Transcript Slide 1

GREATER COLUMBUS CHAMBER OF COMMERCE
The Dell School of Medicine
at The University of Texas at Austin
and Other Healthcare Issues
September 25, 2014
Clarke Heidrick
History of Brackenridge Hospital
The regional trauma center and safety net hospital for our region
• originally built at current location in 1884 - oldest public hospital in Texas and
operated by the City of Austin beginning in 1904
• named for Dr. Robert Brackenridge in 1929
• current hospital built in 1970s
• Children’s hospital built adjacent in early 1990s
• in mid 90s, substantial losses resulted in the City's lease of Brackenridge and
Children’s to Seton
• Seton has made substantial investments in Brackendridge/Level 1 Regional
Trauma Center.
• Agreement with City in 2002 enabled development of Dell Children’s Hospital
by Seton
Austin Should Have Had a Medical School
when The University of Texas at Austin was
First Built
•
Politics resulted in an election 1881 between Galveston and Austin - Galveston won - UTMB
established 1891 - then hurricane of 1900
•
Austin got the rest of The University of Texas
•
Since UTMB was established, 5 other health institutions have been developed by UT
System:
• UT Southwestern Medical School
• UT Health Science Center at Houston
• UT Health Science Center at San Antonio
• MD Anderson Cancer Center
• UT Health Science Center at Tyler
•
New South Texas Medical School currently being developed
•
Texas A&M facility in Round Rock – 134,000 sq. ft. facility for 3rd and 4th year students –
December 2009
•
Existing Southwestern Medical School residency program in Austin since 2009 – 13
programs/more than 225 residents now – will soon convert to UT Austin residency program
Central Health
• formed by election in 2004 under name of Travis County Healthcare District 7.8¢ (6.4¢ City/1.4¢ County) initial tax rate - consolidated most of City and
County healthcare functions
• tripled number of MAP participants to 23,000+
• opened additional primary care clinics (14 when we started/21 now)
• supported hospital based care at Brack operated by Seton under lease
• added specialty care capability
• lead community collaboration on mental health/added capability at Shoal Creek
and elsewhere
• broad based community planning effort lead by Senator Watson in 2010/11
identified gaps/laid the foundation for the November 2012 election
• 2012 election raised tax rate from 7.9¢ to 12.9¢ - $35 million a year for new
medical school
Current Property Tax Rates
Around the State
Current Rate
Current Per Capita*
12.9¢
(was 7.89¢)
$115
San Antonio
27.62¢
$162
Dallas
27.10¢
$172
17.9¢
$122
Central Health
Houston
*1 year old estimate
Community Health Needs
• outpatient specialty care for uninsured
• mental health resources
• disease management and more efficient and effective care for poorest and
sickest and broader need for systematic change
• Brackenridge needs to be replaced - trauma and emergency care hospital for
region
• more doctors will be needed for growing and aging population in Central Texas
• cancer care
• women’s health
Senator Watson’s 10x10 Vision and
Leadership First Announced at RECA in
September 2011 (lots of work before that)
• UT Med School
• new teaching, trauma and emergency care hospital (Seton intends to fund up to
$250 million for this with philanthropy covering the approximately $50 million
balance)
• added capability in mental health
• added capability in outpatient primary and specialty care
• added capability in cancer care
• research facilities
Key Milestones
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Senator Watson’s speech in September of 2011
April 2012 Letter of Intent between Seton and Central Health.
UT Regents Action in May of 2012 - committing two funding streams to an Austin medical school
totaling $30 million per year - and identifying a need for a local match of $35 million per year.
November 2012 Central Health Proposition No. 1 - increase current tax rate of 7.9¢ by 5¢ to
12.9¢ yields $55 million of additional funds annually. Additional funds available in late 2013 and
early 2014.
Michael and Susan Dell Foundation commitment of $50 million in January of 2013.
Announcement of configuration of UT Austin Medical District (Fall 2013)
Seton and Central Health enter into a Master Agreement by which Seton will construct new
teaching hospital and Central Health, Seton and Integral Health form a working partnership to
more effectively manage the care of over 20,000 of our poorest and sickest residents (June
2013)
Appointment of New Dean – Dr. Clay Johnston (January 2014)
Seton kicks off its $50,000,000 own capital campaign for new hospital and announces that new
hospital will be named “Seton Medical Center at University of Texas” (April 2014)
Groundbreaking for medical school (April 21, 2014)
Central Health plans for the reuse of its 14 acres of land now occupied by Brackenridge (2014)
Medical school to open (August 2016)
New teaching hospital to open (January 2017)
The New Teaching Hospital:
Maintaining Commitments; Building for the Future
• New facility will continue as the primary safety net hospital
and Level I Trauma facility for the region
• Unlike UMCB, the new hospital will have more education
and research space
• For the first time, dedicated in-patient psychiatric services
• Size of the new facility is being developed with an
assumption of transformational change to the delivery
system
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The New Medical School –
opportunity to change healthcare locally
and nationally
Scheduled to enroll its first class of 50
students in summer of 2016
Research intensive institution with
strong community based education
experiences
Strong emphasis on inter-disciplinary
training to breakdown historical silos
in medicine
Medical school and health science
center campus will create 15,000
new jobs and more than $2 billion in
annual economic activity
80% of doctors educated and trained
in Texas stay and most locate within
50 miles of where they trained
By 2016, Central
Texas will need 770
more doctors, with
greatest need in some
of the most complex
sub-specialties
10
Existing Campus
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Existing
12
Phase 1
Phase 1
GSF: 1,415,100
P
NURSING
RESEARCH
URBAN RAIL
STATION
MOB (1)
PARKING
STRUCTURE
P
Dell Medical
School
HOSPITAL
P
13
Phase 2
Phase 2
GSF: 603,000
NURSING
Dell Medical
School
URBAN RAIL
STATION
14
Phase 3
Phase 3
GSF: 2,298,675
P
P
NURSING
RESEARCH
URBAN RAIL
STATION
MOB (1)
Dell Medical
School
MOB (2)
HOSPITAL
PSYCH HOSPITAL
CANCER CENTER
PARKING
STRUCTURE
P
Proposed: Toward the City
Capital
New Medical School Dean
Dr. Clay Johnston, MD, PHD
• BA Physics Amherst College
1987
• MD Harvard Medical School
1992
• Internship-Mass General
1992-1993
• Residency (neurology) U Cal SF
1993-1996
• Masters & PHD in Public Health
(U Cal Berkley)
1998
• Professor U Cal SF (Neurology/
Epidemiology/Bio Statistics)
1998-Present
• Associate Chancellor for Research
2009-Present
• Married to Physician; 2 kids ages 9 & 11
• Well balanced leader in research (primarily with respect to strokes)
as well as leader in clinical outreach and healthcare policy
Research and Economic Development
• Existing Dell Pediatric Research Institute at Mueller across from Dell Children’s.
UT Austin institute in 150,000 sq. ft. building on 8.5 acre tract that is a part of 15
acre tract owned by UT system. Other half of the tract is available for
expansion.
• Seton/UTSW Research Institute. Dr. Steven Warrach (formerly with NIH) will
coordinate translational research and bring in world class researchers. Located
in Clinical Education Center next to UMCB.
• Austin Tech Incubator - part of IC2 at UTA. Cindy Walker Peach is ED. Develops
companies. Already have 120 small biotech companies in Austin. More to
come. Contemplates development of new building 150,000 sq. ft. with at least
60,000 sq. ft. of wet lab (wet lab costs $400-800 a sq. ft.). Either at Mueller or
on a new campus. $80 to 90 million - PPP.
• Long term - innovation district in area just South of medical school complex.
ECONOMIC DEVELOPMENT TARGETS
• The study by Jon Hockenyos (TXP, Inc.) indicates that UT Medical School, New
Teaching Hospital and Research Facilities could produce:
• $340 million in direct new annual activity from the complex
• 2,100 new permanent jobs in the complex
• $1 billion in direct annual spending by life science sector
• 6,900 direct jobs in life science sector
• $2 billion including indirect (ripple) economic activity
• 15,400 jobs including indirect (ripple) activity
Conclusion
20 years from now:
• world class medical school, trauma and emergency facilities
• adequate capacity in a reengineered health system that emphasizes
health/wellness, primary care and deemphasizes hospital admissions and
lengthy stays and maximizes efficiency and realigns incentives.
• great research and robust biotech economy centered in NE quadrant of
downtown.