Ground broken for new hospital

In front of a backdrop of earth-moving excavators that have been bustling for nearly two weeks, St. John’s Lutheran Hospital officials broke ground Friday, formally kicking off the much-anticipated new phase in the medical facility’s 60-year history.

The ground breaking for the $35 million, 77,000-square foot facility was well-attended, attracting an estimated 80 people, many of whom were hospital dignitaries, members of the SJLH Board of Trustees and of the Hospital Foundation, which is crucial in the on-going fundraising effort.

Foundation members presented SJLH CEO and CFO Bruce Whitfield an oversized check for $1.198 million, which represents a down payment. A little more than $200,000 additional funding has been pledged, he said.

Whitfield, who has been St. John’s chief officer for just a couple of months, thanked the board and the foundation for their efforts in getting the project to this point.

“I came in and all the work was done. I get to enjoy the party,” Whitfield mused.

As chief executive officer and chief financial officer, Whitfield said he is uniquely qualified to both monitor the construction and the financial progress of the project.

“People here have done an excellent job in getting us to this point,” Whitfield said. “I’ve been involved in similar projects like this in Butte, so I know this process. I do think my familiarity with this phase will be a benefit.”

  Financing for the project was secured in June, garnering a 3.58 percent interest rate, which is better than anticipated. In a November interview with then-CEO William Patten, he hoped to secure a 5½ percent interest rate.

  The lower rate, will save the hospital an estimated $10.4 million in interest during the course of the loan payment.

  The ceremony was a festive affair, as attendees were given replica yellow hard hats as they entered. A beautifully decorated cake with images of past projects from SJLH’s beginning in 1952, additions in 1983 and 2002 were depicted in the icing. 

   SJLH Director of Marketing KC Hoyer served as emcee, making introductions of the board and foundation before handing off the microphone for the actual ground breaking.

   The new facility will more than double the size of the current hospital, which is 56,000 square feet. While the hospital is seeking about $32 million for its loan, only about $22 million are for bricks and mortar. The remaining funding is for upgrades to the facility.

  The new building is located northeast of the current facility, forcing the demolition of its conference center, which Facilities Director Tony Rebo will be razed in the coming weeks. 

  Rebo said the two buildings will not be connected, and plans are to keep the business office in the current building, as well as its Home Health and Hospice and its Rehabilitation Center.

St. John’s Lutheran Hospital was built in 1952.  

In 1983, there was a major remodeling done that included a patient wing above the current hospital and adding several thousand feet to improve the Emergency Department, Birthing Center and Surgical Services.  

In 2002, the expansion and improvement of the hospital saw an improved Emergency Department and front entrance, which allowed it to expand its surgical area by moving it into what used to be the Emergency Department.  

It was at that time, the hospital added the much-needed business office and administrative space along with an additional conference room.  

In 2006, there was an addition to the area adjacent to the Imaging Department so that an MRI area could be added.   

Since 1952, SJLH has added 38,480 square feet.

   The contractor on this project is Swank Construction, Co., of Kalispell.

   Construction is anticipated to be completed by May 2014, and additional work will be necessary to the interior before becoming fully operational, Rebo said.