RSG Solutions

Desert Healthcare District

Shortly after the Governor signed Assembly Bill 2414 requiring the Desert Healthcare District to submit an application and plan for services to expand its service area to add nearly 1,800 square miles of populated territory in east Coachella Valley (Riverside County), RSG was retained as part of a consultant team to prepare a fiscal analysis of the implications of the proposal.  Under AB 2414, a plan for services and fiscal analysis was required to be submitted to Riverside LAFCO in January 2017, less than 6 weeks from the date our firm was retained to perform these services.  RSG evaluated the existing revenue and expenditure model, which is comprised of a contract with a private provider for operation of the regional medical center and other grants and programs administered directly by the District, estimated the potential cost of such services based on an assumed comparable level of services needed in the proposed annexation area, and identified and evaluated the financial and political feasibility of various operating revenue generating options.