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Archive for Tuesday, November 28, 2006

Details emerge in $400 million KU hospital deal

November 28, 2006

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The University of Kansas Hospital has pitched a nearly $400 million proposed affiliation agreement with KU Medical Center.

The proposal covers 10 years and includes $140 million in clinical salary support, $100 million for a new clinical cancer facility, and $60 million for a clinical ambulatory care building.

The proposal also assumes that the KU Hospital will be the lead clinical facility for National Cancer Institute designation and that Saint Luke's Hospital will be excluded as a site for full residency affiliations.

The details of that proposal have been revealed in a letter this week from Barbara Atkinson, executive vice chancellor of the Medical Center and executive dean of KU's School of Medicine.

"This offer is a generous expression of support and one for which we are very grateful," Atkinson said in her letter to faculty. "While we are happy to accept this support, this offer did contain a number of conditions and restrictions that warrant clarification and a more detailed analysis."

The proposal comes as a life science steering committee discusses partnerships between KU Medical Center, KU Hospital, Saint Luke's Hospital Systems and Children's Mercy Hospitals and Clinics to bolster the region's life sciences efforts.

In her letter, Atkinson said the Medical Center and KU's School of Medicine must make sure the proposal doesn't limit the university and the medical school from taking a leadership position in the life sciences or jeopardize the accreditation of the schools or its graduate programs.

Atkinson said the plan focuses on clinical investment, but the Medical Center also needs investment in research.

Hospital spokesman Dennis McCulloch said he expected the hospital to respond to the letter today.

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