Sequoia Healthcare District getting a $19M settlement

The agreement requires half of the funds to go directly to the district to develop and implement  “innovative and impactful programs” and provide resources to nonprofits, according to the press release. The other half is to be spent in conjunction with Dignity Health on other projects in the district.

“Reaching this mutually-beneficial agreement with Dignity Health will greatly benefit the communities we serve,” Pamela Kurtzman, Sequoia Healthcare District’s CEO, said in a statement. “Every dollar of this settlement will be dedicated to further supporting the health and well-being of the district’s more than 230,000 residents.”

The Sequoia Healthcare District, formed in 1946, serves Redwood City, Belmont, San Carlos, Menlo Park, Portola Valley, Woodside and Atherton. The district funded the construction of the Sequoia Hospital, which was completed in 1950. After consecutive operating losses in the 1990s, a decision was made to merge the hospital with Dignity Health, called Catholic Healthcare West at the time.

In 2007, a plan to rebuild the hospital to meet seismic regulations was approved. Funding for the renovations came in part from Dignity Health, who in turn took full ownership of the hospital. The Sequoia Healthcare District also helped fund the effort in return for sharing profits with Dignity Health for 40 years.

“Sequoia Healthcare District has been an essential partner throughout the hospital’s 70-year history, and we look forward to working with it for decades to come as we continue to address the unmet health needs of our community,” Bill Graham, Sequoia Hospital president, said in a statement. “Despite changes throughout the years — including changes in ownership — both Sequoia Hospital and the Sequoia Healthcare District have never wavered in their firm commitment to provide health and wellness.”