At their board meeting, Thursday night, NewsLanc again raised concerns about contracts between the Convention Center Authority and Penn Square Partners – issues with which the Authority has seemingly refused to deal.

Past contracts between the developer of the hotel and the public authority stated that S. Dale High shall have the right of first offer with respect to naming rights, and that proceeds from the sale of naming rights would be shared 50/50 between the authority and Penn Square Partners (PSP).

Confronted with the issue, Chairman of the Board Art Morris declared Thursday night that the board is “not pursuing, actively, naming rights as a revenue source.”

Morris has previously said that the board does not expect naming rights revenue to be substantial for the first year or two of operation.

Confronted with further contractual provisions stating that future state grants shall be shared 50/50 between the authority and PSP, Morris said that this issue is “not off the table,” that the discussion would be better raised with the Finance Committee, and that negotiations will continue to take place between the Authority and PSP as part of discussions with State Senator Gib Armstrong about state grants.

The Authority is expecting to receive $3.2 million as part of the recently-passed state budget. That money may not be available until later in the year.

When the reporter asked how many opening-year events have been booked so far, no one on the board had the figures at hand.

In his last report to the Public Relations, Marketing, & Hospitality Committee of the LCCCA, Josh Nowak of Interstate Hotels & Resorts (who was not present at Thursday night’s meeting) had said that no new bookings were confirmed during the month of June.

Also, according to Nowak’s July 17 report, 13 events have been booked for 2009, reflecting $183,600 in revenue. This amount is 36.3% of the $506,077 Interstate Hotels & Resorts anticipates the Center will generate in 2o09.

Nevertheless, Kevin Fry, who chairs that committee, and LCCCA Executive Director Kevin Molloy remain optimistic.

The reporter asked whether the booking pace so far has been disappointing or in line with expectations. Fry replied, “The progress has so far has been what we expected” even though “some of the smaller events are booking more slowly.”

“The effort of the sales team has been excellent,” said Fry.

He went on to say that the marketing team has a lot of prospects and repeated, “we’re very close to where they expected us to be, percentagewise.”

Molloy shared that, in his experience, many meeting planners, particularly nonprofits, become more confident about booking once drywall is installed.

“Those nonprofits cannot risk their financial viability by booking a convention center before it has drywall,” Molloy said.

NewsLanc will, of course, continue to pursue and seek further clarification on these issues, and we will continue to file timely reports.

County planners and their consultant, KCI, held a public presentation, Wednesday night, to present the preliminary findings of their Harrisburg Pike Land Use Study and to solicit public feedback.

The stated purpose of the study is to: improve the overall carrying capacity of the Harrisburg Pike Corridor and enhance the safety for all users, incorporate alternative modes of transportation in new development and redevelopment along the Harrisburg Pike corridor, and to preserve the unique qualities of the urban and suburban land patterns and the community values and environmental resources of the project area.

How exactly do they propose to do this?

Among the ‘higher priority’ recommendations: coordinating and re-timing traffic signals between Rohrerstown Road and Prince Street, adding traffic signals between Rohrerstown Rd. and State Road, extending sidewalk all the way from Prince Street to State Road, adding turning lanes and/or through lanes at most of the busiest intersections, extending and increasing the frequency of bus service along the route, installing Park-and-Ride facilities at Park City Center and Lancaster General Hospital Health Campus, improving signage, and installing sidewalk pedestrian access between Dillerville Road West and Long’s Park.

A full draft report from the steering committee with their recommendations is available here, along with a number of maps.

The study indicates that Harrisburg Pike carries as many as 28,000 vehicles into and out of downtown Lancaster every day. Many areas of the corridor currently see as many as 600 vehicles per hour and that number is expected to at least double by 2030, according to KCI.

Hence the need to address such issues as congestion and pedestrian safety with the recommended measures.

Another recommendation is the implementation of “access management” techniques designed to limit access to the major corridor to improve traffic flow and the promote the safety of both motorists and pedestrians.

One controversial access management technique, which the study group recommends, involves the installation of non-traversable medians. The study group writes:

“Medians can reduce the likelihood of head-on crashes, provide traffic calming benefits, promote pedestrian safety and can aid in prohibiting left-turn movements. The recently installed median between College Avenue and Race Street is a good example of this application. Other areas along Harrisburg Pike where this type of treatment may be warranted would be in select areas from Prince Street to College Avenue where left-turn access is not needed, from Good Drive to Rohrerstown Road where an existing 5-lane section exists but left-turns are not needed at all locations, and in the future from Rohrerstown Road to State Road depending on how land development occurs.“

Literature made available from the Federal Highway Administration cites various reports, concluding, “According an analysis of crash data in seven states, raised medians reduce crashes by over 40 percent in urban areas and over 60 percent in rural areas.”

It is important to note, however, that these recommended changes are neither immediate nor necessarily binding. The study is attempting to contemplate growth needs as many as 30 years out. Moreover, it is the County, the relevant municipalities, and private developers who will be encouraged to undertake these projects. The County Planning Commission’s role is strictly advisory. This plan will serve to set the tone and strongly influence which development plans, for example, the County and City Planning Commissions are likely to give approval to.

The next step in the process comes in September when the steering committee will adopt the final Harrisburg Pike long-range transportation plan. The plan would then be adopted by the County and municipalities in October-November.

As for Wednesday night’s meeting, some 40 persons were in attendance. The crowd was generally receptive, with a few expressing concern about impacts to their property or a desire to see further provisions for cyclists and pedestrians.

Dave Royer, the Director of Transportation Planning for the County Planning Commission, told NewsLanc that the study cost $150,000, 80% of which came from federal funding, 10% came from the County, and 10% came from business interests along Harrisburg Pike.

The NewsLanc reporter noted that insiders Franklin & Marshall College, Lancaster General Hospital, and the High Real Estate Group are represented on the 29-member steering committee while other local businesses and developers seemingly were not extended such an invitation.

Of course, each of those entities has or is developing property along the corridor, but that raises an interesting chicken-and-egg question. Is High given a seat at the table because of its status as a real estate developer? Or do opportunities to develop real estate fall into High’s lap due to its insider’s seat at the table? Clearly, being a member of the inner elite opens many doors.

Kudos in preparing “Report #1: Factors for LGH’s exceptional profits”.

A very detailed financial picture was masterfully summarized. Particulary helpul was the italicized last line of each point (i.e. “The higher the proportion of Charges collected, the greater the profitability.”)

Overall, well done and I am looking forward to Reports #2, 3, 4.

NewsLanc borrowed the services of Douglas McVay, Director of Research with an affiliated non-profit organization, to determine what circumstances have enabled Lancaster General Hospital (LGH) to earn the second highest profits in the State, amounting to $136 million in fiscal year 2007. Findings are not meant to detract from the efficiency and competence of LGH and the high quality service they provide.

McVay has examined and correlated information provided from Federal and State sources, LGH itself, and other publications deemed reliable. The research indicates special circumstances that are unique to our region plus LGH’s strong market position contribute substantially to LGH’s remarkable profitability.

Though LGH’s representative was cooperative at the outset, he became less forthcoming and then ceased to respond to inquiries as McVay’s inquiries became more knowledgeable and pertinent.

Therefore, the following factors for profitability are not a definitive list, but only those supported by current data on hand.

1) Proportion of LGH’s revenues from Medicare is 30%. For the region of which LGH is a part, 34%. For the state, 37%. Medicare pays a set fee which is considerably lower than private insurers and may not always cover the full costs of services. By law, Medicare rates are the lowest which hospitals are allowed to charge. The fewer Medicare patients, the greater profitability.

2) Proportion of LGH’s revenue from Medicaid is: 5%. For the region, 7%. For the State, 11%. Reports suggest that reimbursement for Medicaid is similar to Medicare. The fewer Medicaid patients, the greater profitability.

3) Uncompensated Care (bad debt + charity) for LGH is 1.5% of Net Patient Revenue. For the Region, 2.8%. For the State, 2.3%. The less bad debt, the greater profitability.

4) LGH’s Charitable Care in 2007 amounted to 0.5% of Net Patient Revenue. The State was 0.9% (Regional data was unavailable.) Note that LGH only provides about half as much charitable care as do hospitals throughout the state. The less Charitable Care, the greater profitability.

5) Percentage of “Charges” collected for LGH is: 50%; for the Region, 46%; for the State, 27%. Although available information is limited in this area, a comparison of LGH charges for ten medical procedures with a sample of hospitals from across the state indicated that LGH charges were about average. (Note: The “Charge” is a virtually mythical figure from which there are various discounts depending upon who is the payer.) The higher the proportion of Charges collected, the greater the profitability.

6) LGH’s program provides Amish and other cash payers with a standard 25% discount. According to the Wall Street Journal, Heart of Lancaster “agreed to discounts of up to 40% off its top rates” for the Amish. Lancaster County’s population is approximately 5% Amish. The less the discount to the Amish and cash paying patients, the greater the profitability.

This is the first of a series of articles that will delve into issues of profitability, fairness, and how earnings are utilized by Lancaster General Hospital. Greater transparency will influence LGH, a Public Corporation, to use its remarkable profitability in the best interests of the community.

Mike Myers, the Operations Manager for KCI – the construction firm managing the renovations to the County’s 150 N. Queen St. administrative building – gave the County Commissioners a brief update on the project’s progress, Wednesday morning.

The project is roughly 65% complete, Myers reported. The targeted completion date for the renovations is still July 2009.

Recent progress includes demolition of the fourth floor, which will be reconstructed entirely. After which, the third floor will also be demolished and reconstructed.

Myers assured that a project manager and quality manager are both on-site full time.

The Commissioners also approved $127,000 in change orders related to the project. $70,952 of that value is for fireproofing in the second floor tower area.

The total cost of the renovations to the building is roughly $48 million.

A July 30 editorial “The debate ends” reflects on the turning over or the 23-mile Enola Low -Grade rail line to seven municipalities. It concludes “As the municipalities move to the next stage in the process …it would serve their interests to keep an open mind about a rail-trial. It would be a lasting way to preserve the heritage of what once was one of the most significant engineering projects in eastern railroad history.”

WATCHDOG: We echo the sentiment. Even more important would be the trail’s recreational enhancement for people living throughout the county.

Lancaster City’s “Dinner and a Movie” series continues this week with the film” Singin‘ In the Rain.” It’s showing Thursday, July 31 at 9:00 p.m. in Binns Park. Admission is free.

Friday, August 1st is First Friday in downtown Lancaster. Over 60 galleries, museums, shops, and restaurants extend their hours. First Friday runs from 5:00 p.m. to 9:00 p.m. For more information, visit http://www.lancasterarts.com.

The Lancaster Barnstormers play evening games against the Somerset Patriots on Friday, and the York Revolution on Friday, Saturday, and Sunday. All games start at 7:05 p.m., except for Sunday’s game, which starts at 6:05 p.m. Saturday night’s game features a baseball cap giveaway. For more information, including tickets, visit www.lancasterbarnstormers.com.

On Friday (Aug 1) at the Giant Center in Hershey, the bands Live, Collective Soul, and Blues Traveler will be performing. The concert begins at 6:30 p.m. Tickets, depending on seating, are $45, $39.50, or $29.50. Visit http://www.hersheypa.com/events/giant_center/ for further information.

On Saturday, August 2, at 10:15 p.m., there will be a fireworks display at Hershey Park.

On Sunday, August 2nd, the 28th Annual Old Fiddlers Picnic comes to Lancaster County Central Park. It’s “[a] live bluegrass music festival where bands are welcome to take the stage.” Concessions will also be available. It runs from 10:00 a.m. to 4:00 p.m. and admission is $5 per vehicle. For more information, contact Ron McVey at 687-0265.

Also on Sunday, August 2, at 7:30 p.m., the Long’s Park Summer Music Series continues with the Lovell Sisters – described on the website as, “[t]he innovative country, folk and contemporary acoustics trio that captured Garrison Keillor’s heart.” Admission is free.

With the renovations to 150 N. Queen Street, the Amtrak Station makeover, the need to construct a new county morgue and, quite possibly, a new county prison, the new County Commissioners are really starting to feel the squeeze.

Having ridden into office on a wave of anti-incumbent sentiment and promises of fiscal responsibility, they are now searching for ways to cut costs.

It is in this spirit that Commissioner Scott Martin, a Republican, has proposed a resolution urging Congress to support a federal bill that would “clarify the status of people in custody pending disposition of charges so that otherwise eligible inmates may continue to receive Medicare, Medicaid, Social Security, and SCHIP benefits until such time that they are duly tried and convicted.”

The bill would extend such federal benefits to previously-eligible inmates whose cases are awaiting disposition.

Martin estimated that the County would save as much as $1 million per year by no longer having to provide health benefits to these individuals.

The federal bill Martin wants the County to support is H.R. 5698 – the “Restoring the Partnership for County Health Care Costs Act.” It was introduced by Rep. Alcee L. Hastings (D-Fla.), Rep. Rush Holt (D-N.J.) and Rep. Michael Burgess (R-Texas).

You can read more about the pending legislation on the National Association of Counties’ website at http://www.countynews.org/CountyNewsTemplate.cfm?template=/ContentManagement/ContentDisplay.cfm&ContentID=27176.

The Commissioners are expected to vote on Martin’s resolution on Wednesday, July 30.

At their weekly meeting, Wednesday, the Commissioners are also expected to receive an update on the progress of the renovations to 150 N. Queen St. from the construction manager.

I think the story is quite fascinating… If the project were to succeed, its story would be like the little engine that could.

If it is moderate, the story would be a tale of how government is moving into socialism.

However, there is nothing in the foreseeable future that would indicate the possibility of success as a convention center (or a hotel, for that matter.)

Your point about the interior walls of the hotel being removable was excellent.

As reported in the July 29 Intelligencer Journal, comments by Pedro Rivera who assumed the position of Superintendent of the School District of Lancaster earlier this month evince both naivety and a misguided attempt to build good will.

For example Rivera states: “The school district also is blessed with an experienced, well-trained staff of administrators, teachers and support workers, Rivera said… The problem is not with teaching; the problem is with leadership”

A more experienced leader would have stated “The system has many extraordinary teachers” thus leaving latitude for making a number of changes if necessary and not dissipating his or her influence. How much can Rivera know about the competence of personnel in just four weeks on the job? Instead of squandering his authority, Rivera should be studying what top staff members should be retained and who should go.

Not once in the long interview is the deplorable state of the sports program at McCaskey mentioned. And yet a good physical education and competitive sports program can provide much of the solution to drop out rates, obesity, gangs, cultural friction, student and faculty morale, and respect for authority…and even scholastic performance! As NewsLanc has reported, the win / loss records of most of McCaskey teams are a disgrace, which is a direct reflection on the leadership of Assistant Superintendent Drue Miles and Athletic Director Allen Mccloud and the failure of coaches to conduct effective team practices and teach strategy. Teams don’t learn to win by simply scrimmaging!

In defense of Rivera, this mistake of trying to be a nice guy is almost always made by individuals moving from staff to CEO positions. They naively want to be perceived as a well meaning peer. And it takes months and perhaps a year before they are able to understand that they have the responsibility for sorting out the bad from the good, and making difficult but essential decisions that inevitably bring about pain and criticism.

Whether a president, a governor, a mayor or a school district head, the first few months are a “honeymoon” in which that person can push through the type of initiatives and changes that will later be blocked by politics. The school district cannot afford to wait months and perhaps a year for Rivera to grow into the job.

Rivera is only 35 years of age. Perhaps he should show up at a team practice and lead students around the track a couple of times. That would build morale and demonstrate his commitment to revitalizing the sports program. Is he up to it?