Magnitude SB 1953 has placedUCSF on Shaky GroundCharlene Bennett, RNUCSF School of Nursing-Master’s of Science Program

Introduction

How S.B.1953 impacts UCSF Medical Center financially

UCSF Medical

Center

Understanding KEY Performance Ratings

Structural Rating:• SPC-1 These are buildings that are

considered to be at risk of collapse after a large earthquake. Must be brought into compliance by 2008 (2013 with extension)

• SPC-2 These building are safe, but may not be functional or repairable after a large earthquake. Must be brought into compliance by 2030.

• SPC-3 These building are currently in compliance.

Long HospitalBuilt in 1981, SPC 3

Moffitt HospitalBuilt in 1953, SPC 2 (2030)

Langley PorterPsychiatricInstitute Built in 1942, SPC 1

Mount Zion Building BBuilt in mid 1950s, SPC 1 (2013)

Mount Zion Building ABuilt in mid 1950s, SPC 2 (2030)

Hellman BuildingBuilt in 1914, SPC 1

UCSF Medical Center’s Seismic Plan A Mission Bay

• Build 100 bed Cancer Hospital with diagnostic and treatment services, plus ambulatory care. This will replace existing Cancer Center at Mount Zion- Mount Zion will be closed

• Build 180 bed, free standing Children’s Hospital. This may include a Women’s Hospital. This will replace the Children’s Hospital at Parnassus.

Plan A

The Obstacles for The Cancer Center

– Cost of building has increased-cost of project would exceed $600,000,000

– The Mount Zion outpatient Cancer Center is 4 years old and is in debt. This debt will need to be paid.

– Building the new Cancer Center will require increasing existing debt beyond our ability to pay it.

Plan A

The Obstacles for The Children’s Hospital

• Cost will exceed $700,000,000

• Fundraising is behind by 2 years

• Mount Zion retrofit must be the priority since Cancer Center must remain at Mount Zion-option to move patients to Parnassus not viable due to shortage of OR capacity.

Causes of Cost Escalation

• Increase in competition from China for steel and concrete.

• The inflation rate of construction costs have been increasing by 15-20% per year-UCSF unable to save fast enough to keep up with inflation.

These factors have increased the budget for the Mission Bay project by 50% since its origin.

Plan B

• Retrofit Mount Zion by 2011 to at least SPC 2 standards to allow it to stay in service past 2013, with the possible inclusion of the teardown of the Hellmann Building

• Build Children’s Hospital at Mission Bay by 2016

• Retrofit Moffitt hospital at Parnassus by 2027

Plan B for Children’s Hospital Mission Bay

• UCSF Medical Center will borrow $400,000,000.

• UCSF Medical Center will raise $300,000,000 through a fund drive

The Implications of UCSF Medical Center’s Current Seismic Strategic

Proposal on the Cancer Center• If Mount Zion becomes the permanent

base for the Cancer Center, many physicians will be disappointed because Mission Bay was designed to be a world class research center with a state of the art imaging facility.

• If Mission Bay becomes the permanent base for the Cancer Center, the move will likely involve multiple phases over several decades.

The Implications of UCSF Medical Center’s Current Seismic Strategic Proposal on the Children’s Hospital

• The delay in building the children’s hospital has some pediatric physicians quite upset.

• Without the Cancer Center at Mission Bay it will be unsafe to have a women’s component to the Children’s Hospital because, there needs to be an adult ICU at that location-the Cancer Center would have provided this provide this.

• The longer UCSF takes to break ground the more expensive the project is likely to become.

Conclusion

• Aftershocks of the Northridge earthquake are being symbolically felt by UCSF Medical Center.

• UCSF Medical Center is struggling to find appropriate strategies to prepare itself for the seismic deadlines.

• As we have shown adjustments are being made constantly to the plans as construction prices continue to sky rocket.

• UCSF’s latest plan appears to be heading the institution in the right direction, one which will allow it to continue to pursue its vision of providing the best health care service.