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September 18, 2001 By Jim Mimiaga The Montezuma County Hospital District board learned Wednesday that there is still a good chance that funding for a proposed health clinic in Mancos will become available this year. "We’re not out of the running yet," said Mike Guillette, member of a Mancos health-clinic task force. "There is still $8 million to $12 million in funding, and we are still in contention for that. If not, then there is another round in February." In August, Montezuma County was not on the list to receive federal grant money earmarked for areas lacking adequate health-care access. The region’s low patient-to-doctor ratio prompted a medically under-served designation by the Department of Health and Services this summer, but other areas with greater community-health needs were apparently funded first. The board is pursuing an option to purchase the building to be used for the clinic for $240,000 under an agreement with its owners. They want Valley-Wide Health Resources to operate the clinic, but the Alamosa-based health-management organization requires an annual subsidy of $500,000 from the U.S. Department of Health and Human Services to do so. Pending favorable review, the board on Wednesday agreed to be a sponsor of a Colorado Department of Local Affairs grant application that would put $65,000 towards renovating the building. The board has previously agreed to be the sponsor of a $150,000 Caring for Colorado grant application that would be for renovation purposes also. The building, located on Railroad Avenue in Mancos, needs approximately $250,000 in remodeling for a primary-care/dental-clinic purpose. The remaining $35,000 needed for the remodel is being raised locally, said County Administrator Tom Weaver. The board decided to wait until funding is allocated before officially deciding if it will exercise its option to buy the property. Also on Wednesday, the board:
McCabe shed some light on the issue in public session, noting that the process was slowly moving forward. He said Continuum is seeking a conventional loan based on a ground-lease draft that the district has tentatively approved. A previous loan application submitted by Continuum for construction was not acceptable to the district board. That loan, a Housing and Urban Development package, put up district land as collateral in case of Continuum default, but the board said it could not ethically allow it because of the potential that taxpayer land could be encumbered to another entity, so the loan option was denied. McCabe said that as an alternative a lender can "insure their investment’s success by procuring other management in case of Continuum default, as long as that arrangement complies with our lease standards for patient care." A construction timetable of 18 months would also be advisable, he said. Once vacant, the current Vista Grande building will be used for non-medical administration by Southwest, thereby freeing up badly needed clinical space in the main building. Board Chair Randy Smith said he was concerned that Continuum was stalling. A deadline to begin construction has since passed, but Continuum denies that, arguing that a building site still needs to be officially designated by the district before construction can begin. The district board had already agreed that the building be built on the southwest corner of campus property. Continuum has also reported to MCHD that, without a signed land lease, they cannot obtain the construction loan approval.
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