Short Term Capital Needs to be Addressed by IU Health Starke Hospital, County Officials

IU Health Starke Hospital

There’s more today on the proposed sale of IU Health Starke Hospital to IU Health LaPorte Hospital. It was reported that the offer to purchase the hospital is for $1.00. Money-wise, there’s more to the offer.

Hospital spokesperson, David Hiatt, mentioned that Starke County is already on the hook for approximately $7.4 million that IU Health LaPorte Hospital inherited with the signing of the lease in 2006. If they decided to not renew the lease in 2016, the county would be responsible for that much money. If the hospital were to be sold to IU Health LaPorte Hospital, that money would be waived.

Hiatt asked that the county officials approve another $2 million in further upgrades now.

“It is about $2,001,076. We are asking that you approve that by the lease agreement between IU Health Starke Hospital and Starke County. We’re required to seek county approval for any capital spending that we do.”

More is needed to bring IU Health Starke Hospital up to 21st Century hospital standards.

“We estimate that there is about $5-7 million in short term immediate capital needs of the hospital as it stands today. We have significant needs that must be addressed now before we start planning for the long term facility or what is going to happen long term.”

A new hospital could be built here if IU Health LaPorte Hospital is successful in purchasing IU Health Starke Hospital.

“We talked a lot about a new facility at the last meeting. The approximate cost of a new facility for Starke County is somewhere in the area of about $40 million. Before we can really begin to plan for that type of facility, or that type of investment and looking at strategic plans and financing plans, we feel we need to address the short term capital needs of this building.”