VIRGINIA BEACH
Sentara Healthcare has requested protection from a group of professional baseball players and any other company that wants to provide medical services in the booming Princess Anne Commons area.
In a letter sent last month, Sentara asked the Virginia Beach City Council to place restrictions on land around the corner from its medical campus that 7 Cities Development Co. plans to buy from the city for sports and office use.
In addition, when it comes to health care services in the Princess Anne Commons area, city officials should first ask Sentara officials to develop those programs, the letter said.
The letter, obtained through a Freedom of Information Act request, goes on to say if Sentara can't provide those services on its 72-acre campus, the company should have the right to develop them first on any nearby city-owned parcels.
Stephen Porter, the vice president of Sentara's Bayside Hospital and Princess Anne Health Campus, sent the letter on Jan. 21, a day before the City Council agreed to transfer 10 acres to the Virginia Beach Development Authority so it could sell it to 7 Cities.
Several council members said they were taken aback by the extent of Sentara's requests.
"Everybody wants Sentara Princess Anne to be successful," said Councilman Jim Wood. "But I don't think it's appropriate for the city to play favorites."
Vice Mayor Louis Jones said Sentara does raise some legitimate concerns, but asking that it be given first shot at any medical services is too much.
"I just don't think we need to limit competition in total against anybody having a medical office in that area," Jones said.
Sentara isn't against competition, Porter said.
The point of the letter was to outline some of the concerns that physicians on the Princess Anne campus had, Porter said.
"I don't regret the letter," Porter said Wednesday. "I regret that the letter caused a reaction. That's not the intent of the letter."
At the time of the letter, Sentara wasn't sure about the details of the 7 Cities proposal, but the groups met Friday and Porter said afterward that he felt less threatened by the group.
Sentara developed its Princess Anne campus more than five years ago in collaboration with Beach officials, and the company wants to ensure that the plan is a success, Porter said.
In 2003 the city sold Sentara 72 acres for the campus for $11.7 million. City officials requested proposals for the site, which had been part of a popular park, and Sentara was the only company to make a pitch.
Sentara's plan for doctors' offices, a fitness center, restaurants, shops and eventually a hospital won the approval of the City Council because it provided much-needed health care services in a growing part of Virginia Beach. It also helped the city achieve its goal of creating a medical, educational and technological corridor.
But nowhere in the development agreement does it mention that Sentara has the right of first refusal on medical services, city officials said.
"If they wanted that privilege, they should have negotiated it when they did the contract," Jones said.
In marketing the area, the city has cited the health care company as a major partner, Porter said.
"A lot of it is implied and through discussions and how the city is presenting the corridor," he said. "It was the vision that the city has presented to the community and the physicians."
So far, Sentara has invested $60 million to develop the campus, Porter said in the letter.
Sentara lured several orthopedic surgeons to the Princess Anne campus, and those physicians want to make sure the services they're providing aren't duplicated around the corner on the 7 Cities property, Porter said.
"It's a big risk for entities of that size to come down here," he said.
The Princess Anne area has become a competitive area for health services. Both Sentara and its chief rival, Bon Secours Hampton Roads Health System, have proposals to build hospitals within three miles of each other awaiting approval from state regulators.
In the case of 7 Cities, Sentara has no objections the baseball clinic and sports therapy center proposed by Minnesota Twins player Michael Cuddyer and his partners.
But Sentara is concerned about part of the 7 Cities' plan that calls for offices to eventually be built on 3 acres, Porter said.
Sentara has asked specifically that 7 Cities not offer any MRI imaging and outpatient surgery services on their site, both of which would also require state approval.
R.J. Nutter II, the attorney for 7 Cities, said there likely will be orthopedic and therapy groups, along with sports companies, in the offices. But they won't compete with Sentara, he said.
"We'll have a lot of kids who'll be able to get additional treatment that we can't handle," Nutter said. "It would be silly for us to compete with a full medical facility. You don't take on an aircraft carrier when you're a rowboat."
Don Jellig, a retired vice president for Sentara who is now chairman of the city's Development Authority, said he doesn't think 7 Cities realizes how expensive it would be to provide the medical services.
"Providing those services is the least profitable thing they could do," Jellig said.
Sending the letter was probably not the best approach for Sentara to take, he said.
It would benefit both companies to work together, Jellig said.
Jellig said he hasn't decided whether he will vote on the 7 Cities land sale when it comes before the Development Authority later this month.
"I think appearances are as important as anything else," he said. "I may decide not to participate."
Deirdre Fernandes, (757) 222-5121, deirdre.fernandes@pilotonline.com
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Free enterprise....
Can't compete? Too bad, it's called Free Enterprise. Oh wait, isn't our Mayor on the board of directors of Sentara? Ever ask yourself why the city gov't had to ruin a perfectly good park by allowing Sentara to build a facility when there was plenty of empty land across the street? The little hobbitt needs to go, and once gone, investigate all her little underhand dealings.
I agree with you
"The fact that the city has completely frozen all worker's comp settlements is just outrageous." It is outrageous and that must be changed NOW.
To Mr. Bailey
Actually, I have talked to City Council about it along with many other issues that affect retirees in the city. The fact that the city has completely frozen all worker's comp settlements is just outrageous. Exposing your injured workers to continued "punishment" from dealing with the "people" at workers' comp is just wrong. I've been approved for VRS retirement but can't move on until the council actually decides to do something. "We're studying the issue" is their answer but if you ask who is actually studying the issue no one seems to know. They'll give you someone else's name and when you check with that person, they say they are not studying anything.
As for the costs going up, at the time we actually considered paying ourselves to keep our old insurance and their cost had not risen at all. Only the Sentara plan was more expensive at that time. Now as a retiree if I go to the ER, I have to pay out of pocket 10% of the total cost of the ER visit. If you've ever been injured in a trauma incident like an accident, you may have seen the outrageous cost that is now passed onto retirees.
I also agree that no one is going to beat Mayor Opensore. The only time the pe
Healthcare Premiums
Would like to discuss cost right now, not politics etc. An employer group is charged or pays based on their employees health risks, and how much they go to the doctor or utilize benefits. If you have a group of people who smoke, are obese and have lots of health problems or go to the doctor a lot then a company will have to pay more in health insurance. This cost is distributed to all employees. Now, the employer also decides how much they are going to help their employees pay toward their montly premiums. So, if you are upset with how much you pay don't blame the insurance company, take a look at the obese co-worker coming back with McDonald's for lunch or the co-worker who takes 7 smoke breaks a day. You are paying for them. That my friends is why national health care will never work.
You asked why
Your healthcare changed and went thru the roof because it happened nationwide. Look at the national cost numbers for health insurance before you jump to conclusions about a city council and Sentara conspiracy. I might add the cost has also increased due to the fact the City of Virginia Beach doesn’t pay as much for the employees as do the other local cities in Hampton Roads and passes on the higher cost to the employees (and retirees) to pick up. Instead of just complaining, call your council members and tell them about it.
BTW: If you believe Sessoms will be Mayor, I’ve got a bridge I’d like to talk with you about purchasing. I think it might be a good investment for you….
Yeah Right
Ok,,,so if Sentara doesn't run city council, how come when I had a really good health plan when I worked for the city it all changed after Sentara bought property from the city. The very next year my health plan options changed from the city. I could no longer chose any other plan but Sentara. Tell me how that happened???? My health care went from almost affordable to outrageous. Now as a retiree they continue to raise the cost of our health care. I was hurt at work and was promised care. Heaven forbid if I have to go to one of Sentara's emergency rooms. I'll need to take out another mortgage on my house!!!
Sentara's a mistake
The City needs to control Sentara and their power hungry needs. This city and this country needs to have choices to keep businesses competitive in costs and services. There is no benefit for the average Joe if Sentara gets to be the only provider of health needs. Do the right thing Virginia Beach City Council. Don't let us down.
CITY PLAYING FAVORITES
I don't think Sentara should be given any favortism, competition this area needs that. Maybe some ady we'll grow out of one of the lowest paying areas for employment, but the city is practically giving that land to 7 cities. Talk about playing favorites.
Monopoly
Not hard understanding why Sentara doesn't want any competition. I imagine that a lot of $$$$$$$$ is changing hands behind closed doors over this one. As far as the election goes, the winner will be in debt/gratitude to quite a few businesses before it is all over. Payola and bribery are the dirty little secrets of Virginia Beach Politics.
you heard it here
Don't know how this discussion got on the issue of the upcoming mayoral election in Virginia Beach. Will Sessoms is going to be elected mayor. We will hear all about how he's going to change things,blah,blah,blah.How to I know?? Because based on the choices we're going to be given he'll be the lesser of the evils, just like all elections are determined.
Never lost a park...
FYI: I've played many a day at the old PA Park ball fields and the new ones are 1000% better!!! I thank City Council for give us new ball fields to play on. When was the last time you played at PA Park?
Its all about relection
With the VB council, it's all about re-election. Why does being mayor of VB cost so much? Why do we need to have a mayor for over 20 years that has lost the bubble? We need a council that is concerned about the citizens. We lost a fantastic park to the sentara machine. Now they want to tell council who will handle health care? Yea, it's all about re-election. Sentara wants to kill the hospital at Bayside. Why? Has anyone seen the development in that area? How long does it take to get from Haygood to Princess Anne? Or VB General? People will die, but tax-em-dorf will be re-elected and laughing at the little people. Maybe the southern part of VB does need a hospital, but so does the northern area. Leave Bayside alone!
Heading South
As a physician, Sentara is one of the reasons I am heading South after separating from the Navy. They have way too much power around here.
Wow!
I wonder if Norfolk will protect my dental practice from competitors. I could charge a lot more if people had no place else to go to when they had a toothache.
Of course, this is what Louisiana Governor Edwin Edwards went to prison for.
Jones is right to protect healthcare options
Vice Mayor Jones is correct. We need health care/insurance provider options to keep the market moving and prices low(er). Sentara can ask for anything they want, but that doesn’t mean the Mayor and City Council are going to grant their request.
I think it is funny how some posters tie every issue to an election and throw the bums out message. Not everything is about getting re-elected.
"and the company wants to ensure that the plan is a success"
With a monopoly.
It's a fact
Sentara, the might machine, feels so comfortable owning VB council they can dictate what the city will do. They tell council what they want. It's funny to listen to Jones et.al. talk so tough, but I bet in the end Sentara will get exactly what they want. Heck, It's election year, and tax-em-dorf needs re-election funds. Watch how this plays out. Sentara will be smiling all the way to the bank!