Council may give funds for study

Published 1:54 pm Tuesday, December 2, 2008

The Austin City Council was again asked to consider a $2,000 funding request for a study to determine the need for a wellness center.

Austin Medical Center (AMC) and the YMCA are in the preliminary stages of proposing a new facility to meet space needs as well as the growing need for preventative care.

Dr. Timothy Johnson, a physician at AMC and former CEO at the hospital, answered council members’ questions during a work session Monday night.

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The city, Austin’s Port Authority and the Housing and Redevelopment Authority (HRA) have each been asked for $2,000 to conduct the feasibility study. The Port Authority has approved $2,000, and the HRA has yet to make a decision.

“This is very preliminary,” Johnson explained to the council, saying that it all started with the theory that preventative measures need to be taken to decrease chronic illness. Thirty-three percent of Minnesotans are of normal weight; the number may decrease to 23 percent by 2020, he said. Johnson said that “lifestyle issues” contributing to chronic illness account for 75 percent of health care costs.

“Austin Medical Center is good at acute care, and that’s what we do,” he said, adding that a wellness center would focus on not only a broader population — many who have no experience with exercise — but provide space for as many as 20 new physicians and meet the YMCA’s space need as well.

It would not be a traditional, commercial fitness center, he said.

“There’s a huge population out there that people never reach,” Johnson said. “Young and old, well and unwell, high risk and low risk.”

The purpose of the feasibility study would be to identify “unknowns:” demographics; what other facilities are in the area; building design; construction cost estimates; long-term operational costs; and outside funding sources, like grants.

They have located a firm that specializes in this work.

The study is estimated to cost approximately $60,000, with the Hormel Foundation and AMC each pitching in $25,000.

Also, the Austin Area Success Center, a proposed project to make a one-stop shop for child care and parenting resources, has given $2,000 for the study.

Ownership of the wellness center has not been determined, whether it be the YMCA, AMC, both or neither.

Council member Pete Christopherson said he believes that any contributions from the success center mean government is becoming involved.

“Why do you need a feasibility study so one of the partners will say, ‘I’ll take charge?’” he asked. “Why do they need our money to figure that out? Maybe your success center and my success center are two different things.”

“We’re just talking feasibility study — we’re not committed to anything,” Mayor Tom Stiehm interjected, with Johnson pointing out the growing childhood obesity epidemic.

Christopherson said that he doesn’t believe the community should have to pay for someone else’s child care, calling the wellness center a “socialized ‘Kumbaya.’”

Christopherson, who has been skeptical about the city’s role in the wellness center, said that “none of this is helping me to make a decision.”

He wanted to know what questions the firm will ask, and what AMC and the YMCA want to get from the study.

“We are a pretty elderly county,” Johnson replied, using an example. “What percentage of the 80-year-olds are going to participate in this?”

Jim Hurm, city administrator, said the Port Authority approved the $2,000 because there is a potential for new jobs. Johnson said 30 to 50 new jobs are possible, many including physicians and support staff.

Council member Scott Pacholl said he is concerned that if the city gives money to the study, they will be approached again and again for funding in the future.

“There’s a lot of issues that come up,” Johnson said. “However, I stick to my original concept that if this couldn’t support itself, we wouldn’t do it.”

When council member Jeff Austin asked what the justification is from a city perspective for a wellness center, Johnson explained that this kind of facility could attract more doctors.

“Recruiting professionals is an incredible challenge at the medical center,” he said. “Anything we can do to enhance the community will help that. Anything we don’t do to enhance the community will hurt that.”

Council member John Martin was apprehensive about the city’s involvement, pointing out that the $2,000 requests from the city, HRA and Port Authority is actually $6,000.

“It all comes out of the same pot,” he said.

Martin also expressed concern about cost: many patients quit rehab when their Medicare or Medicaid runs out after so many sessions.

Johnson said he doesn’t believe either would cover fees at the wellness center, but some employer-based health insurance as well as employers may provide incentives or discounts for exercise.

Johnson said they are researching all sources of funding, including membership and fees.

The council voted to recommend approval at the next regular council meeting, with Martin and Christopherson voting no.