Hospital’s growth revs up local economy | Mixing Metaphors & Doubling Entendres

By Meredith Jordan
Posted 10/2/24

It’s easy to grasp the visible expansion of Jefferson Healthcare on Sheridan Street and to understand that it benefits the community. We are a bit isolated here on the peninsula, and having …

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Hospital’s growth revs up local economy | Mixing Metaphors & Doubling Entendres

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It’s easy to grasp the visible expansion of Jefferson Healthcare on Sheridan Street and to understand that it benefits the community. We are a bit isolated here on the peninsula, and having quality care is essential for good outcomes. 

The new 60,000-square-foot project adds new services and expands others, decisions based on need as assessed through data, according to CEO Mike Glenn.

The 25-bed hospital didn’t need more beds so much as it needed to expand specific areas of medicine, like neurology, pulmonology, Ear, Nose and Throat (ENT), and two new ambulatory operating rooms with pre- and post-op space.

Perhaps most notable in terms of need is the widening of oncology services, which will soon include radiation. As it is, about 200 patients are traveling to Silverdale, or farther, for that kind of cancer care. There are other people who have declined care because they aren’t up to traveling.

The estimated cost of the project is about $96 million, which is funded by a revenue bond, two bank placements, two federal and one state appropriation, cash reserves, and fundraising efforts by the Jefferson Healthcare Foundation.

The standalone cancer care unit is the most complex, and expensive, aspect of the build. The facility will house a next-generation Linear Accelerator (LINAC). It works its magic by pushing ions along a straight path really fast using electromagnetic fields — radiation — which charges the ions and enables them to do their thing.

A new LINAC costs somewhere in the neighborhood of $2.5 million, operated by software that costs about $185,000 a year. One of the aforementioned federal appropriations is a $2.5 million federal grant for the LINAC, which came with help from Sen. Maria Cantwell. The cost of the LINAC doesn’t include the highly customized construction it requires. Specs include five-foot-thick (plus) concrete for the strandalone building, which serve to contain the radiation, and in the case of the floor, ensure it comfortably bears the weight of the machine. Seattle-based Abbott Construction is in charge of the project.

Seniors top the list of beneficiaries of the expansion, As a group, they comprise 41.6 percent of the county, the highest of any county in the state. Washington is third in the nation using that same metric. Generally, seniors have greater need for health services. The other of the federal appropriations, again aided by Cantwell, is $2 million for the clinic that will provide ENT, neurological and pulmonological care to seniors.

But it isn’t just retirees who benefit by the expansion. The medical building will comprise 37,000 square feet on two floors. The first floor will house two ambulatory operating rooms and associated pre- and post-op spaces. The second floor will have specialty clinics and offices.There’s also a cafeteria in the mix. The well-regarded cafeteria has been operating from a facility the hospital upgraded at the fairgrounds. When the new space opens at the hospital, the one currently in house goes back to the community.

Cantwell spent hours at Jefferson Healthcare on Sept. 6, meeting with leadership, hosting a roundtable, and touring the construction site. 

“Our state’s going to continue to grow, and this is going to be one of the areas that people choose to live in,” Cantwell said. “Washington residents need “the kind of care that isn’t dependent on a ferry ride or a long drive.”

Cantwell, also talked about the number of jobs associated with the expansion, which gets to a wider point, which is the extent to which Jefferson Healthcare serves as a major economic driver for the area. While there is a lot of focus on the needs of the aging population, officials stressed care is available for all stages of life, including dental care. Jefferson Healthcare employs family physicians who are board certified in both pediatrics and internal medicine, and in care for newborns. There were 79 babies born at the hospital in 2023.

Jefferson Healthcare has been the largest single employer in the area for years, employing more people than the mill and the school system combined. It’s been growing rapidly on top of that, even before the expansion. It employed 866 people in 2022, 903 in 2023, and 966 on Sept. 25. The vast majority are high-paying jobs done by people who live in the community. These neighbors and friends pay taxes, buy goods and services from their neighbors and friends and other members of the community, rent and buy homes, and generally put money back into the local economy. That’s the fuel that runs the economic engine.

The hospital anticipates about 75 more jobs coming onllne as part of the expansion, said Jake Davidson, chief operating officer.

“It’s exciting for Jefferson healthcare and for the community that we serve to be in this growth phase, and to sustainably add new services,” said Davidson. “To be able to sustainably add new services to the community, and ultimately to keep care local — that keeps us independent and thriving.”

The grand opening is scheduled for Aug. 18, 2025.    

Reach Meredith Jordan at editor@ptleader.com.