Imperial Valley Healthcare District

Assembly Member Eduardo Garcia introduced Assembly Bill 918 on February 14, 2023. On October 8, 2023, the governor approved the bill, adding chapter 11 (commencing with section 34299.5) to division 23 of the Health and Safety Code, forming the Imperial Valley Healthcare District. 

The initial Board of Directors was appointed from various entities.  The membership includes:

  • One member from and appointed by the Pioneers Memorial Healthcare District Board of Directors:

    • Enola Berker - Trustee

  • One member from and appointed by the Heffernan Memorial Healthcare District Board:

    • Rodolfo Valdez - Trustee

  • One member from the City of El Centro and appointed by the Imperial County Public Health Director:

    • Arturo Proctor - Secretary

  • One member of the public appointed by the Imperial County Board of Supervisors. This member shall be a resident of the unincorporated areas (Seely or Ocotillo) or an Imperial County Board of Supervisor that represents that area:

    • James Garcia - Trustee

  • One tribal member from and appointed by the Quechan Tribe:

    • Donald W. Medart Jr. - Treasurer

  • One member from the City of Imperial and appointed by the City of Imperial:

    • Katherine Burnworth - President

  • One member from the City of Holtville and appointed by the City of Holtville:

    • Laura Goodsell - Vice-President

The Initial Board of Directors shall recommend a permanent funding source mechanism to be presented and approved by the voters via a ballot measure for the March 2024 or November 2024 election. The March 2024 and November 2024 deadline has passed.

On August 8, 2024, the Imperial Valley Healthcare District adopted Resolution No. 2024-05 expressing its intention to recommend the Funding Mechanism for voter consideration by no later than December 31, 2025. On July 5, 2024, the Imperial Valley Healthcare District sent a letter to Senator Padilla and Assemblyman Garcia proposing an amendment to section 32499.6(c)(3) of AB 918. The proposed amendment mandates that the funding source mechanism must be placed on a ballot measure for approval by voters no later than December 31, 2025.

On February 12, 2024, Senator Padilla introduced Senate Bill No. 1070. This bill aims to extend the district's deadline to recommend and present a permanent funding source mechanism to voters. The new deadline would be on or before the November 2026 election. SB 1070 has been signed into law by Governor Newsom.

1. BAE Urban Economics Financial Feasibility Study 

2. Kaufman Hall Study (A copy of the Kaufman Hall Study has not been made available)

According to the Registrar of Voters, August 9, 2024, is the last day for districts to consolidate with General Election for ballot measures. Resolutions from districts calling a measure are due to the Registrar of Voters by August 9, 2024, 5:00 p.m. The August 9, 2024, deadline has passed.

On August 8, 2024, the Imperial Valley Healthcare District adopted Resolution No. 2024-05 expressing its intention to recommend the funding mechanism for voter consideration by no later than December 31, 2025. On July 5, 2024, the Imperial Valley Healthcare District sent a letter to Senator Padilla and Assemblyman Garcia proposing an amendment to section 32499.6(c)(3) of AB 918. The proposed amendment mandates that the funding source mechanism must be placed on a ballot measure for approval by voters no later than December 31, 2025.

On February 12, 2024, Senator Padilla introduced Senate Bill No. 1070. This bill aims to extend the district's deadline to recommend and present a permanent funding source mechanism to voters. The new deadline would be on or before the November 2026 election. SB 1070 has been signed into law by Governor Newsom.

Until both the Heffernan Memorial Healthcare District and the Pioneers Memorial Healthcare District are dissolved, the Heffernan Memorial Healthcare District will temporarily hold a clerical role for the Board of Directors of the Imperial Valley Healthcare District.

The clerical responsibilities of the Heffernan Memorial Healthcare District will be limited to:

  1. Providing administrative employees or the financial means to hire administrative employees.

  2. Providing financial resources to complete clerical tasks for board meetings and public meetings. These tasks include:

    • Creating agendas for public meetings and board meetings

    • Setting meeting locations, dates, and times

    • Upon direction of the board of directors of the Imperial Valley Healthcare District and the Imperial County LAFCo, ensuring the transfer of the existing healthcare districts into the Imperial Valley Healthcare District with minimal interruptions to ongoing healthcare services

    • Providing a venue for the board meetings and public meetings to take place or providing the financial means for a venue

    • Providing the financial means to hire legal counsel.

Heffernan Memorial Healthcare District will have a purely clerical role on the board of directors of the Imperial Valley Healthcare District. The Heffernan Memorial Healthcare District will not have a CEO or CFO role.

The Initial Board of Directors must finalize the terms of acquiring ECRMC by November 5, 2024. They are required to enter negotiations with the El Centro Regional Medical Center to decide the terms of the acquisition of the hospital. After reviewing the financial feasibility studies conducted by the Imperial County LAFCo and Kaufman Hall and confirming the financial viability of integrating the El Centro Regional Medical Center into the district, the initial board of directors shall determine the terms of the acquisition of the hospital. If the initial board of directors chooses to acquire the El Centro Regional Medical Center, the hospital shall be acquired with all of its assets and liabilities. All existing hospital licenses and certifications of the El Centro Regional Medical Center shall be transferred to the Imperial Valley Healthcare District when applicable in order to avoid a disruption in providing healthcare services. The initial board of directors shall initiate the process of applying for any licenses and certifications that cannot be transferred to the Imperial Valley Healthcare District within a year of formation. The initial board of directors shall finalize the terms of acquiring the hospital by November 5, 2024. The City of El Centro shall negotiate in good faith with the district but is not required to sell the hospital to the district or agree to the terms that the initial board of directors finalizes.

The board of directors is required to recommend dissolution dates to LAFCo and is authorized to recommend separate dates for dissolution. LAFCo must dissolve the Heffernan Memorial Healthcare District and the Pioneers Memorial Healthcare District by January 1, 2025.

The Board recommended the dissolution of the Heffernan Memorial Healthcare District on July 25, 2024, which was approved by the LAFCo Commission.

Additionally, the Board recommended the dissolution of the Pioneers Memorial Healthcare District on December 1, 2024, pending the LAFCo Commission's decision. On October 24, 2024, the LAFCo Commission voted 4-1 to dissolve the Pioneers Memorial Healthcare District effective as of October 24, 2024. However, please note that the courts have placed an immediate stay on this action pending the outcome of the lawsuit filed by PMHD. Per the lawsuit, the dissolution will take effect on 1/21/2025.

The bill outlines the following steps to be taken:

1. Formation of the initial board of directors for the Imperial Valley Healthcare District (IVHD).

2. Responsibilities of the initial board of directors for IVHD include:

  • Recommending a permanent funding source mechanism to be presented and approved by voters via a ballot measure in either the March 2024 or November 2024 election. (SB 1070 signed into law by Governor Newsom, extends the district's deadline to recommend and present a permanent funding source mechanism to voters on or before the November 2026 election.)

    • Collaborating with Imperial County LAFCo shall use the financial feasibility studies conducted by the Imperial County LAFCo and Kauffman Hall to determine the funding source mechanism.

  • Negotiating with ECRMC to determine the terms of the hospital acquisition.

    • Finalizing the terms of the acquisition by November 5, 2024.

  • Holding a minimum of 3 public meetings by January 1, 2025.

    • The first meeting must be by March 1, 2024, to inform the public of the cost savings of a countywide healthcare district and the findings of financial feasibility studies.

    • The second meeting is to inform the public of the recommended permanent funding source mechanism.

    • The third meeting is to inform the public about the acquisition of ECRMC.

    • A fourth meeting to be held if IVHD votes to acquire ECRMC, to disclose the terms of the acquisition, and to present a financial plan to finance the acquisition and ongoing operations of the district.

  • Recommending dates for the dissolution of PMHD and HMHD to the Imperial County LAFCo between July 1, 2024, and January 1, 2025. 

  • Adopting a resolution to divide IVHD into 7 voting districts, numbering the districts consecutively, and electing members of the board of directors by voting district beginning with the next district election occurring after January 1, 2024.

    • Collaborating with the Imperial County LAFCo to establish voting districts.

    • Holding a Public Hearing regarding the voting districts.

    • Establishing and implementing the voting districts on or before July 1, 2024.

    • The Resolution shall declare the voting districts and describe the boundaries of each voting district.

  • Making annual reports to the Imperial County LAFCo by December 31, 2024, and December 31, 2025, regarding healthcare service provision within the district boundaries.

  • Collaborating with the Imperial County LAFCo to determine the years that the voting districts and associated board positions will be up for election by July 1, 2024.

  • Applying for any licenses and certifications that cannot be transferred to IVHD within a year of formation.

3. The City of El Centro is required to negotiate in good faith with IVHD.

4. Responsibilities of the Imperial County LAFCo include:

  • Dissolving PMHD and HMHD between July 1, 2024, and January 1, 2025.

  • Conducting a municipal service review regarding healthcare service provision within the district boundaries by December 31, 2026, and by December 31 every 5 years thereafter.

5. The Heffernan Memorial Healthcare District is required to hold a clerical role for IVHD until the dissolution of HMHD and PMHD.

6. The board of directors for IVHD shall consist of all elected members by the conclusion of the 2028 general election.

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