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Home My WebLink AboutMINUTES - 08031993 - 2.4 r 2.4 THE BOARD OR SUPERVISORS OF CONTRA COSTA COUNTY, CALIFORNIA Adopted this Order on _August 3, 1993 by the following vote: AYES: Supervisors Powers, Smith, Bishop, McPeak, Torlakson NOES: None ABSENT: None ABSTAIN: None SUBJECT: Mt. Diablo Medical Center In response to the Board referral of July 20, 1993, Mark Finucane, Health Services Director, provided the Board with a copy of his letter to Michael Wall, President and Chief Executive Officer, Mt. Diablo Medical Center, P. O. Box 4110, Concord 94520, relative to changes in job descriptions and benefits affecting personnel at the Medical Center. Board members concurred with the content of the letter and its transmittal to Mr. Wall. Therefore, IT IS BY THE BOARD ORDERED that receipt of the proposed letter is ACKNOWLEDGED. I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Boats of Supervisors on the date shown. ATTESTED- PHICBATCV LOR,Clerk of the Boaro of Supervi s and County Administrator By ,UeputV cc: Health Services Director County Administrator � r � Contra Costa County The Board of Supervisors HEALTH SERVICES DEPARTMENT OFFICE OF THE DIRECTOR Tom Powers, 1st District Mark FinuCane, Director Jeff Smith,2nd District aE;:........4- o Gayle Bishop,3rd District `_' L \ . 20 Allen Street Sunne Wright McPeak,4th District ;; :.,.. `.• Martinez, California 94553-3191 Tom Torlakson,5th District o _ (510)370-5003 FAX(510)370-5098 County Administrator Phil Batchelor County Administrator q �6u+T' August 2, 1993 Michael Wall, President Chief Executive Officer Mt. Diablo Medical Center P.O. Box 4110 Concord, CA 94520 Dear Mr. Wall: The Board of Supervisors has directed me to communicate comments made to them, and by them, at their regularly-scheduled meeting of July 20th. Three individuals asked to address the Board. Representatives of CNA and Local 250 expressed their frustration and disappointment over recent actions by the Hospital District Directors. Much of the discussion focused on changed job descriptions, lay-offs, elimination of health care benefits, and on the corporate restructuring decisions. The speakers claimed an inability to access the process by which the Mt. Diablo Board made these decisions. The Supervisors were sympathetic to the individuals. Supervisor McPeak, as you know, was more familiar with the situation. She recounted her own attempts to discuss these matters with your Board of Directors. Of particular concern to the entire Board is the reductions and/or the loss of health care benefits as described by the speakers. Therein is one of the reasons for the directive to me. As we discussed, the public health care system is under great strain. All aspects of this department, and in particular, the hospital and clinics division are experiencing record utilization figures. The changes to anyone's health benefit status can push him or her into our system. The Board is acutely sensitive to this issue since we are in the process of eliminating $ 4 million dollars in general fund support from the Health Services Department. I have also been asked to communicate to you, the system used by this County for the retraining and/or re-employment of layed-off workers. Based on our discussions, and after consulting informally with the Board, I believe the best form for these topics is the one developed by you to discuss the Board's Hospital Replacement Project. Merrithew Memorial Hospital 6 Clinics Public Health • Mental Health • Substance Abuse Environmental Health Contra Costa Health Plan Emergency Medical Services Home Health Agency Geriatrics A-345 (2/93) • I 1 -2- I also want to acknowledge, after our brief conversation on Friday, that you are in the midst of preparing a letter to my Board describing the Mt. Diablo version of the process that was described to them by the three individuals I referenced earlier. I' ll discuss with you during the week of August 2nd, the most convenient times for us and our respective Board members to discuss both of these subjects. Sincerely yours, Mark Finucan , Director Health Services Department Michael L. Wall MT. DIABLO MEDICAL CENTER Board of Directors President&Chief Executive Officer Ronald E-'Leone Chairman Grace Ellis Vice-Chairman Ann Moriarty August 2, 1993 RECEIVED ��I�� Secretary-Treasurer R. Isabelle Chenoweth,R.N. Director AUG3 1993 ry Louise Mahoney Honorable Tom Powers Director Honorable Sunne McPeak CLERK BOARD OF SUPERVISOBFU Honorable Jeffrey Smith ICONTRA COSTA co. Honorable Gayle Bishop Honorable Tom Torlakson Contra Costa County Board of Supervisors 651 Pine Street Martinez, CA 94553 Dear Supervisor: I have been directed by the Mt. Diablo Hospital District Board of Directors to communicate a response to comments made at your July 27, 1993 meeting regarding restructuring at Mt. Diablo Medical Center. Our Board was shocked to learn of comments made by Supervisor McPeak, who has limited actual knowledge of the difficult and painful process we have been grappling with regarding restructuring. In addition, during a July 26 meeting between Supervisors McPeak and Powers, and Directors Ellis and Mahoney regarding county health care issues, not one comment was made by either supervisor, so that the Mt. Diablo restructuring could be clarified. Over the past 10 years, property tax revenue has comprised only $250,000 of the $55,000,000 Mt. Diablo Hospital District has received in excess revenues. Our financial viability and our mission to provide quality health care to our community depends on our ability to effectively manage resources. The Board set a target of a 2% net operating budget to keep us financially sound in the next fiscal year, and to achieve that goal, restructuring of resources was critical. Reducing our work force was not easy or painless for anyone. We went through a prolonged and very public process to make sure all employees, physicians, and community members had an opportunity to share their suggestions. Six open Board meetings were held to solicit concerns, Board members made themselves personally available to anyone who wished to contact them including employees and organized labor, and ongoing meetings were held throughout the Medical Center for over two months. Over $1,000,000 was allocated for severance pay, and the Board approved expenditures of over $300,000 so employees could have the benefit of out-placement counseling, which is far above the industry standard. Ongoing dialogue with the Central Labor Council continues, and 2540 East Street, Concord, CA 94520.510-682-8200 P.O. Box 4110, Concord, CA 94524-4110 Operated by the Mt.Diablo Hospital District Cc: BOARD MEMBERS (provided) i� Contra Costa County Board of Supervisors August 2, 1993 Page 2 employee recall language is in place. Seventy-one percent of our present work force (1,385 employees), after restructuring, receives benefits. This represents a decline of only four percentage points from the figure before restructuring. Furthermore, because of their commitment to continued medical quality, the Board created a restructuring oversight committee. It is composed of two Board members, the Chief of Staff, the Medical Director of Quality Review, Nursing, and other advisory members. We are also embarking on a systems and work restructuring effort, which supports our resized Medical Center. Focus groups with patients, employees and physicians are being held in September to accelerate this process. We are not unique. Mt. Diablo's dilemma is exactly that being faced by every other hospital in the area--unavoidable reductions in staff and program adjustments due to declining census and eroding profits, which are further impacted by the overall poor economy. If any of the Supervisors have further concerns or need clarification before making additional, misleading public comments, we would be happy to provide that information. Most sincerely, U4 Mi lhael L. Wall President and CEO c: Mt. Diablo Hospital District Board of Directors Ron Leone, Chairman Grace Ellis, Vice Chairman Ann Moriarty, Secretary/Treasurer Mary Mahoney, Director Isabelle Chenoweth, Director