Children's Hospital Overreaches with Tax for Tower

(Note: Measures A and B on the Feb. 5 primary ballot are two versions of a parcel tax to build a new Children's Hospital tower in north Oakland. Oakland Residents for Peaceful Neighborhoods received this thoughtful analysis from someone close to hospital operations. He does not live in the neighborhood, but residents there have raised additional problems with the project.)

This is a tough one to decide on. My daily business keeps me in touch with Childrens Hospital of Oakland (CHO) and has for two decades. I've written letters in support of state funds to help cover millions of dollars the hospital loses each year in unreimbursed costs as it treats uninsured children. CHO is a private, free-standing, children-only hospital whose only mission is to treat all children, regardless of their ability or inability to pay, for the excellent services they receive. I'm very proud to be associated with this community legacy. In fact, I consider Children's Hospital a jewel in Oakland's crown.

Yet I'm twisted on the ballot initiatives to raise funds through another assessment on the residents of Oakland. CHO is private, but most of its funds come from the state (Medi-Cal). Yet CHO is not asking the entire state, nor even the local surrounding counties, to consider an assessment to meet expansion and earthquake requirement funding needs. CHO serves kids from here locally to the Oregon border, as far south as Stanford, and as far east as Fresno.

Children's Hospital guilt-tripping campaign mailers

CHO is one hospital like most in California that need to "retrofit for earthquake safety" in order to meet state standards. Yet through all the quakes the existing structures have been through, I've never seen a crack in the wall or staircase or floor, nor have I discovered a disruption to the electrical or water delivery systems there, except when they do system checks.

I believe a 12-story tower is out of place in that north Oakland location - too close to freeways, too close to the BART tracks. The proposed building would not fit well in the neighborhood. CHO needs new space and new intensive care units, no question there. But a 12-story tower?? I don't think so, and asking the community to take on another tax? It's too much to ask as property values fall and the cost of gasoline rises. The community should hold back its vote of support until CHO becomes more responsive. Instead of building an untenable tower, CHO should work to see whether a structure of around five floors would do best, especially in a neighborhood so close to the freeways and BART.

More than getting no answers to questions asked, people should know how CHO went about putting this tax on the ballot. CHO had to rethink it when the county board of supervisors found out; that's why there are two versions of the measure for voters to consider. As a homeowner here, I'm going to really think about this one: CHO needs the expansion, but we need more answers first and should wait until all is clear. Perhaps CHO can work harder to tap into the wealthy patron base of the Bay Area before it targets Alameda County residents through the ballot measure.

Readers Comment

Gee, you think? I got my voter info packet yesterday and my jaw just dropped. Bad enough that they're planning to lay waste to an entire neighborhood with their blighting tower, they want us to pay for it? To h*** with that.

Until Children's Hospital Oakland, a private hospital, asked the public to pay for a $300 million bond measure – 40 per cent of the construction costs of a brand-new, state-of-the-art facility – the salaries of the top CHO executives weren't really an issue to me. But since they are asking, in the interest of transparency and accountability, voters might be interested to know (according to CHO's 2006 IRS 990 forms) what salaries CHO pays to those at the top:

• CEO Frank Tiedemann made more than $673,000 in cash and employee benefit plan contributions that year.

• Senior vice president Mary Dean made more than $317,000 in 2006 after getting a 15 per cent raise.

• Chief operating officer and chief financial officer Doug Myers made $420,000.

• Senior vice president of research Bert Lubin made $362,000.

• Chief administrative officer Pamela Friedman made nearly $230,000.

These are only some of CHO's senior vice presidents.

By comparison, the CEO of the public Alameda County Medical Center, which includes Highland General, John George, Fairmont and three outpatient clinics, made $351,000.

CHO might do a little belt-tightening of their own executives' salaries before coming to the public for a handout.

Please vote No on A and B.

(Note: This letter also appeared in the Berkeley Daily Planet, Jan. 18, 2008)

Some Provisions of Measure A

• The money may be used for any "constructing, expanding, remodeling, renovating, furnishing, equipping or financing of an eligible children's hospital ... located in the city of Oakland."

• The tax runs for 35 years.