Sleepy Eye

votes yes

on hospital

financing

Expansion

project to cost

nearly $5 million

By FRITZ BUSCH

Journal Staff Writer

SLEEPY EYE -- Voters approved a $4.98 million hospital expansion and renovation project referendum vote by more than a whopping six-to-one margin Thursday.

The vote went 639 in favor of the project and 103 against it, Sleepy Eye Election Judge Delbert Sandhoefner said.

First ward voters cast 288 "yes" votes and 49 "no" votes. Second ward voters cast 351 "yes" votes and 54 "no" votes.

Sandhoefner said it was the most one-sided vote he has seen in two decades of judging elections in Sleepy Eye.

Sleepy Eye Hospital Administrator David Hartberg hosted a post-vote party with the hospital board at his rural Sleepy Eye home Thursday. He was thrilled with the positive vote.

"It's great to have that kind of support," Hartberg said. "We're pleased that people thought our plan made sense. The board is excited. It put in a lot of hard work on this. Now it's time to celebrate."

Hartberg said he will be contacting the USDA on loan financing details soon. Project groundbreaking is expected to take place this fall.

Hartberg explained the virtues of the project as creating a more patient-friendly, medical center environment that would allow higher-quality health care with larger labs for all new diagnostic equipment to meet long-range needs. Computer areas would allow rapid handling of patient information.

The new 12,000-square foot hospital expansion would combine the clinic with a lab, radiology, x-ray, obstetrics and mammography department and a central nurses's station that would connect with the existing hospital's first floor. The basement of the expansion building would be used for storage or new future uses.

The project would include upgrading the existing 20-bed hospital with a sprinkler system and new heating, ventilation and air conditioning.

The project uses low-interest USDA financing. If hospital revenues are not sufficient to pay the $250,000 annual principal and interest payments, Sleepy Eye will levy taxes as needed to pay for the bonds as they become due.

Hartberg said the hospital is in good financial condition. He doesn't think a tax levy will be needed to repay the bonds. Hospital reserve funds would not be used for the project but may be tapped for future technology needs.

The short-fuse bond vote is needed since no state referendums are allowed within 19 weeks of the fall primary election due to redistricting.

Hartberg said the project, which could be completed as early as fall 2003 or early 2004, would help the medical center recruit a new physician or two. The hospital is currently ideally seeking a female obstetrical doctor.

Sleepy Eye's two existing doctors recently signed five-year service agreements. They staff the Morgan Clinic four half-days per week. The hospital recently hired nurse Sue Ahlness, who is studying to become a nurse practitioner.

Hartberg said now is the time to improve and expand the hospital and create a win-win situation..

"Our current hospital is small and antiquated," Hartberg said. "The new building is nothing fancy but would be adequate for new lab equipment to enable more in-house testing. It'll be good for the hospital and community.