Sarangani Governor Miguel Rene Dominguez is standing up to the challenge of Rep. Manny Pacquiao and it may cost him and the province between P200 to P300 million.
The date is set for August 1, a Monday.
No. They are not squaring off atop ring.
The two will be working hand in hand to build what could become the most modern health care facility in the region and the first ever locally-initiated social services investment to fall under the PPP (private public partnership) thrust of the Aquino government.
Dominguez said his government is now in the thick of negotiating financing for the construction of a modern medical facility in the province that will include, but not limited to, securing a loan and getting budgetary outlay from the national government.
This will also include inviting interested groups from the private sector to run and manage the operations of the hospital.
Since the province was created in 1992, residents have been making do with the poorly-equipped and poorly-manned secondary district hospitals in Kiamba in Glan and, for more serious cases, at different hospitals in General Santos City.
Immediately after he was elected as member of the House of Representatives, Rep. Pacquiao was able to secure a commitment from President Benigno ?Noynoy? Aquino funds for the construction of a provincial hospital.
Dominguez wants that commitment translated into budgetary outlay.
Nevertheless, both he and Pacquiao are proceeding with the project.
?We need between P300 to 400 million for a 200-bed capacity but we can start with 100 beds,? Dominguez said in a sit down interview.
He said it will be a turnkey project with the provincial government handing over the hospital to whoever wins the bid to manage it.
?This is a one-shot investment deal for the province. Once it?s done, it will be the private sector that will run and manage its operations,? he explained.
He admits the province cannot afford to appropriate P200 million annually for the personnel services and maintenance and other operating expenses of a province-run hospital without support from the national government and nearby local government units.
?So we turn to the private sector for support,? added the young governor who said they might as well build a modern hospital that is at par with the county?s best rather than a provincial hospital where 80 per cent of its the budget just goes to the salaries of medical staff and orderlies.
He added that a local government-run health care facility cannot afford to hire the best medical practitioners because of budgetary and statutory limitations.
But how about cost recovery of the province for such a significant investment?
Dominguez says the province will get its share in the revenues of the privately-run hospital and rebates from Philhealth.
From the fiscal point of view, he said it is like spending your capital outlay for health services for next 20 years today.
?Like amortizing it and spreading the cost for 20 years although you spend lump sum today,? he equipped.
It also would mean spending additional P10 to P15 million every year instead of appropriating P200 million annually which is almost one third of the province?s annual IRA (internal revenue allotment) of P650 million.
Trailblazer
Dominguez prides his administration for being the first local government unit to outsource the health care needs of its residents.
?It works and it saves us a lot of money,? the governor said.
Early in his administration, Dominguez signed memorandum agreements with the city-run General Santos City Hospital and three private tertiary hospitals in General Santos that allow residents from the province to avail of the services of these medical care providers.
Under the agreements, the provincial government underwrites 70 per cent of the hospital bill in excess of Philhealth coverage, when one is covered, while the rest are being footed by the municipal government units.
So far, the provincial government is spending an annual average of about P15 to 20 million in hospital bills.
It also pays that the local government has enrolled thousands of resident in the province with Philhealth.
When he first ran, Dominguez also promised to build a hospital but came to realize that the fiscal health of his province, with an annual budget then of slightly over P400 million but more than 90 per cent of it coming from its share of the IRA, cannot afford one.
?I was looking at 2015 but because we have a congressman (Pacquiao) who is showing initiative, I am responding to the challenge,? he said.
When he first won as governor, the then 27-year newly-elected governor invested heavily on education sending scholars to study in Manila and other cities. Five of them landed in Iloilo where they will soon finish their college of medicine.
He said the hospital will be timely for these scholars.
But with Pacquiao pushing hard to make this long standing dream a reality, the governor said he cannot help but be inspired too.
?(Rep) Manny and I are convincing (PLDT president Manny) Pangilinan to join in this undertaking and talks are now being made,? he revealed.
Dominguez said he already held preliminary talks with a cooperative of medical professionals in Davao City which has been successfully running a tertiary hospital.
?We hope to attract the best doctor there are. We want to give our people quality, efficient and timely health care,? he ended.