In addition, competition for workers and patients could increase costs for all hospitals in the area, an increase that would be passed on to privately insured patients. In some of its more specific points, Columbia said the state recommends that a new hospital be at least 10 miles from an existing one, unless that hospital is operating at capacity. St. Francis would be about six miles from Johnston-Willis, which is operating nowhere near full capacity, Tavenner said. Tavenner also noted that as a nonprofit organization, Bon Secours would pay less in taxes than do the Columbia facilities. Columbia is not trying to squelch competition, Tavenner said, pointing out that about 40 percent of Chesterfield residents in the primary service areas of the two Columbia hospitals use other hospitals.
Competition is alive and well in Chesterfield County.
Bon Secours sharply disputed many of Columbia's contentions. It is our experience that competition tends to lower cost to the health-care consumer in an area. Historically, in areas where there is no competition, hospital charges are much higher. Current hospital charges south of the river do reflect what one would normally see in a noncompetitive environment. Simpson said he anticipates costs to consumers at the new hospital would be similar to those at other Bon Secours facilities, such St. Mary's Hospital in the West End and Memorial Regional Medical Center in Hanover County.