Nevada County Picayune and Gurdon Times Newspaper Archive

Voters To Decide Hospital's Fate On January 9 Ballot

It was one of the hardest things a governing body could be asked to do and made the top story for 1995 in Nevada County.

The Nevada County Hospital's Board of Governors officially closed the hospital on July 20.

The closing was inevitable. The hospital had been operating in the red for years with few options of getting back on its feet. The board had tried to avoid closing by entering into an agreement with an adolescent alcohol/drug treatment center.

However, problems arose with the center because of medicaid denials on patients. The hospital wasn't being paid for them and the bills continued to mount.

Hospital Administrator Karen Ward said these denials contributed heavily to the closing.

Since the closure, administrative staff members have been working to collect monies owed to the defunct hospital so they can pay on the facility's indebtedness.

The General Electric Capital Corporation worked out a deal with the hospital to balance out its debt for about $250,000, which has been paid off.

Voters in the area will be asked to give their permission to allow the county to sell the facility in a special election Jan. 9, 1996.

At the time of the closing, area businessmen and industry leaders agreed it was a tragedy for the county, but life would continue as it had in Nevada County.

Chad Cornelius, owner of the Nevada County Ambulance Service, said the hospital folding was unfortunate for the county, and devastating for the hospital's employees. But, he reminded the people health care still exists and continues in the county.

He said the NCAS will continue to provide emergency services with the same quality and professional service and personnel as always.

Cornelius was assigned the service's contract by the Bank of Prescott, the Nevada County Quorum Court and the NCH board.

Gene Monk, the former director of the Nevada County Economic Development Office, said the closing disappointed him, but existing industry would continue operating and expanding. "Industrial recruitment eforts will continue successfully," he said.

While the hospital would be missed, he said, health care did not end in the county with its closing. Monk stated there are still clinics, home health agencies, nursing homes and a 24-hour ambulance service in Prescott.

In talking about how the closing would affect industrial recruitment, Monk said businesses and industries would continue to look at the area because of its geographic location in relation to Interstate 30.

He also said the county is still within reasonable distance to other hospitals, especially Medical Park Hospital in Hope.

But there was some concern existing industries would pack up and leave the area -- primarily Firestone and Potlatch.

However, Jim Heflin, personnel director at Firestone, along with Brad Fountain, Potlatch plant manager, both said their companies were going to stay.

Potlatch, prior to the closing, had announced plans for a $15 million plant expansion. Fountain said the company was saddened by the closing, but Potlatch and its employees would cope with it. "We're committed to this community and this site," he said.

Heflin called the closing tragic, but said the reality of the situation is the sun will keep coming up anyway.

He also said Firestone was committed to Prescott and Nevada County and had no plans on moving. In fact, the company recently achieved ISO 9002 certification, the first roofing company in the world to do so, and the third plant in the Bridgestone-Firestone company to achieve this status.

County and city officials also proclaimed the closing as sad and disappointing, but agreed the hospital could not have continued to operate as it had been.

Nevada County Judge John Barham those he talked to hated to see the hospital close, but understood why it had to. In addition, he had contacted the Arkansas Department of Health and learned getting the hospital relicensed would be much like starting a new hospital from scratch because of changes in the rules and regulations.

Prescott Mayor Howard Taylor said the community's senior citizens would be the ones most affected by the closing because they enjoyed a sense of security in assuming an emergency room was always available.

On the other hand, he said it is important for the residents to remember the other health care services available and take advantage of those.

Also since the closing, the hospital board and quorum court have been battling over who's in charge. Technically, the board can do nothing because it was a county-owned hospital.

This is why voters are being asked to cast their ballots on Jan. 9, 1996 to give the county permission to sell the hospital and all its assets and equipment.