Fox also disclosed that Beaumont has earmarked $40 million to purchase state-of-the-art beds, some of which are already being delivered. 'The Week That Was:' Will Kristina Karamo Seriously Damage Michigan's Republican Party? The reason Royal Oaks ER, Beaumonts flagship hospital, is often operating at 60 percent capacity because it doesnt have sufficient staff. 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. (Deadline Detroit art work ), 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. Fox said Beaumont plans to ask for military assistance to support its other facilities. To the distaste of the pediatric heads colleagues, Susick walked him out of the hospital in front of his staff. Beaumont reported operating revenues of $4.6 billion in 2020 and is only an eight-hospital system. To support Deadline Detroit's independent. Beaumont spent nearly $2 million on union busters when nurses at the Royal Oak hospital attempted to organize in 2019. The scuttlebutt around town is that Beaumont directors believe that a merger is the only way to get rid of Fox. Seven Failed Beaumont Directors Will Serve on Board If Spectrum Merger Gets Approval Tweet. That would mean there wouldnt be one senior executive from Beaumont involved in the management of the combined hospital systems. Freed was CFO of Grand Rapids-based Spectrum Health for nearly 19 years, and later headed the hospital companys lucrative Priority Health insurance arm for six years. Beaumont does not have a good reputation regarding how they treat employees. Beaumont Health CEO John Fox has no shame. The Michigan Nurses Union vowed it would no longer seek to organize at Beaumont because of the companys climate of fear.. Still, Beaumont is clearly going to be a financial albatross on Spectrums operations for quite some time. Freese Decker this week toured Beaumont Troy Hospital, and notably neither Fox nor COO Carolyn Wilson were in tow. Ohios AG has won a series, Today is indeed a historic day. The nurse anesthetists at Beaumont Royal Oak, Troy and Grosse Pointe hospitals, who are critical to keeping their facilities' lucrative surgery businesses humming, are mad as hell and aren't going to take it anymore. Spectrums previous head of diversity was Ovell Barbee, an African American, who Spectrum proudly announced last April was named one of the leading diversity executives in the country. Seven Failed Beaumont Directors Will Serve on Board If Spectrum Merger Gets Approval, Beaumont CEO John Foxs Final FU to Detroit: Merger with Spectrum Health, Beaumont Health Chair John Lewis -- Champion of CEO John Fox -- Stepping Down in June, Beaumont Manager Moved to Sabotage Anesthetists Concerns About Critical Drug Pump Shortage, Beaumonts John Fox Set to Unload Historic Bloomfield Hills Estate, Beaumont Nurse Anesthetists at Royal Oak, Troy and Grosse Pointe Vote Overwhelmingly to Unionize, Beaumont Forces Suspension of Leader of Nurse Anesthetist Union Drive, 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. 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. How Absurd. Beaumont Health was significantly impacted by these financial and workforce headwinds that were particularly strong in Southeast Michigan (in the second quarter). Freed has vowed he will hold Spectrums directors accountable for the repercussions to his Grand Rapids community. He's even willing to. Beaumont is having difficulty attracting mid- and lower-level employees as well. 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.. Beaumont employees and vendors are encouraged to reach out, with confidentiality assured. If the proposed merger goes through, seven Beaumont board members will serve on the board of the combined companies. To support Deadline Detroit's independent. John Kerndl, who joined Beaumont in 2016, quit in March. Spectrum, with $6.9 billion in revenues, operates 14 hospitals in the western side of the stateand has 30,000 employees. According to an email obtained by the Detroit TV station, Beaumont transferred its Covid patients because the CEO said the hospital system was losing too much money treating them. Many executives ask me privately, How many Black people do I have to have?. The good news is that Beaumont isnt overrun with critically ill Covid patients, which suggests that vaccines are doing what they were intended to do: Prevent people who contract the disease from becoming critically ill and dying. Henry Ford Hospital announced this week that it was closing 120 inpatient beds systemwide due to staffing shortages. Beaumonts leadership page only features a photo and bio of Julie Fream, who on paper at least seems credible: Fream is the president and CEO of the Original Equipment Suppliers Association, an industry nonprofit, and she has a Harvard MBA. Whats notable about the joint announcement and Beaumonts internal communications is whats missing. Eric Starkman of Los Angeles is a former Detroit News business reporter who blogs at Starkman Approved. Nurses employed by staffing agencies are paid more than staff nurses performing the same functions. That's bad news for Metro Detroit's biggest hospital system. Most of them arent qualified to serve on the board of a major hospital company and the proof is in the Beaumont pudding. 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. 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. Beaumont Royal Oak in the past 18 months has lost more than a dozen prominent surgeons, half of its fellowship trained anesthesiologists, more than 50 nurse anesthetists, and dozens of nurses. Its near impossible to put a positive spin on a critical and passionate letter written by a former top executive who played a major role transforming Spectrum into a western Michigan powerhouse. Freese Deckers bio said her biggest priority is building a health system that celebrates and reinforces diversity and inclusion for employees, patients, families, and members. Yet the entire BHSH senior management team as best I can tell is as lily white as a loaf of Wonder bread. To support Deadline Detroit's independent journalism, please sign up for a $3a month membership or a one-time donation. That amounts to a Spectrum takeover in my book. Naming Fream as chairman was done for optics, an attempt to assure Southeastern Michigan residents that their interests would be protected if Spectrum and Beaumont merge. Yet the, 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, Former California Attorney General Xavier Becerra won a $575 million landmark settlement against Sutter Health for using the market dominance it obtained through a series of mergers to illegally drive-up prices. Starkman: Electric Vehicles and the Exploitation of Michigan Taxpayers. 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. The company announced this week that Aaron Gillingham, Beaumont Healths senior vice president and chief human resources officer and interim chief compliance officer, has resigned. It appears that Beaumont Health CEO John Fox won't be bundling his millions and bidding Michigan goodbye as soon as he hoped. 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. The deal will invariably be good for Fox, as he will likely get a very lucrative exit package to sail into the Georgia sunset. And there is no mention of what, if any, role Beaumont COO Carolyn Wilson will play after the merger. Beaumonts Fox doesnt take pride in the directors he is supposedly accountable to, possibly because he regards them as his subordinates. 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. Disgruntled Staff. This columnist, a Los Angeles freelancer, is a former Detroit News business reporter who blogs atStarkman Approved. And given the sorry state of Beaumont resulting from Foxs leadership, its an emergency rescue. Understandably, Spectrum is a more profitable hospital system, but its profits also are bolstered by its lucrative Priority Health insurance arm. Beaumont institutionally has a very tenuous relationship with truth. Reach Eric Starkman at: eric@starkmanapproved.com. The silence is understandable. Newsweek Ranks 3 Beaumont Hospitals Among Best in U.S. One Down, Three to Go. 'The Week That Was:' Will Kristina Karamo Seriously Damage Michigan's Republican Party? Spectrumreportedthat Beaumonts operations already have racked up nearly $100 million in losses. Freese Decker cant say she wasnt warned. Fox that year was paid $5.9 million. Craig's guest is Eric Starkman, Deadline Detroit contributor and author of the blog Starkman Approved. Other state attorney generals have also shown a willingness to take on the powerful interests of U.S. hospital companies. Fox previously disclosed he talked to more than 100 hospital systems hoping to find a corporate bride for Beaumont. 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. 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. But Beaumonts release last month announcing her elevation to chair to replace John Lewis provides some insight. Fox disclosed that Beaumont has extensively expanded its use of nurse staffing agencies, which could exacerbate already poor morale among its nurses. Fox and spinmeister Geary have a history of making statements that are deceptive and misleading, a compilation of which can be found here. Israel relies nearly 100 percent on Pfizer vaccines, while the U.S. also has a prevalence of Moderna and J&J vaccines. That resulted in Beaumont staff nurses working alongside nurses getting paid considerably more money doing the same job, prompting more staff nurses to leave. Why isnt Freese Decker following through on that supposedly great initiative? For years, former Beaumont CEO John Fox was paid more than $6 million annually because of his supposedly deft fiscal management. By that measure Fox, Wilson, and Wood have poor performance scorecards. The combined Spectrum and Beaumont operations will temporarily be called BHSH System. to Michigan Tweet. 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