The governor of Guam, Eddie Calvo, presented legislation to borrow $425 million and raise taxes to pay for improvements at Guam Memorial Hospital Authority, Pacific Daily News reported.
Titled the "Health Care and Insurance Industries Investment Act," a majority of the $425 million borrowed would be used to pay and refinance loans and bonds, while $125 million would finance renovations, specifically replacing one of the facility's wings The legislation would also mark GMHA as a "Medical Center of Excellence."
The majority of the loan would come from Section 30 funds that Guam collects from the federal government, according to Pacific Daily News.
The renovations aim to fix safety concerns in the facility and provide centers for heart and diabetes programs, among others. In addition to the renovations, the bill proposes an Employees Health Insurance Fund to provide health insurance to individuals in Guam working for private employers who do not provide coverage. The funds would come from tax excesses.
"The goal of this legislation is lay the foundation for an integrated system of managed care programs, beginning with an insurance pool to assist employers offset the cost to provide health insurance for their employees," Gov. Calvo told Pacific Daily News.
In the past, lawmakers gave permission to the hospital to raise fees, gave the facility $1.75 million for utilities and $1.6 for equipment needs. Guam is currently $1.09 billion in debt, $20.5 million as a result of the hospital.