NAH says hospital plan will be privately funded, but critics worry about future costs
As Flagstaff voters weigh in on a proposal to build a new hospital, some in the community have questioned how Northern Arizona Healthcare will pay for the project. The company maintains it’ll be 100% privately funded.
NAH says it’ll pay for half of the new Flagstaff Medical Center with cash, and the rest financed through bonds or other loans. The more than $800,000 million project is slated near Fort Tuthill County Park.
The first phase includes a new seven-floor hospital but hotels, retail space and research facilities are planned in the future.
NAH says it’s set aside funding for years and that their Health and Wellness Village won’t use any tax dollars.
But critics, including the group Flagstaff Community First, have called for an independent investigation into NAH’s funding plan and say the project could present a financial risk to the community.
The group also says the development could increase healthcare costs for residents.
It comes about a year after NAH settled a $4.5 million whistleblower lawsuit that alleged the company had attempted to secure an unlawful payment of federal Medicare funds. NAH says it settled to avoid litigation about a quote, “complicated regulatory question.”
Ballots for the mail-in election, including Proposition 480 for Flagstaff residents, must be received by the county recorder by Tue, Nov. 7 at 7 p.m.