Purdue looks to new clinic to cut health costs

Back to TopCommentsE-mailPrintBookmark and Share

Purdue University's trustees approved plans Friday for a new campus medical clinic that administrators expect eventually will cut the school's health care costs for employees and their families.

The clinic is scheduled to open this fall on the West Lafayette campus under a three-year contract paying about $14 million to a private provider, the Journal & Courier of Lafayette reported.

The vote comes two years after administrators first brought up the concept as a way to stem rising health care costs. This year Purdue's medical plan budget is $151 million.

"We do (anticipate savings) but not at the beginning," said Luis Lewin, Purdue's vice president for human resources. "In the second year it may be revenue neutral, but we think in the third year, depending on the usage — which is really going to show the difference — we expect to see some reductions for our medical plan expenses."

The center will be available to all active employees and dependents covered by a Purdue medical plan. Primary and acute care will be offered, with patients not being charged for wellness coaching, chronic condition management and lab work for blood and other tests.

Lewin said the clinic's aim was not to be like an urgent care site.

"We will provide you with all kinds of facilities and medical services, provide you with dietitian and nutritionist," he said, noting the clinic will look at chronic conditions, pre-chronic conditions, preventative care and medical issues before they become chronic.

The university's contribution to health care costs increased by 6 percent to $10,580 per employee for 2012.

The possibility of a campus clinic has been popular among Purdue employees. A survey released in early 2011 found nearly 83 percent of 3,000 employee respondents said they would frequently or sometimes use an on-site health clinic where the co-payments, if any, would be less than the current Purdue medical plan.

Purdue's contract with clinic operator CHS of Reston, Va., is valued at $13.2 million to $14.7 million.

John Hardin, a Purdue Board of Trustees member, said during a Thursday meeting of the board's finance committee that the clinic could cause area health care options to lower prices.

"Something that brings competition to this system is very important," he said.


Post a comment to this story

We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
You are legally responsible for what you post and your anonymity is not guaranteed.
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
Subscribe to IBJ
  1. I am not by any means judging whether this is a good or bad project. It's pretty simple, the developers are not showing a hardship or need for this economic incentive. It is a vacant field, the easiest for development, and the developer already has the money to invest $26 million for construction. If they can afford that, they can afford to pay property taxes just like the rest of the residents do. As well, an average of $15/hour is an absolute joke in terms of economic development. Get in high paying jobs and maybe there's a different story. But that's the problem with this ask, it is speculative and users are just not known.

  2. Shouldn't this be a museum

  3. I don't have a problem with higher taxes, since it is obvious that our city is not adequately funded. And Ballard doesn't want to admit it, but he has increased taxes indirectly by 1) selling assets and spending the money, 2) letting now private entities increase user fees which were previously capped, 3) by spending reserves, and 4) by heavy dependence on TIFs. At the end, these are all indirect tax increases since someone will eventually have to pay for them. It's mathematics. You put property tax caps ("tax cut"), but you don't cut expenditures (justifiably so), so you increase taxes indirectly.

  4. Marijuana is the safest natural drug grown. Addiction is never physical. Marijuana health benefits are far more reaching then synthesized drugs. Abbott, Lilly, and the thousands of others create poisons and label them as medication. There is no current manufactured drug on the market that does not pose immediate and long term threat to the human anatomy. Certainly the potency of marijuana has increased by hybrids and growing techniques. However, Alcohol has been proven to destroy more families, relationships, cause more deaths and injuries in addition to the damage done to the body. Many confrontations such as domestic violence and other crimes can be attributed to alcohol. The criminal activities and injustices that surround marijuana exists because it is illegal in much of the world. If legalized throughout the world you would see a dramatic decrease in such activities and a savings to many countries for legal prosecutions, incarceration etc in regards to marijuana. It indeed can create wealth for the government by collecting taxes, creating jobs, etc.... I personally do not partake. I do hope it is legalized throughout the world.

  5. Build the resevoir. If built this will provide jobs and a reason to visit Anderson. The city needs to do something to differentiate itself from other cities in the area. Kudos to people with vision that are backing this project.