Thanks to its 2012 lease agreement with UCHealth, Memorial Hospital, for the second year in a row, has written a check to the city of Colorado Springs. This year $1.2 million will go to the Colorado Springs Health Foundation as a revenue-sharing payment, down slightly from the first ever payment of $1.3 million in 2015. Such payments will be made each year the hospital experiences earnings in excess of a baseline percentage outlined in UCHealth’s lease of Memorial Hospital.
“The baseline is 5 percent of the excess earnings before interest, taxes, depreciation and amortization over 8 percent is shared with the city,” according to Cary Vogrin, spokesperson for Memorial Hospital.
Merv Bennett, president of the Colorado Springs City Council, said the payment indicates the strength of Memorial Hospital operating under the umbrella of UCHealth.
“I was very pleased and the money will be passed on to the foundation, which will turn to into some outstanding benefits for the community,” said Bennet, who helped lead the lease agreement five years ago. “I did not anticipate payments beginning this soon. I thought it would take five or 10 years before this would happen.”
The Colorado Springs Health Foundation Board of Trustees recently approved a total of $118,350 in grants to four health-related collaborative efforts in El Paso and Teller counties:
- Center for Healthy Living and Wellness at Mt. Carmel Center of Excellence, a collaborative with Regis University and UCCS ($11,350)
- PACE Community Integration and Expansion Collaborative ($20,000)
- Penrose-St. Francis Neighborhood Nurse Centers Collaborative ($37,000)
- Woodland Aquatic Project ($50,000)
The recipients address one or more of the foundation’s funding focus areas: access to care for those in greatest need; workforce shortage of primary care and/or psychiatric providers; suicide prevention; school-based efforts to improve child/family healthy eating and/or active living.
“I’m very pleased,” Bennet said of the payment and the lease agreement. “This has exceeded expectations — and we had high expectations.”