By February 11, 2015 Read More →

Financial Impact of the Lakewood Hospital Transition on the City of Lakewood

Lakewood HospitalThe City of Lakewood’s Director of Finance, Jennifer Pae, has released the document posted below which outlines the projected financial impact on the City of Lakewood with regard to the Lakewood Hospital transition as it currently exists in the Letter of Intent. Pae has also released (posted below) a second document which details how the city has dealt with other larger financial challenges.

Pae says:

“In summary, it is accurate to say that the 2016 financial impact of the Lakewood Hospital transition is approximately $1.5 to $1.7 million to the City’s General Fund.  This is approximately 4% of the General Fund Revenues.  Although this amount may sound daunting, it is not insurmountable or devastating to the City government.

The City has recently successfully addressed larger financial challenges of reduced revenues and increased expenditures, while maintaining/improving services, not raising any taxes, and improving the City’s financial position as shown in the second attached document (City of Lakewood Reserves 2007-2016).

Several have asked what about the debt associated with Lakewood Hospital.  On February 1, 2015 the last principal and interest payment was made for the outstanding debt.  Therefore, the City will not take on any bond payments from the hospital.

As more information is known, continued analyses will be done.”

The City of Lakewood has posted additional information on the Lakewood Hospital transition on the “Lakewood Wellness” page of the City’s website.

Financial Impact of the Lakewood Hospital Transition

City of Lakewood Reserves 2007-2016

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