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HMC asks county to remain neutral on Ferrell expansion

<p style="margin-bottom: 0in;">HARRISBURG &#8211; Representatives of Harrisburg Medical Center say they want the Saline County Board to remain neutral concerning a proposed expansion of Ferrell Hospital in Eldorado.

<p style="margin-bottom: 0in;">HMC board president David Disney and hospital CEO Rodney Smith said they had been invited to speak to the county board by board member Joe Jackson concerning the hospital's position on a proposed expansion and remodel of Ferrell Hospital with a price tag of about $37 million.

<p style="margin-bottom: 0in;">Ferrell Hospital went before the Health Facilities and Services Review Board in February to make its case for the proposed expansion. Because it&#160;is a Critical Access Hospital, it cannot increase its number of patient beds beyond its existing 25. It does propose to expand services, though, and the square footage of the hospital would nearly double.

<p style="margin-bottom: 0in;">While HFSRB board members did not approve Ferrell Hospital's application, the hospital will return on March 14 to again plea its case. Smith and Disney is asking the board to remain neutral on the issue. Several area lawmakers have written letters of support for Ferrell Hospital's proposed project.

<p style="margin-bottom: 0in;">Smith said HMC, which is in the middle of its own expansion, has been accused of wanting to see Ferrell Hospital fail.

<p style="margin-bottom: 0in;">"That is most certainly not the case," Smith told board members Thursday evening. "We want Ferrell to succeed. If Ferrell Hospital were to fail, then there is a very strong likelihood that we would fail."

<p style="margin-bottom: 0in;">Disney said part of the reason for that is, because HMC does not have the Critical Access Hospital designation, it does not get as much reimbursement from Medicare and Medicaid as Ferrell Hospital. If Ferrell were to close, a large number of patients likely would seek services at Harrisburg, Disney said. HMC hypothetically would lose money serving Medicare and Medicaid patients, he said.

<p style="margin-bottom: 0in;">Disney alsosaid the HMC board has expressed concern about the nature of an agreement between Ferrell Hospital and Deaconess Hospital in Evansville, Ind. He produced a copy of what he said is bylaws of the Ferrell Hospital Community Foundation that essentially transfers control of major decision-making to Deaconess Regional Health Network Illinois LLC.

<p style="margin-bottom: 0in;">The document, titled "Amended and Restated Bylaws of Ferrell Hospital Community Foundation" is available from the HFSRB Web site. Disney said the bylaws establish a board of directors made of eight Ferrell Hospital members and two Deaconess Regional Health Network Illinois members. It also establishes a "supermajority vote" that requires the affirmative vote of at least one Deaconess member for such actions as having a legal meeting, approval of annual and long-term capital and operating budgets, strategic plans and marketing plans, and approval of an expenditure of more than $50,000, Disney said.

<p style="margin-bottom: 0in;">Disney reiterated the position that HMC wants to see Ferrell continue to succeed financially. He said his board believes the expansion project could be too financially burdensome to Ferrell Hospital.

<p style="margin-bottom: 0in;">"We struggle to get by with a $10 million project," Disney said. "This is much larger."

<p style="margin-bottom: 0in;">Board member Mike McKinnies said he doubted the official position of HMC.

<p style="margin-bottom: 0in;">"It's just sour grapes," McKinnies said.

<p style="margin-bottom: 0in;">Disney said it was not a matter of rivalry or competition, and that the hospital board was sincere in its concerns and reasoning.

<p style="margin-bottom: 0in;">"We want them to be successful, but we think this project is too great in its scope," Disney said.