Riley Hospital expansion back on track

Despite an 11-month delay in construction, the Simon Family Tower at Riley Hospital for Children is still on track to be finished by 2013. The Simon Family and Riley Hospital for Children are synonymous with IU Dance Marathon, with millions of dollars donated from IU students to Riley Children’s Foundation.

Despite the millions of dollars in donations raised for Riley, not every dollar raised goes toward completing a project like the Simon Family Tower.

None of the funds raised for Riley by IU Dance Marathon have gone to the expansion.

Clarian Health, a group consisting of IU Hospital, Methodist Hospital and Riley Hospital for Children, announced it would be resuming work on the $435 million Simon Family Tower that had been delayed since February 2009.

Though hospitals are generally the last to be hurt by a tough economy, Margie Smith-Simmons, public relations manager for Clarian, said the current recession forced the group to put construction projects on hold.

The Indianapolis-based group also delayed work on a $180 million 42-bed medical center in Fishers, Ind., but resumed that project in the fall.

Under construction since the summer of 2006, the 10-story Riley expansion will include 300 beds, a 48-bed Pediatric ICU, an expanded burn unit and an expanded emergency room.

The tower’s pharmacy, MRI unit and three in-patient units that were supposed to open last summer are now scheduled to open next winter because of the delay.

Clarian Health President and CEO Dan Evans credited cost-saving measures implemented by the health group as the reason for the resumed construction.

“It is essential that we safeguard the progress we have made while continuing to rebuild our financial reserves that were depleted by the economic downturn,” Evans said in a statement on Clarian’s Web site.

Clarian Health was not the only Indianapolis hospital system forced to delay construction plans due to the poor economic climate.

St. Francis Hospital and Health Centers had to delay construction on a $265 million expansion from March to September of last year.

Riley Hospital, however, received donations to help offset financial difficulties caused by the struggling economy.

In November 2007, mall tycoon Melvin Simon announced a $40 million gift to the children’s hospital to be put toward the project.

Despite his death last fall and a subsequent battle regarding details of his will and control of his estate, the Indianapolis Business Journal reported that the donation is still being paid to the hospital out of Simon’s estate.

“As of right now all our money goes to the Ryan White Infectious Disease Center,” said Daniel Hinds, vice president internal for IUDM.

Jason Mueller, communications manager for Riley Children’s Foundation, said that funds raised don’t go to a specific department but, instead, go to a general fund that could go to projects like the tower.

“It’s really up to hospital leadership as to which department is top priority at the time,” he said.