Health & Medicine

Health care giants are racing to Roseville. Here’s what it means for patients – and the region’s economy

Roseville leaders are eagerly anticipating the addition of about 1,200 jobs, added growth and economic opportunity stemming from three expansions at Kaiser Permanente, Adventist Health and Sutter Health over the next several years.

"Health care is really strong in our community, and it's good to see it growing," said Laura Matteoli, the city's acting economic development director. She noted that 14 percent of Roseville's 83,221 jobs in 2017 came from health care.

"We are expecting a significant, 11-percent job growth over the next five years, and these expansions play into that," Matteoli said.

Roseville is a convenient location for hospitals to base their care for the south Placer County area, which is seeing increased demand, she said.

In the third quarter of 2017, more than 25,000 residents of Placer County worked in the fields of health care and social assistance, up 37 percent from 2012, according to California's Employment Development Department.

And, in April, four health care companies – Sutter, Dignity Health, Kaiser and Centene – dominated employment advertisements in the four-county Sacramento region. The companies ranked among seven employers with the most job ads, and the most-sought-after job was registered nurse.

“We are a health care hub, if you will," Matteoli said. "So it’s not just Roseville … these facilities are serving the larger South Placer region."

The first building scheduled to open, in January 2019 at the intersection of North Sunrise Avenue and Stone Point Drive, is Adventist Health's corporate headquarters, which will consolidate the health care company's six Roseville buildings into one 275,000-square-foot building, expected to cost $100 million.

The Christian health care organization, which operates 19 hospitals and more than 280 clinics on the West Coast, has been based in Roseville since 1985, and is the sixth-largest employer in the city. Adventist owns the building that houses its current headquarters, at 2100 Douglas Blvd., but also leases five buildings around town.

Adventist's consolidation is "primarily space- and growth-related," vice president of talent strategy Doris Tetz Carpenter said.

“Our Roseville hub is very strategically focused to serve all our communities and clinics and hospitals," she said. "For us, the change is less about direct patient access in Roseville and more about supporting … the rest of our organizations."

Now, services like human resources, information technology and strategy will be in the same place. Adventist, which lists 24 available jobs in Roseville on its website, is also building a clinic for its Roseville employees, Tetz Carpenter said.

Matteoli said the city is pleased Adventist chose to build its corporate headquarters there.

It's "really great that they decided to consolidate and keep everything here," she said. "They’re a really neat addition to the city of Roseville." Matteoli expects the new building to add about 800 jobs to the city.

Kaiser, which has 44 job openings online for Roseville, is replacing its Riverside Medical Offices at 1001 Riverside Ave. with one large building. Spokesman Edwin Garcia said the new facility is expected to nearly double the number of provider offices now on that campus, as the 90,000-square-foot campus becomes 210,000 square feet dedicated to a number of outpatient services.

Besides the additional provider space, the newly configured campus will have more parking, a larger pharmacy, an expanded laboratory and an on-site MRI machine, Garcia said. Employees at the current one- and two-story buildings will move into the new building in fall of 2019, he said.

Matteoli said she expects additions at Kaiser and Sutter to each accommodate about 200 additional employees.

Sutter is undergoing an expansion to its Roseville hospital's emergency and intensive care unit, which will add a 97,000-square-foot building that is expected to open in 2020. The company did not provide comment. It currently lists 81 job openings in Roseville.

Irena Asmundson, a program budget manager for California's Department of Finance, said several economic and demographic factors play a role in the surging health care industry. One possibility, she said, is an increasingly wealthy world.

"As the population gets richer, they tend to spend a larger share of their income on health care," Asmundson said.

Other phenomena are unique to the state and nation. The Affordable Care Act's Medicaid expansion increased the number of people who had access to and demand for health care, Asmundson said.

Additionally, California's older population is growing, along with its need for health care services. Eleven percent of the state was 65 or older when the 2010 Census was conducted, but the Department of Finance projects 20 percent will be at least 65 years old by 2030.

Roseville's older population is increasing as well; 13.4 percent of residents were 65 or older in 2013, while 15.5 percent were at least 65 in 2016, according to Data USA.

Roseville has many advantages that attract businesses and expansions, Matteoli said, but the key is a "consistent and predictable" development process.

"We are like a machine," she said. "Developers know what they're getting into" as far as timeline, review process, inspections and permits needed for new buildings.

Roseville's population grew by 9.7 percent over the past five years, according to the EDD, and Matteoli expects the community to continue to expand – especially if health care providers keep choosing to build there.

Matteoli said residents and businesses have benefited from health care providers setting up shop, and the increased hustle and bustle that comes with them. Two Sun City developments have sprung up nearby in recent years, and the Stoneridge Apartments will provide affordable housing to 200, she said.

Business managers at the auto mall and the Fountains at Roseville shopping mall say the growth has been a boon to them, Matteoli said.

"Each one of them have had annual increases for their retail sales," she said. “We’re honored to have such a strong health care environment in our community, and they’re a valuable business partner."

State data show that areas surrounding Roseville also are seeing increased demand for health care services.

Neighboring Sacramento County experienced even more growth in the field. In 2012, 61,640 employees worked in health care and social assistance, the EDD said, but that had increased dramatically in 2017, to 94,983, a 54 percent spike.

And the greater Sacramento area – encompassing Sacramento, Yolo, El Dorado and Placer counties – added 6,300 health care and social assistance jobs between April 2017 and April 2018, including 900 from March to April 2018 alone, the EDD said.

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