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In business health care labor boulder city hospital to undergo major expansion passengers warned of plan to outsource workers By Paul Delos Santos staff writer By Richard N. Velotta senior staff writer Federal agriculture officials put the finishing touches on a deal to finance a $16 million expansion and renovation at the Boulder City Hospital. The nonprofit hospital will get a revamped surgical center, a larger emergency department, a new 10-bed geriatric psychiatric care unit, a new 10-bed acute rehabilitation unit and eight more long-term-care beds. The U.S. Department of Agriculture's Rural Development program will provide a $13.87 million loan to help pay for the project. The agency also will guarantee a $2.44 million loan from a private lender in California. The USDA may seem like an unusual funding source for the project, but the financially strapped hospital was rebuffed for a year by traditional commercial banks and private investment groups, according to CEO Tom Maher. The 63-bed independent hospital has lost an average of more than $800,000 per year since the recession hit, up from an average annual loss of $550,000 between 2000 and 2007, he said. The only hospital in Boulder City has been stung by higher operating costs and decreased patient volume. Its proposed tax-financing district, which would have generated about $750,000 of revenue a year for the hospital, was rejected by city voters in 2008. Maher is adding new lines of business to the hospital, including the geriatric psychiatric unit. New revenue sources were needed to show that the hospital can repay the project loans, said Sarah Adler, Nevada state director for USDA Rural Development. The facility opened in December 1973 and was expanded in the early 1990s. Now 55,000 square feet, the hospital will grow by more than 19,000 square feet with the planned project. The USDA regularly finances nonagricultural projects in rural communities, Adler said. Union representatives say Southwest Airlines customers would receive second-class service if the company — the busiest air carrier at McCarran International Airport — hires outsourced labor to supplement its workforce. Members of the Transport Workers Union Local 555 distributed leaflets on Southwest's proposal to outsource work near McCarran's Terminal 1 baggage claim area and asked customers to complain to the company. "Quite simply, they (customers) aren't going to receive the legendary service Southwest normally provides," said TWU Local President Charles Cerf. Southwest later issued a statement on the campaign. "Informational picketing is often part of the negotiating process," the statement said. "We have always supported, and will continue to support, our employees' right to express themselves. Las Vegas was one of 16 cities at which union members distributed leaflets to arriving Southwest passengers. Cerf said there are about 9,500 Southwest union members nationwide with about 650 union ramp agents, operations agents and baggage handlers in Las Vegas. Cerf said outsourced employees tend to be "low-paid, fly-by-night" workers who don't perform as well or are as punctual as career employees. Adam Ah Quin, a Southwest operations agent in Las Vegas who is on the union negotiating committee, said 14 union representatives distributed about 400 fliers in about four hours. Southwest wants the flexibility to hire temporary workers for up to 20 percent of its positions as a cost-cutting measure. Company officials have said other airlines have used a similar strategy and they made the proposal in the new contract to stay competitive. REINVENTING RADIO: AN EVENING WITH IRA GLASS A riveting look into This American Life, the public radio show that continues to push the boundaries of broadcast journalism. Series creator Ira Glass will recreate the sound of the show right in front of the audience by mixing live onstage stories with pre-taped quotes and music, while also featuring a 'best of' segment from the series' funniest moments. Saturday, April 27 at 7:30pm TICKETS STARTING AT $26 For tickets, please visit TheSmithCenter.com or call 702.749.2000 TTY: 800.326.6868 or dial 711 | For group inquiries call 702.749.2348 361 Symphony Park Avenue | Las Vegas, NV 89106 | 15 APRIL 2013 20130415_VI13_F.indd 13 | 13 4/11/13 2:56:40 PM