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Jocelyn Robinson, Copy editor
jrobinson@heraldnet.com
Published: Tuesday, July 15, 2008

Decisions could loom soon for Stevens Hospital

Two meetings, press conference scheduled in next 8 days

This story was updated July 16

Cash-strapped Stevens Hospital does not have money available to upgrade its buildings, its equipment or expand its services, officials say.

The next day eight days could prove pivotal for the hospital’s future, though, as officials start getting serious about where they might find the money they need.

The hospital could decide to ask voters for money for the first time since 1995, or they could look to partner with another hospital like Seattle’s Swedish Medical Center. Or they could find a different solution.

It is unlikely the hospital will ask for money from voters in November, spokesman Jack Kirkman said. “I would be very surprised if that was the case,” he said July 14.

Still, something needs to be done, said Michael Carter, Stevens’ CEO.

“This organization is dying, and I fully intend to do something about that,” Carter told Edmonds’ City Council in mid-June.

While a healthy hospital has at least 100 days of cash on hand, Stevens has roughly 30. That doesn’t allow hospital officials to make investments without help, Carter said.

A series of two planned public meetings could provide clues for onlookers, as officials wrestle with their now familiar question: Who will pay the tens, or hundreds, of millions of dollars officials say is necessary to upgrade Stevens Hospital?

Since 1988, the hospital has fallen $73 million behind in capital improvements. Now, a new hospital could cost $340 million, while even the smallest fix – a new emergency room – would likely run about $30 million, officials said.

An all-day commission retreat is planned for 8:30 to noon, Monday, July 21 at the fourth floor of the hospital. Consultants with Shattuck Hammond will discuss Stevens’ situation, discuss different options, and suggest a timetable.

No action can be taken after the retreat. However, action could be taken at the regular 8:30 a.m., Wednesday, July 23 board meeting.

In fact, hospital administrators have scheduled a press conference that will follow the July 23 meeting.

“We do not have any scheduled announcements,” said Kirkman, who is also Stevens vice president and chief development officer. “But if there is anything (the commission) needs to act on, they will do that.”

At the last board retreat in May, commissioners were unhappy with the perspective the consultants offered.

Most of the information the Shattuck Hammond consultants focused on a merger with another healthcare institution, commission president Deana Knutsen said at the time. But a merger would cost the community control over its healthcare, she said.

Commissioner Kimberly Cole agreed the presentation was “heavy” on merger talk.

“I feel like we are nowhere near where we can actually look at (that),” Cole said. “I am very concerned about some critical things – patient perception and public relations. To not improve upon those things and see where that leads us, to not get our solid footing (is a mistake).”

Patient perception at Stevens lags far behind its medical care statistics. The hospital has also been repeatedly criticized for poor public relations and a lack of transparency by its critics, notably Edmonds City Councilmember DJ Wilson.

Patient perception or public relations issues are not on the July 21 agenda.

An agenda updated July 16 includes an open ended, behind-closed-door executive session that will cover the value of the hospital’s assets, two commissioners said.
Commissioners will not be able to discuss issues from earlier in the retreat during the executive session, they said.

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



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