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Accusations prompt Stevens Hospital changes

• Criticism over openness leads to e-mail accounts for commissioners, audit posting

By Chris Fyall
Enterprise editor

Pushed by public criticism, and in pursuit of transparency, Stevens Hospital has instituted a series of small changes, including issuing hospital e-mail accounts this week to its five elected commissioners for the first time ever.

Previously, commissioners used their personal e-mail accounts, phone calls and interoffice mail for hospital business.

Neither the phone numbers nor e-mail accounts were listed on the hospital's Web site. The new e-mail accounts will be, said Deana Knutson, president of Stevens' hospital commission.

Such changes, and others, are needed, said Edmonds City Councilman DJ Wilson, a recent hospital critic.

"This administration does not understand the role of the public interest, the public trust or the role at-large that the public plays in a public hospital," Wilson said.

At an April 23 commission meeting Wilson asked Stevens to post the commissioner's e-mail addresses, as well as meeting minutes and other hospital documents, on Stevens' Web site.

Since Wilson's comments, Stevens has posted its 2008 minutes, and its most recent audited financial statements. Sometime in 2007, minutes were pulled from the Web site without explanation, and no further minutes were posted.

Neither hospital administrators nor hospital commissioners could say this week who decided to pull the minutes.

With Stevens officials considering how, and where, to build a new $400 million hospital campus, the public process is vitally important, Wilson said.

Last year, the hospital paid $167,000 to study the campus issue. A scheduled May 8 hospital retreat will re-examine it. Potential votes regarding the subject could come before the commission in the next few months, Stevens spokesman Jack Kirkman said April 29.

Any relocation of the hospital would likely see Stevens move north and east, chief planning officer Sarah Zabel said in February.

Stevens is Edmonds' largest employer, and its surrounding medical community is an important part of the city's tax base and identity, officials have said.

In early March, the city of Edmonds asked hospital CEO Mike Carter to address the council. He agreed to an April 22 meeting, but cancelled it at the last moment.

The cancellation drew Wilson's ire. The hospital needs to engage the community, he said.

"I think Stevens is on the wrong track, and they have been on the wrong track," Wilson said April 28. "While things are getting better, they are not getting better fast enough."

The hospital is trying, officials said.

At least one hospital commissioner, Fred Langer, has agreed to come to a council meeting in the coming weeks.

Stevens has emphasized openness since its administration was overhauled two years ago, Stevens spokesman Jack Kirkman said. If commissioners could not be contacted through the Web site until now, administrators certainly could be, he said.

Transparency is one of many priorities for an administration trying to turn around years of disappointing performance, Kirkman said.

In the last 10 years, the hospital has consistently lost money, and the community's trust has eroded. Patient satisfaction surveys have bottomed out, even as patient care metrics rebound.

Stevens is in the 6th percentile nationally for patient satisfaction, according to a new survey discussed by officials at an April 23 commission meeting.

"I think everybody realizes that the hospital can do better and should do better than it has," Kirkman said. "But it is performing better than it has in the last 10 years -- that's financially and in a lot of other areas as well.

The hospital has now posted three consecutive years of profitability, he said.

It isn't easy to establish a new culture, Langer said April 28.

"You cannot get a supertanker to turn on a dime," Langer said. "We are dealing with a very complex organization that works in a very competitive field that has made great strides.

"But we cannot change everything at once."

Langer is confident that more transparency is a positive thing. Wilson raised good issues and asked legitimate questions, Langer said.

As part of his criticism April 23, Wilson questioned the salaries and compensation packages of Carter and Kirkman. He also accused the hospital of entering into what he called a "no-bid contract" with Acumen LLC, a marketing company owned and managed by Kirkman and his wife.

He also criticized the hospital for waiting four months before giving new commissioner Kim Cole her orientation packet. Cole was elected in November and took office in January.

Carter was out of town after the meeting, and not available for comment. Kirkman said third-party consultants recommended the salary and compensation packages, and lawyers were involved in the Acumen contract.

"The Acumen contract was reviewed by Acumen's counsel as well as Stevens' counsel, and at some length," Kirkman said. "There is no issue in regards to the contract."

Commission president Knutson said she looked into the issues after the April 23 meeting, and is satisfied there has been no wrong doing.

While some of Wilson's questions arose from assumptions that were incorrect, Wilson's oversight is welcomed, Langer said.

"There is nothing going on at Stevens Hospital that cannot stand the light of day," Langer said. "I have no problem with anybody looking at why we make the decisions we do."

Reporter Chris Fyall: 425-673-6525 or cfyall@heraldnet.com