 minutes later.
From the same position, an airtanker (bottom photo) is dropping retardant on the fire.
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