The economy may be soft, but Harrison Medical Center is moving ahead with three new major capital projects: a major remodel of the Bremerton hospital, an expansion of the Silverdale one, and an addition of a clinic and cancer center in Poulsbo. The projects are part of the nonprofit’s Vision 20/20 strategic plan.
The expansion of the Port Orchard clinic and construction of a new Belfair site are in the meantime nearing completion, with the Port Orchard clinic scheduled for a ribbon-cutting on Jan. 13, and the Belfair one in April.
The expansion of the Silverdale campus is being viewed by some local leaders as an event that will spur development in the area. The plan calls for a 92-bed, three-story addition . The project will also add more operating rooms, various support services, and enhance the Emergency Department.
“The plan is to copy the Bremerton Emergency Department,” Tom Kruse, Harrison vice president of business development, told employees during a Vision 20/20 presentation in December. “More people now use the ED, and having capacity is important to us.”
Kruse said the project is looking ahead at current needs as well as needs 15 years from now. He said population in the area is growing by 1 or 2 percent a year while Harrison’s market share is growing by 3-4 percent. That means residents who historically left Kitsap for medical care are now seeking it close to home.
The first phase of the project is expected to break ground in about a year. A parking structure may be considered as part of second phase, but Kruse said the challenge is that parking structures cost double, and sometimes triple, compared to regular parking stalls.
The project will require a Certificate of Need, but Kruse said nobody can file as an affected parted because Harrison is the only acute care provider in Kitsap.
The Bremerton campus will be remodeled to upgrade an aging part of the structure, a 1965 chasse. The first floor will be reconfigured, moving administrative offices out to create a cardiovascular institute. An off-site campus may be added, and part of the bed capacity will be moved to the new Silverdale building.
The two projects are estimated to cost $230 million not including financing, and Kruse noted the economy left an effect on Harrison just like with anyone else. “Our $120 million nest egg a few months ago is now $90 million,” he said. The organization has been losing money the last few months, although the volume of patients has grown. The loss is mostly attributed to uninsured patients who are not able to pay for the care received.
At deadline time, the Harrison board of directors was slated to decide on the two-phase plan for the new Poulsbo campus. The plan includes the purchase of the old city hall site and development of an interim medical and oncology clinic. The next phase would build a new building on the site that will include urgent care and space for other physicians.