The KPB Assembly adopted ordinance 2018-16 that moves the north boundary line of the South Kenai Peninsula hospital service area to Barbara drive (midway point) and changes the south line to include the south side of Kachemak Bay which currently is not in the service area, subject to voter approval in the fall 2018. (The substitute ordinance excludes the City of Seldovia to better ensure the passage of this ordinance, since a first class city they alone could control the outcome of the public vote this fall.)
The financial impact to the service area as a whole is an additional gain of $2,195, and adoption of this would actually slightly reduce the mil rate for the remainder of the service area from 2.3 to 2.299. Click here for the complete financial impact, history of patient use, maps and additional information.
The SKPH Service Area Board passed a resolution to support the proposed substitute ordinance. The SPH administration is relieved that the substitute ordinance addressed most of the concerns they had with the original ordinance proposed in April: our relationship with the Ninilchik clinic is preserved; the community of Ninilchik maintains local access to care; the new boundary line locations seem to have actual reason (rather than randomly drawn or by special interest of a few); and funding for the existing service area needs and financial support for South Peninsula Hospital will not be negatively impacted. Though SPH is not eager to change the service area boundaries at this time (the process is flawed, the intents are questionable, and this will be a loss of oil and gas tax revenues to the borough), the ordinance adopted is more reasonable than the original, but only if the re-drawing of boundary lines will be put to rest and we no longer revisit this every few years.
Additional information on this ordinance can be found on the borough website. Feel free to contact Derotha Ferraro, Director of Public Relations, at email@example.com or 235-0397 with any questions you may have. Thank you for your continued support of South Peninsula Hospital.