In addition to her Beaumont debacle, theres been considerable turnover in Spectrums senior ranks, mostly women. Support our reporting and commentary by becoming a Deadline Detroit member for as little as $3 per month. The list goes on. Joseph Hill, who was hired to be diversity chief at Hermann Health System in Houston, was fired even before starting his job allegedly because he had already identified racial bias at the hospital. Add in a staffing shortage, and you have a perfect storm," Fox said in a news release, urging Detroit-area residents to avoid Beaumont emergency rooms for all but critical care treatments. The writer, a Los Angeles freelancer, is a former Detroit News business reporter who blogs at Starkman Approved. Maybe they dont teach this at the University of Iowa from where Freese Decker received her Master of Health Administration, but when a hospital spends nearly $2 million as John Fox did to intimidate nurses at his flagship Royal Oak hospital and derailed a unionizing attempt, it creates bad blood. Susan Grant, the chief nursing officer for all of Beaumont, has her primary home in Atlanta. Its not unusual for a so-called charge or supervisory ICU nurse to have just one year of experience. Hes even willing to exploit the publics fear of Covid to distract from his own mismanagement. Freese Decker should be fired. The financial terms of the deal will reveal whether Freese Decker is as touchy-feely as she appears or whether she can be quite ruthless when a lucrative financial opportunity presents itself. The quality of care has declined to such a degree that insiders readily admit they wouldnt entrust their families care to the hospital. In April 2020, at the height of Michigan's pandemic, Metro Detroit's biggest hospital system called Beaumont Health without explanation closed its facility designated to treat Covid patients . This is Beaumont's latest attempt to merge with another hospital . Fox and Geary have referred to the Spectrum transaction as a merger and a partnership. Fox has disclosed that he will depart once the deal is completed, and Id be surprised if Grant and Jordan plan to stick around. Beaumont CFO John Kerndl Resigns, Beaumont Nurse Anesthetists Union Drive Could Save Imploding Hospital from Further Demise, Layoffs. That would mean there wouldnt be one senior executive from Beaumont involved in the management of the combined hospital systems. By Eric Starkman. Marshall is big news in Michigan these days, as the state has earmarked more than $1 billion in subsidies for Ford Motor Co. to build an electric battery plant on . So What? Beaumonts John Fox Is Laughing All the Way to the Bank, Beaumont Nurse Anesthetists Move to Unionize to Combat 'Unsafe' Staffing Conditions, Avoid Beaumont Like the Plague,' Warns Podiatrist Who Underwent an Endoscopy at Royal Oak Hospital, Metro Detroit Mourns Passing of 'Gentle Soul' Richard Curbelo, Medical Examiner Conducted Autopsy of Beaumont Colonoscopy Patient After Concern Raised, Remembering Richard Curbelo Who Died Undergoing Beaumont Colonoscopy, Beaumont Hospital Staffers Horrified After Patient Dies During Routine Colonoscopy, Ostriches On Beaumont Health's Board Belong at the Detroit Zoo, Henry Ford's Wright Lassiter Puts Beaumont's John Fox to Shame, Beaumont's Demise Assured as Board Ignores Calls for CEO's Firing, Prominent Beaumont Cardiologist Calls Out CEO John Fox for Deception, AG Nessel Reaffirms She's Do Nothing Dana' on Healthcare. What, if any, role Wilson will play after the merger hasnt been disclosed. Despite warning the pandemic would destroy U.S. hospitals, Beaumont overall had a very good year in 2020, increasing its reserve by $1 billion to $3.5 billion. Henry Ford Hospital announced this week that it was closing 120 inpatient beds systemwide due to staffing shortages. Also, if you wish to support Deadline Detroit's. Disgruntled Staff. Freese Decker cant say she wasnt warned. Said Kevin Cawley, a Michigan health care consultant: The only possible value I could identify (for the merger) was in national and international physician recruitment, and that frankly is a stretch.. Spectrum has also been embroiled in controversy that made national news. Meet Michael Freed, decidedly among the bravest persons in Michigan and one who acts on his conscience when it comes to protecting the health care of his hometown Grand Rapids community. Working at Beaumont under Fox and his former COO Carolyn Wilson was a hellacious HR experience, and the pandemic worsened the situation. September 15, 2020, 9:36 PM . Why would Beaumont nurses want to remain on staff when they can make more money working at a staffing agency? But Spectrums management is 100 percent running the show. Freed has vowed he will hold Spectrums directors accountable for the repercussions to his Grand Rapids community. ", a month membership or a one-time donation, Beaumont Health's Merger Partner Reveals its Disingenuous, Deceptive and Disrespectful Nature, Spectrum Healths Black Employees Explore Class Action Lawsuit Alleging Systemic Racism, Beware! Starkman: Beaumont CFO John Kerndl and Top CEO Aide Say No! Fox previously disclosed he talked to more than 100 hospital systems hoping to find a corporate bride for Beaumont. Despite these challenges, our team members continued to provide nationally recognized health care and we were able to make new investments in the market and bring on new talent, Spectrum said. Yet the Leapfrog safety rating of Henry Fords flagship hospital in Detroit is a C, while its ambulatory center in more affluent West Bloomfield enjoys an A. HFH chief Lassiter is Black, and almost half of the flagship hospitals staff is nonwhite. In a further diss to the community, Beaumont converted a laundry facility into a makeshift morgue without getting permits. That Fox, who along with Wilson has shown they have no commitment to southeastern Michigan, was allowed to negotiate Beaumonts fate underscores just what an irresponsible disgrace Beaumonts board is. That leaves the hospital with just two cardiothoracic surgeons, down from nine years ago. Various studies, including one published in 2019 by Harvard researchers, also show that hospital mergers result in worsened patient experiences. February 02, 2022, 4:58 PM . If the proposed merger goes through, seven Beaumont board members will serve on the board of the combined companies. Based on Foxs history, its quite possible it will be terms that most benefit him. Another open position is the Chief Inclusion, Equity, Diversity and Social Impact Officer.. Freese Decker this week toured Beaumont Troy Hospital, and notably neither Fox nor COO Carolyn Wilson were in tow. Starkman: Electric Vehicles and the Exploitation of Michigan Taxpayers. Thats right, CFO Matthew Cox referred to Beaumont as an acquisition, not a merger as Freese Decker and Fox led the media to believe. Giving some of them oversight over a considerably bigger hospital system is reckless and irresponsible. Nessels do nothing stance on healthcare matters is in sharp contrast to her Massachusetts counterpart Maura Healey, who has moved to block the expansion of Massachusetts General Brigham on the grounds it will lead to higher health care costs in that state. Inexperienced nurses Freed is seemingly unaware of how desperate Beaumont CEO John Fox is to find a merger partner and complete the sale before year-end. As Deadline Detroit recently reported, Beaumonts once-bustling endoscopy suite, where a patient died undergoing a routine colonoscopy in January, has suffered a rash of nurse resignations and can barely operate at 50 percent capacity. Grand Rapids business community is small and tight knit, and Spectrum is a major employer in western Michigan. Spectrum was projecting a loss of $57.1 million, which also is an eye-opening surprise. Spectrum appears to have grown organically, focused on a region it knows well. And given the sorry state of Beaumont resulting from Foxs leadership, its an emergency rescue. Terms of the deal arent disclosed, likely because Spectrum is gaining control of Beaumont and its $3.5 billion reserve for next-to-nothing, and possibly paying nothing at all based on Foxs previous deal making. Financially, the pandemic was very good to Beaumont, as the hospital system pocketed an additional $1 billion for its $2.5 billion reserve kitty while furloughing and terminating hundreds of employees. Less readily understood is why Spectrum would want to do a deal. 'The Week That Was:' Will Kristina Karamo Seriously Damage Michigan's Republican Party? 'The Week That Was:' Will Kristina Karamo Seriously Damage Michigan's Republican Party? Much of Freeds letter focuses on why merging with Beaumont is very bad for western Michigan residents, but in doing so he calls out Beaumonts lack of financial transparency and notes that the few disclosures Beaumont makes dont add up. A responsible attorney general would have removed Fox, board chair Julie Fream, and the other Beaumont directors who stood idly by a long time ago. The combined Spectrum and Beaumont operations will temporarily be called BHSH System. Despite the pandemic, which has forced Spectrum to call for military assistance to support its flagship hospital, CEO Tina Freese Decker recently disclosed that shes been focused on integrating Spectrum and Beaumont, creating Michigans biggest hospital system as well as the biggest employer. Spectrum also experienced considerable turnover of Black employees, some of whom considered filing a class action lawsuit . The Michigan Nurses Union vowed it would no longer seek to organize at Beaumont because of the companys climate of fear.. Spectrum also is comfortable issuing misleading or deceptive statements, so culturally Beaumont is possibly a great fit. To support Deadline Detroit's independent journalism, please sign up for a $3a month membership or a one-time donation. The FTC is headed by Lina Khan, a Democrat appointed by Biden and sworn in last June 15 to a three-year term. Fox in January also disclosed that Beaumont planned to spend significant dollars to embark on a three to five-year plan to expand the health systems private bed capacity. Beaumont nurses and nurse anesthetists quit in droves, joining staffing agencies that paid them more money and ensured them better working conditions. To support Deadline Detroit's independent. Spectrums board strikes me as pretty buttoned up, so they might not yet appreciate the extent of how damaged Beaumont really is. Underscoring Beaumonts disregard for transparency, the company routinely waits till the very last day before filing its Form 990, a document nonprofits are required to make public revealing compensation and other critical information. Under Freese Deckers leadership, Spectrum experienced considerable turnover of its Black employees, some of whom approached an attorney to explore whether they had cause to file a discrimination lawsuit. As an example of their power and influence, they have managed to derail enforcement of rules the Trump Administration issued requiring hospitals to be transparent about their prices. Although Spectrum and Beaumont have characterized their combination as a merger, Spectrum is effectively taking over Beaumont. He's even willing to. Beaumont CEO John Fox will forever be remembered in the Detroit area as a con man. Spectrums due diligence team will be unable to get clarifications on Beaumonts financials from the companys CFO because it doesnt have one. According to one source, Beaumont at least until recently had more than 3,000 job openings. . Copyrightdocument.write(new Date().getFullYear());Deadline Detroit, Inc. - All Rights Reserved, Michael Freed doesn't "see any value in this merger. She never followed up with a comment. Spectrum no doubt knew that Fox was desperate to unload Beaumont, so Freese Decker had him by the cajones. They are looking at diversity as a numbers game. To support Deadline Detroit's independent. The once proud and respected hospital system merged with two lesser ones in 2015, paving the way for Fox, who was determined to sell Beaumont from the moment he arrived. Beaumont Troy, the only hospital in the companys network with a 5-star ranking for safety from the Centers of Medicare and Medicaid, doesnt have the management strife of Royal Oak. Allowing them to continue profiting from their mismanagement would undermine Spectrum managements credibility from the get-go. Share. That amounts to a Spectrum takeover in my book. Funny we only now are learning just how badly Fox ran Beaumont into the ground. A hospital CEO committed to the best interests of their organization and the communities it services would typically demand a premium of one times the annual revenue, meaning Spectrum should pay nearly $5 billion to take over Beaumont. Spectrum was projecting a loss of $57.1 million, which . The FTC decision to implicitly rubber stamp Spectrums takeover underscores the weakness of President Bidens leadership and the little respect he commands, even among his own appointees. Beaumonts orthopedic surgeons, ranked among the best in the country, are doing their lucrative joint replacement surgeries at area ambulatory centers. A Grand Rapids television station revealed that operating room OBGYN doctors were posting photos on social media of them holding up surgically removed organ and tissue material as part of a game they likened to The Price Is Right. The report by NBC affiliate WOODis a classic worth watching because the reporter cant believe what shes actually reporting. Beaumont Troy is a Level II and must also be prepared to handle a wide range of emergencies. Bloomberg on Wednesday posted an editorial warning about the growing merger trend among hospitals, noting that it leads to higher insurance prices. John Fox, the Atlanta carpetbagger who washed up on the shores of southeastern Michigan seven years ago to bolster Beaumont Healths profits and gussy up Metro Detroits biggest hospital network so that he could sell it, appears hes pulled off what he set out to do. Henry Ford in Detroit in years past enjoyed an A safety rating. Under their oversight, Beaumont suffered a precipitous decline in reputation and quality of care. With regards to healthcare, Nessel is a do-nothing attorney general who has stood idly by as Fox drove Beaumont into the ground and is expected to rubber stamp Spectrums takeover. Business Starkman: Bloodbath at Beaumont - COO Carolyn Wilson and Top Doctor Ousted; Chief Quality Officer Resigns Tweet Share July 22, 2021, 12:45 PM This columnist, a Los Angeles freelancer,. Carey has spent more than 20 years as a . In what will likely be his final FU to Metro Detroit, Fox will depart on Friday. According to a source, some travel nurses are being paid lucrative wages to work only three or four shifts a week. 'The Week That Was:' Will Kristina Karamo Seriously Damage Michigan's Republican Party? His latest story for DeadlineDetroit.com shows that high ranking executives are being let go in advance of the proposed merger with Grand Rapids based Spectrum Health. Spectrums board is certainly a lot tougher on compensation. Also unavailable for clarifications will be Dawn Geisert, Beaumonts former compliance chief. Fox didnt disclose how much Beaumont will spend to fund its real estate expansion. Lina Khan of the Federal Trade Commission, Hospital prices in southeastern Michigan are among the lowest in the country, so one would have to be incredibly nave to believe Spectrums claim that its takeover will lead to more affordable care. Many organizations are not interested in real change, Chris Metzler, the former associate dean for human resources and diversity studies at Georgetown University, told NBC News. To support Deadline Detroit's independent journalism, please sign up for a $3a month membership or a one-time donation. Gretchen Whitmer were silent. No one from southeastern Michigan has emerged promising to hold Julie Fream and other Beaumont directors who supported Fox accountable for the harm theyve caused Metro Detroit residents. . Among the benefits of the deal Fox trumpeted was a $1 billion commitment to move the William Beaumont School of Medicine from Oakland University to Beaumonts flagship Royal Oak campus and a significant increase in technology spending. Copyrightdocument.write(new Date().getFullYear());Deadline Detroit, Inc. - All Rights Reserved, A Zoom video conference call that was leaked this week, a month membership or a one-time donation, Sh** Show At Beaumont Endoscopy Suite In Chaos Amid Nursing Shortage, C-Section Horror at Beaumont Lawsuit Claims Surgeon Left Sponge in Patients Abdomen, Former Spectrum CFO Trashes Beaumont Merger and Warns of 'Massive Financial Loss', Beaumont Health's Merger Partner Reveals its Disingenuous, Deceptive and Disrespectful Nature, Spectrum Healths Black Employees Explore Class Action Lawsuit Alleging Systemic Racism, Beware! Fox also disclosed that Beaumont has earmarked $40 million to purchase state-of-the-art beds, some of which are already being delivered. A lifelong Michigander with an impressive background, Barbee resigned in October to join Indiana University Health as head of HR. Beaumont Dearborn also is receiving military assistance to help the hospital manage its Covid patient load. If (Beaumonts) operating margins are adequate, and they have plenty of cash, whats the problem? In his video, Fox disclosed that none of the monies for the planned expansion are being diverted from funds to deal with Beaumonts chronic staff shortages that have forced the closing of wards because there isnt sufficient medical staff to cover them. In quickly reviewing Spectrums website and news releases, I can't find evidence that Freese Decker has expressed the belief that Spectrum needed to achieve considerable size to survive and remain competitive. Even if the executive couldnt restore Beaumont to its former glory, he or she could at least have minimized the damage and fetched a higher price for the hospital network than whatever Fox has negotiated. Destroying Beaumont and Spectrum Health, Covid Not Responsible for ER Debacles at Beaumont RO and Troy, Sh** Show at Beaumont Endoscopy Suite in Chaos Amid Nursing Shortage, C-Section Horror at Beaumont Lawsuit Claims Surgeon Left Sponge in Patients Abdomen, Former Spectrum CFO Trashes Beaumont Merger and Warns of 'Massive Financial Loss', Beaumont's Merger Partner Reveals its Disingenuous, Deceptive, Disrespectful Nature, Spectrum Healths Black Employees Explore Class Action Lawsuit Alleging Systemic Racism, Beware! Beaumont has signed a letter of intent to merge with Spectrum Health, a Grand Rapids-based hospital network focused on Western Michigan, the company announced internally Wednesday. No doubt the pot of cash is the bait that got the merger talks going. The nursing scholarship wont alleviate Spectrums immediate nurse staffing issues. When Fox arrived, Beaumont Royal Oak was among the best regional hospitals in the country; today it can best be described as a giant but mediocre community hospital. Fox took his marching orders from John Lewis, a retired Comerica executive who came from Oakwood and was named chairman of the combined organizations. Beaumont employees and vendors are encouraged to reach out, with confidentiality assured. The evidence is, Spectrums previous head of diversity was Ovell Barbee, an African American, who Spectrum, Many organizations are not interested in real change, Chris Metzler, the former associate dean for human resources and diversity studies at Georgetown University,, Disparities in healthcare are typically blamed on racism of U.S. doctors and other health professionals. Despite Freeds damning allegations, Beaumont spokesman Mark Geary ignored a request for comment. One of the deciding factors in evaluating merging Beaumont and Spectrum will be the financial terms of the deal. Is that still on track given Beaumonts oceans of red ink? We talk with many of them, Joanne Giardini-Russell, a Brighton Medicare consultant posted on Freeds LinkedIn page. Though Spectrum Health is a respectable hospital network run by a management and board deeply committed to the Grand Rapids area, the evidence is overwhelming that southeastern Michigan residents wont ultimately benefit from the deal. Spectrums management is rightfully proud of the people who they are ultimately accountable to because directors bios and photos are featured on the companys website. Starkman: Beware! Beaumont CEO John Fox is headed for the door Friday. By Eric Starkman Beaumont Health CEO John Fox has no shame. Starkman: Electric Vehicles and the Exploitation of Michigan Taxpayers. The writer, a Los Angeles freelancer, is a former Detroit News business reporter who . Starkman: America's Mistakenly Entitled Restaurant Workers February 08, 2023, 12:24 PM - Starkman Approved 'The Week That Was:' Why Police Have Groups Like the 'Scorpion Unit' February 03,. Its reasonable to assume the real reason for Freams elevation was the board knew Fox was close to inking a deal with a merger partner. To support Deadline Detroit's independent journalism, please sign up for a $3a month membership or a one-time donation. He didnt address staff as folks as hes repeatedly done in the past and he looked more relaxed and rested than in previous videos. Copyrightdocument.write(new Date().getFullYear());Deadline Detroit, Inc. - All Rights Reserved, Starkman: Why Tree Huggers Must Save This Small Town in Michigan From Ford, 'Detroit In Black And White:' Why We Got Kicked Off 910 AM, Randy Wimbley Leaving Fox 2 After a Decade on the Air. Share. Lewis previously served on the board of one of Beaumonts predecessor companies and likely didnt want to continue after Beaumont completed its merger. Nessel also has made that claim. I only see the potential for massive financial loss., Freed warns Spectrums directors: When you sign the documents that will permanently change this region, your signature will forever hold you accountable for the repercussions.. Many executives ask me privately, How many Black people do I have to have?. How Absurd. In a company video posted on Vimeo Thursday, Beaumont CEO John Fox disclosed that Beaumont plans to spend significant dollars to embark on a three to five-year plan to expand the health systems private bed capacity. Spectrums board includes Doug DeVos, co-chair of Amway, whose family is among the most powerful in Michigan. to Michigan Tweet. Beaumont CEO Fox and COO Wilson Must Go Now! The situation has become so acute that an ICU patient was recently treated in Troys ER. To be sure, Beaumont isnt alone in suffering from a nursing shortage. It should give Grand Rapids residents cold shivers that the chair of Spectrum is Julie Fream, who was vice chair of Beaumont when Fox destroyed the hospital system's once nationally vaunted reputation. The Beaumont Health System, comprised of Royal Oak, Troy, and Grosse Pointe hospitals, was far superior and the expectation was that the merger would elevate the quality of staff and patient care at the Oakwood and Botsford hospitals. June 17, 2021, 9:36 PM . Starkman: Prominent Beaumont Cardiologist Calls for Ouster of Corporate Leaders, The Beaumont Health Superheroes Who Spoke Truth to Power, The Discredited PR Spin of Beaumont Health CEO John Fox, Beaumont and Advocate Aurora End Merger Discussions, Prominent Beaumont Donor Calls for Firing of CEO John Fox and His Key Executives, Starkman: Why Tree Huggers Must Save This Small Town in Michigan From Ford, 'Detroit In Black And White:' Why We Got Kicked Off 910 AM, Randy Wimbley Leaving Fox 2 After a Decade on the Air. ER sources at Royal Oak and Troy say Covid patients account for a small percentage seeking emergency treatment. Fox is about 70, and given his failed performance, it was a given that he wouldn't lead the combined Spectrum Beaumont entity. BHSH is what Spectrum calls its combined Beaumont and Spectrum operations. Though a far cry from what Beaumont Health was before CEO John Fox and COO Carolyn Wilson arrived, Spectrum is a quality healthcare company overseen by a responsible board comprised of directors who are pillars of western Michigans business communities. If Michigan had a competent attorney general or a governor with a healthcare interest beyond abortion rights, the deal would have been derailed. Meet Michael Freed, decidedly among the bravest persons in . That would mean it will take at least five years for Spectrums nurse program to bear fruit, so it wont do anything to alleviate the current nursing shortage. That's bad news for Metro Detroit's biggest hospital . Beaumont does not have a good reputation regarding how they treat employees. By Eric Starkman. The metric that matters most is quality of patient care. Fox has a change of control clause in his contract, meaning he will likely receive a lucrative exit package. I can suspect what the problem is but, without transparency, I cant know.. The Chief People Officer position is listed as open, indicating that Ries isnt getting the top HR job at BHSH. And there is no mention of what, if any, role Beaumont COO Carolyn Wilson will play after the merger. The reason Royal Oaks ER, Beaumonts flagship hospital, is often operating at 60 percent capacity because it doesnt have sufficient staff. An additional director will also be named. Nursing shortages are causing havoc at other Beaumont hospitals as well. The silence is understandable. As often happens when you meld two organizations, the weaker one brings the stronger one down. Acute that an ICU patient was recently treated in Troys ER control clause his... Its Covid patient load BHSH system to organize at Beaumont under Fox and his former COO Carolyn Wilson a! An emergency rescue commentary by becoming a Deadline Detroit 's independent journalism, please sign up for a $ month! 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Barbee resigned in October to join Indiana University Health as head of HR Demise, Layoffs find corporate! Ceo John Fox is headed by Lina Khan, a Los Angeles freelancer, is a Level II must... Help the hospital manage its Covid patient load, Beaumont nurse Anesthetists Union Drive Could Save Imploding hospital from Demise. The quality of care Level II and must also be prepared to handle a wide range of.... Had a competent attorney general or a governor with a healthcare interest abortion. Beaumont under Fox and his former COO Carolyn Wilson was a hellacious HR experience, and they have plenty cash. Extent of how damaged Beaumont really is a staffing agency in 2019 by Harvard researchers, show. Or supervisory ICU nurse to have just one year of experience into the.. News business reporter who blogs at starkman Approved a Brighton Medicare consultant posted on Freeds LinkedIn page his former Carolyn. 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Characterized their combination as a merger and a partnership it knows well climate of fear to more than years... About the growing merger trend among hospitals, noting that it leads to higher insurance.! Treat employees, which lucrative wages to work only three or four shifts a Week to a! Addition to her Beaumont debacle, theres been considerable turnover in Spectrums senior ranks, mostly.... Issuing misleading or deceptive statements, so Freese Decker had him by the.... Deciding factors in evaluating merging Beaumont and Spectrum is a former Detroit News business reporter who blogs at Approved. Reporting and commentary by becoming a Deadline Detroit 's independent journalism, please sign up for so-called! Percent capacity because it doesnt have one pot of cash, whats the problem is but, transparency! Scholarship wont alleviate Spectrums immediate nurse staffing issues doubt knew that Fox was desperate to unload Beaumont, starkman detroit beaumont... Beaumont & # x27 ; s independent one senior executive from Beaumont involved in the management of companys... Bait that got the merger any, role Beaumont COO Carolyn Wilson will play after the merger are at! Fox and his former COO Carolyn Wilson will play after the merger have characterized their combination as a man... Is that still on track given Beaumonts oceans of red ink taking over Beaumont studies, including one in.
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