The yet-to-be answered questions Speaker Terlaje has about the governor’s chosen site for a new hospital complex


Speaker Therese Terlaje

Therese Terlaje, the legislative speaker and chairwoman of the committee with oversight of hospital issues, issued a statement in mid-November providing a series of questions she wants Adelup to answer about the governor’s preferred site for a new (billion dollar) medical complex in Mangilao.

Before the Guam Legislature are two bills, one of which essentially will determine whether to build the new hospital where the governor wants to build it (Bill No. 184-37, or to build it in Tamuning (Bill No. 185-37), likely at the site of the old hospital at Ypao Point.

Kandit earlier this week published the governor’s stated reasons for wanting to build the new hospital along with several other health-related facilities (including a veterans clinic) at the Mangilao site, which is under the control of the Guam Ancestral Lands Commission, a government executive branch line agency.

Ms. Terlaje has questioned every single one of the governor’s stated reasons, herself reasoning that either not enough information has been provided to back up the governor’s assertions, or that some of the assertions are false.

Here is Ms. Terlaje’s full statement:

Bill 184-37 which was sent to the Legislature by the Governor and aims to grant the Guam Ancestral Lands Commission (GALC) the authority to engage in negotiations with the Governor, for the sale or lease of Crown Lands known as “Eda Agaga” near Eagles Field and the Next Generation Weather Radar(NEXRAD) facility (currently slated to be a missile defense and military housing site), located off Route 15 in Mangilao extending back to the former Navy Golf Course in Barrigada.

In 2019, the Legislature passed a law authorizing the financing and construction of a hospital on government of Guam land.  The Governor’s team decided no government of Guam land was acceptable and pursued federal land (Eagle’s Field) and when the AG did not approve the lease, the administration changed course.  They are now pursuing lands from the GALC Land Bank that were reserved to compensate those landowners whose property was returned by the United States but would not be returned to landowners because it was kept for government of Guam uses, including the Tiyan airport lands and the Barrigada lands used for National Guard facilities.  Bill 184 would authorize the price of 61-102 acres from the Land Bank be negotiated between the Governor and GALC, whose director has been proclaiming this the ideal site for a hospital, despite admitting in his testimony that no studies were produced by Matrix or provided to the Legislature for this property.

On passage of B184, the legislature would abdicate its authority to review or limit the terms of the sale or lease on behalf of the people of Guam and eliminate any further review of commitments binding the people of Guam on receipt of potential federal funding. The specific sale terms, including the price and funding mechanism, remain unknown although a contractor has been hired to appraise the property.  The GALC Director revealed that the property’s appraisal was funded by the Governor, who will negotiate the sale price with GALC should the bill pass.

The GALC Director acknowledged that his preliminary estimate of $6 million in possible revenue for the sale of the land based on $25 per square meter/Agricultural Zone was more than the $20 per square meter estimated by GALC’s land manager — GEDA — but would not adequately compensate the thousands of beneficiaries of the Land Bank (3000 lots have not been returned and thus the multiple owners of the 3000 lots are Land Bank beneficiaries). The Committee Chair emphasized the statutory requirement for the Guam Ancestral Lands Commission to obtain an appraisal of the property’s highest and best use, regardless of its current agricultural zone designation.

Testimony on Bill 184 has revealed very little new information from the information already discussed at the Ypao Point oversight hearing, including:

Infrastructure Costs

$100M infrastructure costs estimated for nearby Eagles Field property, compared to the $20M in infrastructure costs estimated by Matrix for Ypao Point. The Governor informed the Speaker that the infrastructure costs would be paid out of the remaining $160M ARP funds.

Acreage

DLM previously testified that 25 acres of non-reserved land at Ypao Point is available. This can fit the square footage requirements for the hospital, the proposed VA wing, the administration, buildings as depicted on the Matrix design, especially if consolidated and built vertical. The current GMH hospital is on less than 17 acres of land, and GRMC is built on 7 acres.

It is undisputed that the current GMH facility, when vacated, could be made usable for the DPHSS offices or GBHWC expansion or any other hospital related or administrative facilities. The Director of DPHSS testified that his plans are to consolidate all office space for all DPHSS programs in the same building.  This would include the Division of Senior Citizens, Division of Children’s Wellness (CPS and daycare programs), and federal benefits (Medicaid, WIC, etc) but that DPHSS would not be establishing a new clinic to replace the central medical and dental clinic closed when the Mangilao building was shut down abruptly in 2019.

Drive Time

Matrix data shows the drive time to Ypao Point was within a 20-minute range for more of the population than to Eagles Field, although Matrix data shows the drive time from Talofo’fo’, Yoña, Mangilao and Barrigada will be shorter to Eagles Field than to Ypao Point. However, Matrix data also shows the drive times from Malesso’, Humåtak, Hågat, and Inalåhan would be over 30 minutes to either location. Google maps puts the drive time to Ypao point shorter than to Eagles Field for residents of Malesso’, Hågat, and Humåtak.  Testimony at the hearing from Inalåhan and Malesso’ Mayors and some Inalåhan residents suggested that drive time was shorter to the proposed Mangilao site than to the current GMH due to traffic.

Urgent Need for New Hospital

Much of the testimony centered on the urgent need for a new hospital, which all senators agree to and is already authorized in law.  Some who testified are hoping that a new hospital will alleviate the current hardships of going off island due to medical insurance, lack of specialists, and limited VA facilities and coverage. Testimony highlighted the gross failures of the US VA to cover veteran care and pharmaceutical needs locally, and failure of the government of Guam to ensure working ambulances for the south and to ensure the community health center in Inalåhan is fully functioning with a lab and pharmacy.

Is Funding of New Hospital Contingent on Location?

The Speaker requested from the Governor and the head of the Hospital Task Force, prior to the hearing on Bill 184, documents evidencing any new federal commitments to hospital funding or construction, the funding or construction of a long overdue veterans’ facility, or a federal commitment to fund increased capacity for military medical needs.  No documents were produced by agencies to confirm details or commitments from the “high-level discussions” nor indicating that the federal funds were contingent on one location over another. GEDA confirmed that they were not engaged in discussions with federal officials and stated that “GEDA is not and has not been involved with any lobbying, commitments, obligations, nor agreements regarding funding support from the relevant federal agencies”.  It thus remains unclear if there is any real agreement to legitimize the promises made by the Governor to veterans and whether she is proposing to build a government of Guam facility or a United States Department of Veterans Affairs facility. The GMH CEO told the Speaker, and Matrix drawings confirm, that the veterans’ facility was intended to be a wing of the Guam hospital. However, the Governor said that she is proposing that the VA build its own facility and co-locate it near our Guam hospital on government of Guam property instead of on federal controlled property. There were no formal details of funding or a VA agreement to use government of Guam land or to expand the Community-Based Outpatient Clinic (CBOC) or veteran hospital coverage to a government of Guam facility. Roy Gamboa, Deputy Director of Agriculture, testified that his nonprofit organization may find funds for veteran care.

Potential Delays to Construction

Matrix estimates that the Eagles Field area would require the construction of a 6-lane highway and traffic signals that would take 2-3 years.  Corresponding utility infrastructure totaling over $100M would take one year for design and 2 years of construction for a GPA power substation. GWA recommended a new water storage tank for sufficient pressure, a water pump and well, and upgrades to wastewater for Eagle’s Field.   The Committee is awaiting confirmation from DPW, GWA, and GPA that the emergency access roads and redundant infrastructure to the current hospital site already exist and Ypao could be upgraded in less time.

The Governor in earlier media coverage stated and GALC Director Burch repeated that the 61 acres of lots described in Bill 184 were not the “Adacao” lots studied by Matrix. This assertion was disputed by the DLM Director who said he believes the 102 acres is the same property described as “Adacao” in the Matrix study based on GALC lot inventory sizes.  In the absence of a study of this particular property by Matrix, the Committee is awaiting further information from the Department of Land Management on its studies related to these properties and their viability and suitability as a hospital site. GALC has allowed a 1-year no-cost license to GEDA to perform studies of the property and preliminary work, which may include archaeological, environmental, unexploded ordinance or other factors that might further delay the construction of a hospital on this site. GEDA has said if bill is signed, they will enter into an MOA with GPA and GWA for infrastructure development.

At the hearing on Ypao Point the Army Corps of Engineers confirmed that they removed all eligible debris from the Ypao site without any incidence or siting of fire ants, and the Department of Agriculture confirmed that the presence of fire ants had not prevented development of any property on Guam.


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