WHEREAS, Proposition A passed by a 73% majority of San Francisco voters in November 1999; and
WHEREAS, Proposition A stated that the City shall replace Laguna Honda Hospital; and
WHEREAS, the City, through the Department of Public Works (DPW) as the contracting officer, designed a replacement facility; and
WHEREAS, this replacement facility included 1200 beds located in four new buildings; and
WHEREAS, the budget for said replacement facility is $401.6M; and
WHEREAS, market conditions in the healthcare construction sector have made it impossible to build a 1200 bed facility for this budget; and
WHEREAS, DPW is of the opinion that market conditions will not improve in the near term; and
WHEREAS, DPW is furthermore of the opinion that there would be no gain in revisiting the design for further economies; and
WHEREAS, DPW has determined that the best course of action is to proceed with the bids received; and
WHEREAS, DPW has determined that proceeding with the South Building and the Link Building with no reductions in their scopes can be achieved within the budget; and
WHEREAS, DPW has determined that proceeding in this manner will allow for future construction of the East Building and the West Building; and
WHEREAS, proceeding in this manner also allows time to identify additional funding for completing the East and West Buildings; and
WHEREAS, the Commission supports such efforts to investigate options for completing the East and West Buildings; now, therefore, be it
RESOLVED, that the Health Commission of the City and County of San Francisco concurs with the Department of Public Works’ recommendation to proceed with construction of the South and Link Buildings and any associated work with no scope reductions; and be it
FURTHER RESOLVED, that the Department of Public Health will bring forward, as soon as possible, options on completion of the replacement facility, for the Health Commission to consider.
I hereby certify that the foregoing resolution was approved by the Health Commission at its March 29, 2005 meeting.
Michele M. Seaton, Executive Secretary to the Health Commission