The Pima County Board of Supervisors signed off on the transition of day-to-day operations of the University of Arizona Health Network to the nonprofit Banner Health on Tuesday.

Phoenix-based Banner Health is in the process of acquiring UA Health Network, including the UA Medical Center-University Campus at 1501 N. Campbell Ave. and the UA Medical Center-South Campus at 2800 E. Ajo Way.

“This is simply assigning our leases and contracts or agreements (with UA Health Services) to Banner,” Pima County Administrator Chuck Huckelberry told supervisors on Tuesday.

Huckelberry said the services provided would not change, just the name of the provider once Banner’s acquisition is completed.

District 1 Supervisor Ally Miller cast the only vote against the transfer, citing concerns about how the money the county contributes to graduate medical education services at UA Medical Center-South is spent.

“The subsidy of $15 million per year is part of this contract,” Miller noted. “This is a real concern to me.

“The UA is holding its hand out and taking $15 million from us, yet they are investing in Phoenix because we now have a U of A medical school in Phoenix.”

Miller said the benefit of the investment was not going to Pima County.

Huckelberry disagreed, saying the $15 million the county invests in graduate medical education at UA through support of UA Medical Center-South —formerly the county-run Kino Hospital — not only benefits Pima County, but results in creating a benefit-multiplying factor.

He explained that since the state stopped its investment in graduate medical education several years ago, the county took on the obligation.

The money Pima County contributes goes through the Arizona Board of Regents and the Arizona Health Care Cost Containment System, at which point the federal government matches the county contribution 3 to 1. That money is then filtered back through the Regents and distributed.

“Our view is we’re operating a system, not just one hospital,” Huckelberry said in an interview.

The transfer of county contracts to Banner also included the Well Woman HealthCheck Program for radiology and breast cancer-screening and diagnostic services, medication preparation and maintenance services for TB patients, and others.


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Contact Patrick McNamara at pmcnamara@tucson.com or 573-4241.