The Observation Deck

MetroHealth in May, 2014:“ MetroHealth is committed to developing a mutually agreeable collaborative arrangement with the City and LHA whereby it will commit to a long term agreement (including possibly a long term lease) providing for the operation of Lakewood Hospital… MetroHealth is open to scenarios in which MetroHealth alternately enters into a long term operating arrangement replacing The Cleveland Clinic Foundation (“CCF”) as the corporate member of Lakewood Hospital Association. Other legal structure including affiliation, merger or sale can be explored in the future….” [Metro’s May 2014 proposal to LHA]

Metro now: “We are always looking at ways to collaborate with healthcare providers and community leaders to see if there’s a role MetroHealth can play in building up the health of the community.” (Cleveland.com 4/29/15)

Some LHA trustees have made bogus excuses as to why the Cleveland Clinic was chosen over Metro. Those excuses include: execution weakness—Boutros might leave, a weak Metro board, weak midlevel management and lack of capital. Hogwash!

The facts: The LHA Board is weak—they are like putty in the hands of the Clinic who runs the show and runs over them. Regarding the lack of capital, note that in 1996, the Clinic put $10 million into LHA and has never put a nickel in since---they take out over $24 million a year for their bloated inefficient “administrative services” largely unchecked in any meaningful way by the LHA Board. There are some intelligent and courageous trustees like Councilman Tom Bullock who is asking tough questions, but the Clinic plods forward with its agenda--- LHA’s Board on the whole remains silent and passive.
The undeniable facts contained in Metro’s recently released May 2014 proposal clearly establish that Metro is a more efficient and lean public charity delivering high quality lower cost innovative healthcare to folks just like ours folks in Lakewood. Every citizen of Lakewood should be cheering Metro on and contacting the LHA trustees and Council to invite them back to the table.

Brian Essi wrote:Metro now: “We are always looking at ways to collaborate with healthcare providers and community leaders to see if there’s a role MetroHealth can play in building up the health of the community.” (Cleveland.com 4/29/15)

Metro submitted its proposal on May 2, 2014. The proposal included big plans for the hospital. They were serious and even gave the names of those who would be involved in the negotiations. They REALLY wanted a deal.

No one from Lakewood responded and 5 months later Metro withdrew its offer.

It turns out that sometime during that five month period Clinic officials met with Metro officials and told Metro that the City had no intention of responding and was just "jerking you around".

Even with a Hospital, Lakewood could still use a REAL family health center. A center that feeds business to the Metro Hospital in Lakewood. A good location for that Center would be on Clifton just East of Beach. That site is 5 minutes from 100,000 people and 20,000 vehicles drive by each day. It would offer a real choice for people on their way to work and be real competition for the Clinics Avon Facility. That is why it will never happen. Avon only has 20,000 people and the Clinic needs Lakewood's business in Avon.

That is also why Clinic officials spent two hours at a recent Council meeting to defend their Family Health Care proposal. The only problem the ran into was that they were unable to say what would actually be offered at the facility.

It doesn't take a medical expert to conclude that the real purpose of the proposed Cleveland Clinic Family health center is to keep out the competition and to be a feeder facility for Avon.

Why should we accept that?

P.S

Metro makes money at Medicare reimbursement rates. The Clinic does not. Without the bloated Clinic overhead, without the spurious $24 MILLION ANNUAL administrative fees how much money would Lakewood Hospital make?

One year the fees were $15 million 3 years later those fees were $24 million an no one even asked why.

$24 million in fees to supervise 1,100 people? Really?

Brian Essi wrote:MetroHealth in May, 2014:“ MetroHealth is committed to developing a mutually agreeable collaborative arrangement with the City and LHA whereby it will commit to a long term agreement (including possibly a long term lease) providing for the operation of Lakewood Hospital… MetroHealth is open to scenarios in which MetroHealth alternately enters into a long term operating arrangement replacing The Cleveland Clinic Foundation (“CCF”) as the corporate member of Lakewood Hospital Association. Other legal structure including affiliation, merger or sale can be explored in the future….” [Metro’s May 2014 proposal to LHA]

Metro now: “We are always looking at ways to collaborate with healthcare providers and community leaders to see if there’s a role MetroHealth can play in building up the health of the community.” (Cleveland.com 4/29/15)

Some LHA trustees have made bogus excuses as to why the Cleveland Clinic was chosen over Metro. Those excuses include: execution weakness—Boutros might leave, a weak Metro board, weak midlevel management and lack of capital. Hogwash!

The facts: The LHA Board is weak—they are like putty in the hands of the Clinic who runs the show and runs over them. Regarding the lack of capital, note that in 1996, the Clinic put $10 million into LHA and has never put a nickel in since---they take out over $24 million a year for their bloated inefficient “administrative services” largely unchecked in any meaningful way by the LHA Board. There are some intelligent and courageous trustees like Councilman Tom Bullock who is asking tough questions, but the Clinic plods forward with its agenda--- LHA’s Board on the whole remains silent and passive.The undeniable facts contained in Metro’s recently released May 2014 proposal clearly establish that Metro is a more efficient and lean public charity delivering high quality lower cost innovative healthcare to folks just like ours folks in Lakewood. Every citizen of Lakewood should be cheering Metro on and contacting the LHA trustees and Council to invite them back to the table.

Is Councilman Tom Bullock having issues with the Tom Bullock that happens to be a trustee of Lakewood Hospital Association?


Scott Meeson

Bill Call wrote:It doesn't take a medical expert to conclude that the real purpose of the proposed Cleveland Clinic Family health center is to keep out the competition and to be a feeder facility for Avon.

Why should we accept that?

Bill

I am just curious, having just finished reading the Metro Proposal again.

I missed where they wanted to be a feeder system for all of the other hospitals around?

And Lakewood people, equipment, etc. are headed to Fairview not Avon which is 2 min.
farther away from Fairview, Less in an ambulance.

While I will admit that Metro's BUSINESS PLAN seems better suited for Lakewood, it does
not make their proposal better.

I actually find both to be mediocre deals.

.

Scott,
I have only interacted with Councilman Bullock on a limited basis and find him to be a gentleman. I heard that on January 14, 2015 he made a 45 minute speech to LHA trustees advocating a something vey different than the LOI. I'm sure he had good reasons to vote for it at the time. It is clear to me that many trustees were not given all of the relevant facts before they were asked to vote on January 14, 2015. Many things have changed since January. If someone changes their mind on matter, I think that is healthy and honorable thing.

Brian Essi wrote:Scott,
I have only interacted with Councilman Bullock on a limited basis and find him to be a gentleman. I heard that on January 14, 2015 he made a 45 minute speech to LHA trustees advocating a something vey different than the LOI. I'm sure he had good reasons to vote for it at the time. It is clear to me that many trustees were not given all of the relevant facts before they were asked to vote on January 14, 2015. Many things have changed since January. If someone changes their mind on matter, I think that is healthy and honorable thing.

Thanks, Brian.

For what it is worth, it's my understanding the Councilman Bullock was a member of the
"Select Committee " that was formed by the Lakewood Hospital Association. Per the 11/19/2012 minutes of Lakewood Hospital Association/Special Meeting of the Board of Trustees: the committee was directed(per resolution) to "evaluate potential strategies and evaluate strategic options to consider for future planning for Lakewood Hospital." I can imagine that Councilman Bullock was a bit more involved and informed about this planning than other trustees who were not members of the Select Committee.

It's just kind of intriguing to me.

Jim O'Bryan wrote:
I actually find both to be mediocre deals.

.

To clarify, Lakewood is a fabulous city with 52,000 people that will eat, drink, go places,
get sick, get old and even die. The thought that we have to sweeten any deal that has to
do with any of these industries is just bad self esteem on our part.

52,000 humans in 5.2 miles is gold, they should be paying us.

.

Jim,

You are one of the smartest guys that I have met in this process, however.....

Please note that the Metro proposal included getting the Clinic to pay us $30-$40 million so Metro agrees with you.

Also, I am told Subsidium had 7 negotiating sessions with the Clinic which resulted in a horrid deal--not a mediocre one.

To my knowledge, there were no such negotiations with Metro so we still don't know how much more they would have given our City.

Brian Essi wrote:Jim,

You are one of the smartest guys that I have met in this process, however.....
.

You lose the sanity argument.

Brian Essi wrote:
Also, I am told Subsidium had 7 negotiating sessions with the Clinic which resulted in a horrid deal--not a mediocre one.

To my knowledge, there were no such negotiations with Metro so we still don't know how much more they would have given our City.

Brian

Thank you for proving my point all along. There is enough bad in all of this for something
called "Great for Lakewood."

The City needs to reset - open the process.

The Lakewood Hospital Association should be anxious to proves us all wrong and open the
process for the best deal for Lakewood Hospital and its owners.

And the Clinic should be given an equal opportunity to work with the LHA at restoring
services and health opportunities within their current contract.

Sort this mess out, and then we can have an honest discussion what to do next.

In 2016, 2026, 2030, 2040...

For those at City Hall, it is called a "plan" it would be nice if it can be explained to the
populace without the words "great," "best," "only," etc. or misleading information.

And not done in secret with a small group of friends.

.