Colorado Springs City Council has approved a $1.79 billion bid from University of Colorado Hospital and Poudre Valley Health System to lease city-owned Memorial Health System, according to a Coloradoan report.
Colorado Springs voters will now have to approve the leasing agreement. An election date has not been finalized.
Under the agreement, PVHS and UCH will form a new health system by leasing Memorial. PVHS will act as the northern hub and Memorial as the southern anchor. Children's Hospital of Colorado will operate as a "hospital within a hospital" by subletting Memorial's pediatric beds, according to the report.
The bid includes a $74 million upfront lease and payments of $3 million per year for 40 years for a new medical school campus and $5.6 million for 40 years in general. It also includes a capital contribution commitment of $28 million per year for 30 years.
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Colorado Springs voters will now have to approve the leasing agreement. An election date has not been finalized.
Under the agreement, PVHS and UCH will form a new health system by leasing Memorial. PVHS will act as the northern hub and Memorial as the southern anchor. Children's Hospital of Colorado will operate as a "hospital within a hospital" by subletting Memorial's pediatric beds, according to the report.
The bid includes a $74 million upfront lease and payments of $3 million per year for 40 years for a new medical school campus and $5.6 million for 40 years in general. It also includes a capital contribution commitment of $28 million per year for 30 years.
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