||| FROM ORCAS ISLAND HEALTH CARE DISTRICT |||
As healthcare organizations across the country struggle with unprecedented uncertainty in operations and finances, the Orcas Island Health Care District (OIHCD) Board is happy to report an important step in long-term stability for our island community. Island Health and OIHCD have executed a 10-year contract renewal to keep Island Health as the clinic operator at Island Primary Care – Orcas. This contract builds off a strong relationship that has been established over the last five-year contract, which began in 2021. The contract extends for 10 years, with two additional five-year renewal period options, which could support primary care services until as far as 2045.
As the renewal of the Island Health contract was a key consideration for the passing of the Hospital District levy approved in April of 2025 by Orcas voters, OIHCD hopes to continue transparency around the contract financial details. The fully executed contract and corresponding lease can be found on the Health Care District website (orcashealth.org), but include an increase in the clinic operations subsidy from $1.02 million/year, to $1.3 million/year. This rate will increase at COLA or 5%, whichever is greater. The current $1.02 million contract rate had not been increased since 2021, and there has been exponential inflation since that contract rate was agreed upon.
In addition, OIHCD will also support Island Health in areas where historically there has been significant financial risk for operating the clinic. These financial support areas include 1) a short term housing subsidy for some licensed clinic staff that need assistance moving to the island; 2) coverage of locums tenens (temporary contract) doctors, physician assistants or nurse practitioners in the case of recruitment challenges for those positions; and 3) assistance for an increase in income based medical bill reductions or uncompensated care due to Medicaid insurance enrollment or Health Insurance Marketplace enrollment reduction due to federal health policy changes.
Many of the other details of the contract continue to remain the same, in principle, which continues the success of the current clinic operations. This contract ensures that the clinic is able to continue stable operations, grow with our community’s need, and venture into additional areas of collective support for Orcas Islander’s health needs.
As always, OIHCD invites community members to communicate with us in your preferred manner, meet with the Superintendent, or attend our monthly public board meetings, the next of which is scheduled for December 17th at 5:00 PM. Additionally, we are committed to keeping the community informed on our planned uses of the additional levy funds, with a larger public communication in the coming weeks. Thank you for your continued support of health care access on our island.
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This is the dividend from the recent, successful Island Primary Care levee–a 10-year contract renewal with Island Health, and the promise of local stability in the uncertain waters of health care financing. Thank you, Orcas Island Health Care District.