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RMC seeks to be among top hospitals

By GENE ZALESKI, T&D Staff Writer  Thursday, April 16, 2009

1 comment(s) | Default | Large

The Regional Medical Center wants to be ranked among the nation’s top 100 healthcare institutions by Thomson Reuters. On Tuesday, trustees voted to spend $700,000 over two years to figure out how.

The trustees unanimously approved hiring Thomson Reuters to help guide the hospital as it seeks the ranking.

“One of the main things it will help us with is the quality of care,” RMC board Chairman James Amaker said. “There are so many things we will do that will set this hospital apart from any others in the area.

“Even if we don’t get on the list of the top 100, the things we will achieve in getting to that point would make improvements in the quality of care.”

The annual consulting fees will be about $170,000 and other expenses related to the implementation of the program will cost about $180,000 a year. The two-year contract will total approximately $700,000.

The contract was discussed entirely in closed, executive session.

Retired Orangeburg surgeon Dr. Randolph Smoak presented trustees with an overview of the Thomson Reuters 100 Top Hospitals program at its March meeting and encouraged trustees to consider participation. He said the program is prestigious and could lead to cost savings, while at the same time improving the quality of patient care.

Thomson Reuters will look at a number of hospital performance measures centered on clinical excellence, operating efficiency, financial health and patient satisfaction.

After the meeting, Trustee Danny Covington said while he realizes it costs a lot of money, everyone he has consulted is enthusiastic about the project.

“I do find it amusing to enter into a contest with somebody and hire them to tell you how to win,” he said.

In other matters, trustees approved moving forward with the refinancing of $16.495 million remaining from the $30 million it borrowed in 1998.

The vote was 10-2, with one abstention. Covington and trustee Dr. Oscar Butler Jr. were in opposition and trustee Gladys Arends abstained.

The board voted 9-5 in February to refinance the outstanding 1998 bond through the backing of a three-year, variable-rate bond with BB&T. Orangeburg and Calhoun counties have both approved the refinancing.

But Covington, who wants to pay off the debt with cash, argued to Orangeburg County Council last week that the hospital withheld information that council needed to fully understand the issue. He said that could cost the hospital $5 million in the long run.

Hospital officials maintain they did not withhold pertinent information. They say the hospital needs to hold onto its cash to maintain an A-range credit rating.

Hospital attorney Bob Horger said if council rescinds its approval, the hospital would not be able to proceed with the refinancing. He said he does not know how much it would cost the hospital if it starts the refinancing, only to have council stop the process.

“We would have to have their consent,” Horger said.

Butler said, “In my opinion, staff has not followed the directive of the board as it relates to the board and County Council. What was presented to County Council was not what this board was privy to.

“It was amended, it was changed and documents omitted.”

Hospital Chief Financial Officer Cheryl Mason said officials thought it wasn’t necessary to give the documents to County Council since trustees had already voted against the options mentioned in them.

Trustee Dr. Mohammed Nassri, RMC chief of staff, said the allegation that something was omitted or deleted is not entirely correct since those documents had “no material influence” on the decision.

Covington said hospital staff steered council wrong to get the decision they wanted.

“That it your opinion,” Nassri said. “The majority of the board does not see it that way, Danny.”

“The majority of the board is only by one,” Covington said.

Trustee Milton Dufford said a 9-5 vote does not consist of a majority of one.

After the vote, trustee Betty Henderson suggested the board consider paying some of the debt off.

“It would certainly allow us to meet tomorrow’s challenges by not having such a large debt service out there,” Henderson said.

Trustee Dr. Rocco Cassone suggested the hospital consider paying off some of the debt.

“I think a lot of us don’t want to have debt in the hospital but a lot of us also understand that it is good for the hospital to have a certain amount of debt,” Cassone said.

Mason will analyze the hospital’s options by the next board meeting.

In executive session, trustees discussed letters received from Brim Healthcare and LifePoint Hospitals Inc. The hospital management companies are offering their services to RMC.

Hospital officials say it is not unusual for companies to contact the hospital when its management contract is up for renewal. The hospital’s current six-year contract with QHR is scheduled to expire by the end of the year.

No motion was made in relation to the matter.

T&D Staff Writer Gene Zaleski can be reached by e-mail at gzaleski@timesanddemocrat.com or by phone at 803-533-5551.

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1 comment(s)
The following comments are reader submitted. They do not represent the views of The T&D or Lee Enterprises.

orangeburger wrote on Apr 16, 2009 6:40 AM:

" Lot of Gimmicks! Thomson-Reuters is a commercial news-media company involved in doling out "false accolades". RMC needs to get serious about cost savings and utilization of employees to the fullest extent for the salaries and benefits they pay them. They can save a lot more than 170K by just eliminating a lot of retired people who are slowly creeping into quasi-administrative positions in the hospital for hefty salaries. These people make no useful medical contributions to the patients but sit on committees and endless meetings. Please Do what the rest of the country is doing.Trim costs, drop prices, make business customer friendly, toss out useless people who make no material contribution, learn to NO to employee creep. In small towns it is hard to do this. Lot of sensitivities and old loyalties guide every decision making. However TRMC has chosen to be a not for profit, county hospital and has to put the interest of its citizens uppermost.. "



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