Business Journal: Rancho Cordova City Leaders Look Into Building New Hospital

Mike Hagerty, CapRadio

Rancho Cordova city leaders are interested in building a new hospital in the city, even as health systems are facing financial losses from the pandemic.

The city has hired an independent consultant to study the feasibility of building this new hospital, according to Sacramento Business Journal Digital Editor Sonya Sorich. Currently, the only hospital in the city is the Sacramento VA Medical Center, so city leaders are looking for a facility available to the general public, not just to veterans. They also believe that a new hospital would also serve neighboring communities.

While a new hospital would improve the travel times for patients in the city, the surrounding communities and regions already have several hospitals and would face stiff competition.

Rancho Cordova’s population has grown about 21% over the past decade and is expecting continued growth with new housing developments underway. However, even with this massive growth, the city would need to add about 190,000 new residents to have comparable patient stays to other hospitals in the area.

The city is looking to partner with either Sutter Health, Kaiser Permanente, or Dignity Health, rather than bring in a new entity that doesn’t already have a local presence. COVID-19 has impacted all three of these health services, and many in the healthcare industry have put construction projects on hold. However, Rancho Cordova’s city manager believes there will be demand in the future.

Next steps include reaching out to these health systems to gauge interest, looking into financing options, and then finding a location before any construction can begin.