FIU to Open School of Medicine; Board of Governors Makes History by Approving Two New Schools.

MIAMI -- As the shortage of physicians continues to grow in Florida and nation-wide, today the Florida Board of Governors voted to create two new publicly funded schools of medicine which will increase the state's physician production by close to 50 percent.

One of them will be located at Florida International University in Miami (FIU), which serves a metropolitan urban area of more than 2.3 million residents. The other school of medicine will be located at the University of Central Florida in Orlando. The FIU School of Medicine could graduate its first class of physicians by 2012 and will begin contributing to the economy immediately.

"This School of Medicine will impact every member of this community by addressing a growing doctor shortage and by becoming an economic engine and a beacon of opportunity for South Florida," said FIU President Modesto A. Maidique.

The FIU School of Medicine proposal was approved along with a similar initiative by the University of Central Florida by a vote of 15 to 1. Only three other times in the last 25 years a medical school has been authorized in the United States.

"We have an opportunity to take the lead, not only in the country but in the world," said Board of Governors member Charles Edwards. "(This) a tremendous opportunity that will benefit the quality of life for the citizens of the state."

For several years various experts have been warning state and national policy makers of an impending physician shortage. Studies point to a deficit of over 200,000 physicians by the year 2020 if doctor graduations are not ramped up. Given Florida's large senior population and the age of its physicians -- average age of South Florida doctors is 53, 11 percent are over 70 years old -- the demand for medical care will continue to grow, while many doctors are expected to retire. Currently, Florida medical schools are producing only 500 of the more than 2,900 new doctors needed annually. As the state's population grows, the doctor deficit will continue to increase.

Experts in the field agree that new medical schools in Florida will improve healthcare not only by educating new doctors who will tend to practice in the area, but will also attract federal research dollars and more highly skilled doctors who do breakthrough medical research. Seventy-three percent of Florida resident who attend medical school and complete their graduate training in Florida remain here to practice medicine, according to Edward Salsberg, director of the Workforce Institute at the American Association of Medical Colleges.

The School of Medicine is also expected to have an excellent return on investment: FIU will be seeking a total of approximately $18 million in funding during the planning and startup years, in addition to ongoing financial support of approximately $20 million a year for the School of Medicine. By 2025 the school will create 8,300 new jobs and have an annual economic impact of $1.1 billion, according to a recent study by TrippUmbach and Associates, a Pittsburgh-based firm specializing in economic impact analysis for academic health centers. In time, the School of Medicine will contribute as much as $62 million in taxes to the state treasury, and $73 million to the local tax base, far exceeding the public funds needed to operate the school.

"Medical schools are the best long term investment you can make," said Umbach to the Board of Governors. "It's a big rock hitting the pond; the ripples are very deep."

The FIU School of Medicine will work in affiliation with community hospitals: Mercy Hospital, Miami Children's Hospital, and Mount Sinai Medical Center, which will help educate medical students and provide graduates with residency opportunities.

"This Medical School will help hospitals such as ours maximize our effectiveness and resources," said Jeffrey Horstmyer, president of the medical staff at Mercy Hospital. "This is a win for all of us, but the biggest winner here is our community."

The medical school project has had wide community support, including the official endorsement of the Greater Miami Chamber of Commerce, The Beacon Council, the Latin Builders Association, the Miami-Dade County Commission and Dade County Medical Association Board of Directors. In addition, several South Florida organizations and individuals have made written and verbal commitments to date of about $78 million to the School of Medicine. These pledges double to $156 million when state matching funds are taken into account.

For more information on the FIU School of Medicine visit http://health.fiu.edu/ .

FIU Medical School fact sheet

Expected opening of the
FIU School of Medicine                      Fall 2008

First class expected to graduate            Spring 2012

Number of students in the inaugural class   36

Number of students at full capacity         480

Annual tuition cost                         Approximately $18,000

Location                                    University Park,
                                            West Miami-Dade County

Expected annual economic impact             More than $1 billion

Contribution to the tax base                As much as $62 million

New jobs created in South Florida           More than 8,300

Private dollars raised                      $78.5 million in written
                                            and verbal commitments to
                                            date; amount will come to
                                            more than $156 million
                                            with state matching funds

State support                               A total of $46.5 million
                                            over the first 5 years, an
                                            average of $20 million a
                                            year in operating budget