The Illinois Health Facilities and Services Board, meeting in Bolingbrook yesterday, voted to deny the Certificate of Need aplications for two McHenry County hospital proposals before them.

This was a second attempt this year for approval from the State Board for both facility proposals.

Mercy Health Systems sought approval to build a $115 million, 70-bed hospital on property it owns in Crystal Lake, located on the southeast corner of Route 31 and Three Oaks Road. The Board voted 2-6 for the Crystal Lake project. Board members John Hayes and Alan Grieman cast the two positive votes.

Centegra Health System proposed a $233 million 128-bed hospital in Huntley at the corner of Reed and Haligus Roads. The Board split 4-4 on the vote for the Huntley project. The State Board requires five positive votes to approve a Certificate of Need for a facility.

Two other area hospitals welcomd the news. Advocate Good Shepherd Hospital welcomd the Review Board's decision, stating "We thank the Review Board for its vote to deny these projects, and believe this supports our position that no new hospitals are needed in McHenry County," says Karen Lambert, president of Advocate Good Shepherd Hospital, Barrington.

"We look forward to continuing to serve the residents of northern Kane County and southeastern McHenry," Lambert said.

Sherman Health welcomed the votes by the Review Board. "We support the Review Board's 'no' vote on these projects. The Board's action supports our contention that these projcts would duplicate health care services that already exist for residents of norhtern Kane County and southeastern McHenry County," says Rick Floyd president and CEO of Sherman Health.

State Board member Kathryn Olson explained, "I am still concerned that a new hospital will hurt existing area hospitals and for that reason I reconfirm my no vote from this June."

Advocate Good Shepherd Hospital Supports State Hospital Board Decision

Although the two proposed hospital plans before the State Health Facilities and Services Review Board today were turned down, this is not necessarily the end of the matter. Both proposals could be before the State Board later this year.

Advocate Good Shepherd Hospital welcomed the Illinois Health Facilities and Services Review Board’s votes today to give an “intent to deny” to both Certificate of Need (CON) applications from Centegra Health System and Mercy Health System to build additional hospitals in McHenry County.

“We thank the Review Board for its intention to deny these projects, and believe this supports our contention that no new hospitals are needed in McHenry County,” said Karen Lambert, president of Advocate Good Shepherd Hospital.

Centegra asked for approval to build a $233 million, 128-bed hospital in Huntley on its campus at Reed and Haligus roads. Mercy’s application was for a $200 million, 128-bed hospital in Crystal Lake on property it owns at Route 31 and Three Oaks Road. The Review Board’s vote took place at its meeting in Joliet.

“We know the board will consider these projects again, and are confident that members will see that residents of northern Kane County and southeastern McHenry County are already well served by Good Shepherd and several other regional medical centers,” Lambert said.

These projects could be back on the agenda as early as August 16, 2011, or they could be added to the agenda for the meeting October 4, 2011.

MCC Trustees Vote Support For Centegra Hospital Proposal

McHenry County College Board of Trustees, at a meeting last evenng, joined others in voting support for the proposed Centegra Health System hospital for the southern part of McHenry County.

Five of the seven members were present including Barbara Walters, Carol Larson, George Lowe, Dennis Adams, and Ron Parrish

Susan Milford, Senior Vice President of Strategic Marketing for Centegra presented the plans for the facility to be located at Haligus Road and Reed Road on an existing campus of Centegra.

Ms. Milford told the MCC trustees that Centegra plans to build a 128-bed facility on land purchased four years ago when the existing healthcare campus was begun at that location.

She explained that the $233 million project demonstrates Centegra's continued commitment to providing access to high-quality healthcare that includes wellness services to comprehensive medical care for residents of the region.

The hospital is to include private patient rooms, state-of the-art-technology, and a bright and airy architectural design. The facility is planned to provide convenient healthcare services to the greater Huntley, Lake in the Hills, Algonquin, Carpentersville, Lakewood and southern Crystal Lake communities.

Centegra, a 100-year old health care provider, has a long-term partnership with MCC, coordinating all EMS courses and was instrumental in the nursing program at the college.

Ms. Milford also noted that Centegra is the only area provider of mental health services, even though they lose money in the process. She also noted that health care costs do not decrease by having competitors across the street. The Illinois Health Facilities and Services Review Board will consider the impact on other hospitals in the area. This agency did identify an 83-bed need in McHenry County with the second greatest need in northern Kane and southern Cook Counties.

The five MCC trustees present voted unanimously for the Centegra proposal, although it was mentioned that they should also hear from the other hospital project proposed by Mercy Health System for a 128-bed acute care facility to be located at Route 31 and Three Oaks Road, Crystal Lake.

Public Has Say Regarding Location of Another Hospital In Crystal Lake Area

Should another hospital be located in McHenry County, specifically on the southeastern corner of Route 31 and Three Oaks Road in Crystal Lake?

That is a decision the Illinois Health Facilities and Services Review Board will have to make. Testimony was provided Friday by representatives of Mercy Health System which proposes to locate a 128-bed acute care facility at the Route 31 location. Although the Review Board was not physically present for the hearing, all testimony was recorded and is to be reviewed by the Board before making a decision.

The public also had much to say regarding the proposed location as well as remarks regarding present facilities. Some remarks were flatering while others were not.

This is the second attempt to locate a hospital at this location. The first attempt  in 2004  resulted in Federal indictments against State Health Facilities Board members. Mercy officials are adamant in pointing out that the actions at the time were not on the part of Mercy officials, but involved State Health Facilities Board officials. A new Health Facilities Board is in place since the indictments

According to testimony at the Friday hearing, Mercy officials spelled out plans for a 353,000-square foot, 128 bed acute-care facility at the Route 31 site which would serve 184,000 people, representing approximately 46 percent of the county's population. Mercy claims this is the number in the area without full-service emergency room or hospital-based outpatient services. Pending approval of the application by the State Health Facilities Board,  plans by Mercy call for breaking ground for the new hospital later this year.

Also in this mix of health care providers for residents in the southeastern part of McHenry County is Elgin based Sherman Hospital, Advocate Good Shepherd Hospital, Barrington, St. Alexius Medical Center in Hoffman Estates, as well as Centegra Health System with plans for a new hospital in southern McHenry County at Haligus Road and Reed Road in the Huntley area.

The opponents all explained that other faculties are located within a short time-frame from the area to be served by Mercy. As most everyone in the area knows, travel time could depend upon the traffic at the time and whether the travel is by ambulance or private vehicle.

As would be expected, established hospitals are concerned that another facility would reduce revenues for those already in existence. The final decision is up to the current State Health Facilities Board.