Illinois Gov. Pat Quinn's plan to re-open a financially troubled hospital that has been closed for almost five years is a bid to help a town in need of better healthcare services and an economic shot in the arm.
Quinn has earmarked $3 million from a capital construction program to restore Carmi-White County Hospital in Carmi, the county seat of White County in the southeastern part of the state. According to officials, 44 percent of the town's population of roughly 5,200 live in low-income households, while the nearest hospital lies more than 20 miles away and requires an ambulance trip that usually takes between 32 minutes and two hours.
Re-opening the hospital, Quinn said, would bring in 160 medical personnel and support staff – as well as more than 20 construction jobs – and improve the quality of life in an economically disadvantaged part of the state, where many residents work in high-risk jobs in agriculture, mining and manufacturing.
"People living in rural parts of our state do not have the luxury of taking a short drive down the street to see a doctor or visit the hospital," Quinn said when announcing the grant money. "People in every corner of Illinois should have access to quality healthcare. This capital funding will enable the residents of White County to have access to critical medical care, while creating good-paying jobs."
Carmi-White Hospital shut down in December 2005 after management determined the hospital could not be properly staffed during the Christmas weekend. The hospital had been owned by Cornerstone Healthcare of Louisville, Ky., which bought the facility for $500,000 in 1999. The hospital had been losing money under its previous two owners, and fared little better after Cornerstone took it over.
Cornerstone's decision to close the hospital cost roughly 80 employees their jobs and earned the community a declaration as a medically underserved area and a healthcare professional shortage area. In addition, the town lost roughly $500,000 due to the shutdown, including $200,000 in a revolving loan fund and more than $80,000 in unpaid utility bills.
The hospital, built in 1953, is owned by the not-for-profit Phoenix Foundation of Southern Illinois, which acquired the property through a foreclosure proceeding and has since re-opened a 100-bed nursing home, built in the 1970s, that is part of the property.
The $3 million capital grant will come from the state's $31 billion Jobs Now! Capital Construction Program – designed by Quinn to revive the state's economy by creating and retaining more than 439,000 jobs over six years – and be used for electrical wiring and repairs, painting, floor repairs and deep cleaning of both the interior and exterior to remove five years of accumulated mold and other pollutants. The facility will also get new environmental control, security and alarm systems and backup utility services.
Officials expect the renovation product to be completed by the end of August 2012.