Olympic Medical Center plans medical office building by 2016

PORT ANGELES — Olympic Medical Center plans to open a two-story medical office building in Port Angeles by May 2016.

The 37,000-square-foot space would replace four smaller clinics south of the hospital at 939 E. Caroline St.

“Our current clinics are too small, old and really not able to meet our patients’ needs,” OMC Chief Executive Officer Eric Lewis said.

The consolidated clinic likely would be built at the corner of Race and Georgiana streets, leaving parking space between the new facility and existing hospital.

“The big challenge has always been land,” said Lewis, who has been working on the project since becoming chief financial officer in 1998.

“It’s really taken us many years to acquire enough land to make this a possibility.”

Estimated cost

The estimated cost of the medical office building is $15.13 million.

That estimate shows $11.97 million for construction, $1.13 million for design, $1 million for sales tax, $780,000 for furnishings and equipment, and $240,000 for permits and inspections.

OMC would fund the project with a $20 million loan it took out in December for capital improvements. The 20-year loan has a 3.7 percent interest rate.

“Currently, the four clinics we have are inefficient to run and cost us a lot to operate because of inefficiencies on energy and extra personnel to keep four clinics open versus having one,” Lewis told five hospital commissioners Wednesday.

“We also need to recruit and retain physicians and other providers. And not having the facilities really makes a difference.”

OMC has more success bringing providers to its medical services building in Sequim than recruiting to its older Port Angeles campus, Lewis said.

Timeline

Hospital commissioners will consider approving the project scope and $1.13 million design at their Oct. 1 board meeting.

According to the proposed timeline, the board will call for bids in May 2015, with construction running from next summer to May 2016.

The proposed two-story medical office building also would have a basement.

While some have suggested leaving the second floor empty for a few years to reduce the initial costs, Commissioner Jean Hordyk said she strongly supports the full and complete construction of the building.

“The longer we wait, it’s going to cost even more than this,” Hordyk said.

“I think it’s going to boost the morale of the people who are going to get to use that [building], especially when you look at the women’s clinic and the specialty clinic and how crowded they are.”

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Reporter Rob Ollikainen can be reached at 360-452-2345, ext. 5072, or at rollikainen@peninsuladailynews.com.

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