REBUTTAL OF LEFT SIDE OF POSTCARD:
Lakewood Taxpayers are Subsidizing CCF’s Health “Referral Center”
1. High Taxpayer Price Tag for subsidizing CCF sending patients & doctors out of Lakewood.
2. $26 million in taxpayer money is used to tear down the hospital buildings and property worth an estimated $70 million and payment of severance to CCF’s employees. So Summers proposes to use/consume over $90 million in public money and property to subsidize CCF and yet to be named private developers.
3. Millions of Dollars of Taxpayer owned the State of the Art equipment and other property at the hospital is given to CCF for FREE—its right in the draft Master Agreement.
4. $400 Million claim against CCF forgiven--Summers/BL want to release and forgive CCF. Discount claim to 10%--still a $40 million taxpayer subsidy.
Greatly Diminished Medical Services and Exporting Doctors & Specialists.
1. Services Eliminated/Doctors & Specialists Exported. Hospital Services and outpatient surgeries will be completely eliminated under the Summer/BL plan. Per CCF’s Dr. Steven Jones “there will be no hospital services”—no cardiologists, no neurologists, no surgeons of any kind, no on site stroke facility, etc.
2. No Services Guaranteed. There is “no guarantee” of any services after the “deal” is signed---LHA’s Chairman Tom Gable and Finance Chair Ken Haber said this in April.
3. Privatization of Public Money. CCF and a few “elitists” will control the new foundation which cannot sustain the “new healthcare initiatives” as claimed by BL unless needed traditional programs are abandoned and eliminated. Huron’s John Bodine said the new foundation will not move the needle and is insignificant—especially in light of great loss of the existing hospital charity services provided (historically $7 million per year).
4. Bed Shortage Already. Patients have already been denied or delayed beds. “Door to provider” rates are rising as CCF manipulates diminished use of Lakewood inpatient rooms.
NO Redevelopment Plan Exists. Tax and Rent Paying “Cash Cow” Hospital Can’t Be Matched by Summers unrealistic “BIG DREAM”.
Lost Taxes and Rent. $2 million in annual Payroll Taxes and Rent will be lost and can NEVER be replaced by Summers’ vague “BIG DREAM.” Lakewood Hospital is the highest and best use for the land. No number new businesses can supply the jobs of a 24/7 365 fully staffed hospital. Summers admits they have no market studies, no estimates of officer workers or retail workers, no interested businesses to relocate and build in heavily traffic congested area far from I-90. It is fantasy.
REBUTTAL OF RIGHT SIDE OF POSTCARD
NOT THAT “OLD”
Many Parts of Lakewood Hospital Plant and Equipment Are New State of the Art —Additional Renovations Can be Financed and Paid By Our Debt Free Hospital’s Cash Flow—Not Taxpayers. Characterizing it as “OLD” is just not fair or accurate.
NO COST TO TAXPAYERS
Once again, “The Hospital has always been supported by the revenues generated from operations…. no tax derived revenue sources ever supported the hospital.” Jenn Pae, Lakewood Finance Director September 28, 2015.
1. CCF is Liable under the agreements to Cash Flow the hospital i.e. supply cash to match every dollar of debt that might accumulated or be incurred through operations. An original drafter of the agreements agrees that CCF is liable under the 1996 Definitive Agreement and the 2010 “Centers of Excellence”. The loss projections quoted by BL were made by Subsidium who admitted it did not understand the agreements---The estimates were based upon CCF moving a major “Center of Excellence” (Orthopedics) to Avon. BL makes two false assumptions: 1. That CCF is not liable under the agreements to fund the cash to debt obligation and allow LHA to borrow for improvements, and 2. That CCF is not liable under the 2010 modified agreement to maintain the “Centers of Excellence” the losses per the enforceable contract. BL is wrong on both assumptions.
2. CCF & LHA Must Invest in Renovations, Not Taxpayers. CCF and LHA (not taxpayers) are required by contract and by law to finance and pay for improvements to keep the hospital viable. BL does not understand the law and contract terms. Jenn Pae admits that this obligation has existed for 30 years.
3. Hospital Pays Millions More than Summers “Big Dream”. The hospital pays over $2 million in annual Payroll Taxes and Rent. It also has provided an average over $7 million each year in charity services. Claim that hospital pays no real estate taxes is purposely misleading.
4. Summers is Wasting Public Assets Fighting Citizens who are doing his job by enforcing the agreements. Mayor Summers chose to fight taxpayers rather than join them in enforcing the City’s rights and recouping damages. According to public records, so far Summers has spent $79K of taxpayer funds on his war against the poor and the Lakewood citizens. Nevertheless, Summers has not yet wasted the “hundreds of thousands of taxpayer dollars BL claims. Kevin Butler says that insurance may cover legal fees anyway. This BL claim is false.
LOWER RISK: Keeping Proven “Cash Cow” Hospital is LESS RISKY than Summers RISKY “Dream”.
1. Other Hospital Systems Are Interested in Managing/Owning Lakewood Hospital—Summers is Not Searching. There has been no professional search for new partners free of CCF’s interference. Summers has been a WEAK leader and has allowed CCF to dominate LHA—consequently LHA is not a proper party to find new partner or independently negotiate anything. Summers gave up on his less than professional effort to seek another partner way back in early 2014. If CCF leaves (which is unlikely)—opportunities for new partners open up, but we still have a WEAK leader in Summers—a proven failure at marketing and negotiating.
2. Charter Amendment Prevents CCF from Corrupting Elected Leaders—Just like the existing charter provision that allows for a referendum, it forces the Mayor and Council to include the public in buying into any plan. It may even strengthen leaders’ negotiating power. Summers and BL are the only parties suggesting a free standing hospital—it is a contrived scenario for them to fear monger and accuse other of wanting tax increases.
3. CCF is Driving Doctors & Specialists Out of Lakewood. CCF has driven independent doctors out of Lakewood. Many have left in anticipation of the hospital closing. The Summers/CCF Plan is to import family practice residents (inexperienced doctors in training) from Fairview. BL has told a partial truth--“Lakewood is at risk of losing more medical services if we continue on the present course” ---that course is Summers letting CFF completely loot the hospital of valuable services and personnel---it is not because the hospital will stay open. Nobody has suggested continuing the present course with failed and WEAK leadership.
