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University Hospitals Authority outlines pediatric behavioral health timeline, seeks clarity on $200M Legacy Capital repayment for children’s heart center
Summary
University Hospitals Authority CEO Randy Dowell said the Children's Behavioral Health Center remains on time for a September 2026 construction completion and that the authority is seeking committee guidance about terms and repayment timing for a $200 million Legacy Capital appropriation previously provided toward a Children's Heart Center.
Randy Dowell, CEO of the University Hospitals Authority and Trust, briefed the committee on a portfolio of hospital construction and program expansions, including the Oklahoma Children's Hospital Behavioral Health Center and the Stevenson Cancer Center in Tulsa. Dowell said the behavioral health building construction remains on schedule for September 2026 with a phased opening planned for December and that the health system expects to hire roughly 400 employees to staff the center.
Dowell addressed a prior legislative appropriation of $200 million from the Legacy Capital Fund for a Children's Heart Center and said the money is currently held by the treasurer but that the authority has not executed a contract tying it to repayment timing. He reported that the authority was advised to seek an additional $50 million from the Tobacco Settlement Endowment Trust (TSET) but that TSET informed the authority in November that the project did not qualify for its grant round. As a result, the authority seeks legislative direction on whether to begin payback on the Legacy Fund funds or to extend the repayment schedule as initially contemplated.
Dowell said project design and predesign steps are underway and noted a $20 million gift from the Presbyterian Health Foundation toward construction. He described options if the legislature does not fund the remaining gap: postpone build-out of some floors, build shell space as alternates, or stage the project to keep costs aligned with available capital. Lawmakers warned against spending large sums on design if a final funding strategy is not in place.
On fiscal risks, Dowell described Medicaid and federal reimbursement uncertainties, estimating substantial multi-year impacts tied to anticipated federal changes, and said the authority would continue engaging OHCA on projections. He said no formal action was voted at the hearing and requested further committee guidance on repayment and project phasing.
