Freese Decker grabbed the brass ring, but it was badly tarnished. Disgruntled Staff. The only aspect of the deal worth cheering about is that Fox will finally be removed from Beaumont, but the company shouldnt have to lose its independence to make that happen. Yet neither Whitmer or Nessel demanded any diversity or health equity commitments from Spectrum as a condition of its takeover. 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. Eric Starkman of Los Angeles is a former Detroit News business reporter who blogs at Starkman Approved. Instead, thanks to aggressive cost cutting and other misguided decisions by Fox and COO Carolyn Wilson, Beaumont imploded. Giving some of them oversight over a considerably bigger hospital system is reckless and irresponsible. No doubt the pot of cash is the bait that got the merger talks going. It comes as no surprise that Spectrums takeover received the green light. The nursing shortage has forced Beaumont Royal Oak to use so-called travel nurses from temp agencies to hold things together in the ER, but this is sparking additional resentment. Fox and Wilson could possibly be given lucrative ceremonial or consulting roles, which would antagonize Beaumonts rank-and-file because both executives are widely despised. They are looking at diversity as a numbers game. Starkman: Why Beaumont's John Fox Could Haul More Than $30 Million Back to Atlanta Tweet. Terms of the deal arent disclosed, likely because Spectrum is gaining control of Beaumont and its $3.5 billion reserve for next-to-nothing, and possibly paying nothing at all based on Foxs previous deal making. Its reasonable to assume the real reason for Freams elevation was the board knew Fox was close to inking a deal with a merger partner. Even Beaumont employees suffering from myopia can read this writing . Reach Eric Starkman at: eric@starkmanapproved.com. Starkman: Electric Vehicles and the Exploitation of Michigan Taxpayers. Support our reporting and commentary by becoming a Deadline Detroit member for as little as $3 per month. I know little about Fream, who served as Beaumonts vice chair for several years. The anesthesiologists did this while earning a fraction of their . The reason Royal Oaks ER, Beaumonts flagship hospital, is often operating at 60 percent capacity because it doesnt have sufficient staff. Fox isnt the only hospital executive looking to exploit the perception that the unvaccinated are responsible for wreaking havoc. A source told me that Barbee was highly regarded among Spectrums Black employees but was frustrated by his inability to achieve meaningful change. It appears that Beaumont Health CEO John Fox won't be bundling his millions and bidding Michigan goodbye as soon as he hoped. That's bad news for Metro Detroit's biggest hospital . Beaumont, consistent with its practice of putting a spin on undesirable news, notified employees that it is making "good progress" toward . Based on what was paid to the CEO of one of Beaumonts predecessor companies, Fox possibly stands to receive more than $30 million to sail into the Georgia sunset. 'The Week That Was:' Will Kristina Karamo Seriously Damage Michigan's Republican Party? Fox has blamed the pandemic for Beaumonts HR problems, but the issues predated Covid. I imagine Fox is luxuriating at one of his Atlanta or North Carolina manors laughing hysterically at the Michigan executive yahoo who took Beaumont off his hands and no doubt paid him millions as part of the deal. Carey has spent more than 20 years as a . Copyrightdocument.write(new Date().getFullYear());Deadline Detroit, Inc. - All Rights Reserved, Tina Freese Decker, Spectrum president and CEO, a month membership or a one-time donation, 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, Andy Levin Goes After Amazon's Union Busting in Alabama, but Silent About Beaumont. When Fox arrived, Beaumont Royal Oak was among the best regional hospitals in the country; today it can best be described as a giant but mediocre community hospital. There is compelling research showing that hospital mergers result in higher patient costs and reduced quality of care. Most of Foxs senior management team has departed, and hes expected to leave once the takeover is completed and he receives the millions of dollars likely owed to him under his golden parachute agreement. Fox said Beaumont plans to ask for military assistance to support its other facilities. Lewis previously served on the board of one of Beaumonts predecessor companies and likely didnt want to continue after Beaumont completed its merger. As of this writing, Freeds letter received 40 likes and other shows of support, and not a single criticism. Yet the Leapfrog safety rating of Henry Fords flagship hospital in Detroit is a C, while its ambulatory center in more affluent West Bloomfield enjoys an A. HFH chief Lassiter is Black, and almost half of the flagship hospitals staff is nonwhite. Understandably, Spectrum is a more profitable hospital system, but its profits also are bolstered by its lucrative Priority Health insurance arm. One need only look at Beaumont, an amalgamation of the Beaumont Health System, Royal Oak, Oakwood Healthcare, Dearborn, and Botsford Health Care in Farmington Hills that was created in 2014. Beaumont Troy is a Level II and must also be prepared to handle a wide range of emergencies. John Kerndl, who joined Beaumont in 2016, quit in March. Spectrum and Beaumont announced today that they are moving forward with Spectrums takeover, having provided the applicable regulatory agencies with all requested information. The deadline apparently has passed for the Federal Trade Commission to challenge the deal. Starkman: Electric Vehicles and the Exploitation of Michigan Taxpayers. Beaumonts John Fox Is Laughing All the Way to the Bank, Beaumont Nurse Anesthetists Move to Unionize to Combat 'Unsafe' Staffing Conditions, Avoid Beaumont Like the Plague,' Warns Podiatrist Who Underwent an Endoscopy at Royal Oak Hospital, Metro Detroit Mourns Passing of 'Gentle Soul' Richard Curbelo, Medical Examiner Conducted Autopsy of Beaumont Colonoscopy Patient After Concern Raised, Remembering Richard Curbelo Who Died Undergoing Beaumont Colonoscopy, Beaumont Hospital Staffers Horrified After Patient Dies During Routine Colonoscopy, Ostriches On Beaumont Health's Board Belong at the Detroit Zoo, Henry Ford's Wright Lassiter Puts Beaumont's John Fox to Shame, Beaumont's Demise Assured as Board Ignores Calls for CEO's Firing, Prominent Beaumont Cardiologist Calls Out CEO John Fox for Deception, AG Nessel Reaffirms She's Do Nothing Dana' on Healthcare. 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. Although we are facing these current financial headwinds, we are confident we will continue to deliver effectively and successfully on our mission in the communities we serve in Michigan.. There are some serious issues with NorthStar Anesthesia, the Texas-based outsourcing company that Wilson bet the farm on and losing badly so far. To support Deadline Detroit's independent. Fox in January also disclosed that Beaumont planned to spend significant dollars to embark on a three to five-year plan to expand the health systems private bed capacity. Travel nurses are also required to oversee only four patients at a time and are exempted from having to transport patients to other areas of the hospital. Gretchen Whitmer. By Eric Starkman. The merger rationale was that hospitals benefitted from getting bigger and achieving economies of scale. A traditional Bachelor of Science degree in nursing is typically four years. To support Deadline Detroit's independent journalism, please sign up for a $3a month membership or a one-time donation. To be sure, Beaumont isnt alone in suffering from a nursing shortage. Whats notable about the joint announcement and Beaumonts internal communications is whats missing. Speaking of Oakland University, when Fox announced his ill-fated attempt to merge Beaumont into Chicago-based Advocate Aurora, one of the few benefits he touted was that Advocate Aurora had agreed to move Oakland Universitys William Beaumont School of Medicine to Beaumonts Royal Oak campus. Beaumont nurses and nurse anesthetists quit in droves, joining staffing agencies that paid them more money and ensured them better working conditions. If there was an annual award for the healthcare industrys biggest chump, I defy anyone to propose a more worthy recipient than Tina Freese Decker, CEO of Grand Rapids-based Spectrum Health. Its totally bizarre.. An additional director will also be named. Hospital prices in southeastern Michigan are among the lowest in the country, so one would have to be incredibly nave to believe Spectrums claim that its takeover will lead to more affordable care. Studies show that when hospitals combine, healthcare prices increase while patient quality declines. Support our reporting by becoming aDeadline Detroit memberfor as little as $3 per month. 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. The deal will invariably be good for Fox, as he will likely get a very lucrative exit package to sail into the Georgia sunset. That amounts to a Spectrum takeover in my book. Freese Decker is likely assured a big pay increase and bonus. Not a situation one would expect given that Freese Decker said her biggest priority was building a health system that celebrates and reinforces diversity and inclusion.. Business Starkman: Bloodbath at Beaumont - COO Carolyn Wilson and Top Doctor Ousted; Chief Quality Officer Resigns Tweet Share July 22, 2021, 12:45 PM This columnist, a Los Angeles freelancer,. 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. Spectrum spokeswoman Ellen Bristol Wednesday morning said she would look into whether a merger was imminent, seeming to indicate Deadline Detroits inquiry was the first shed heard of a potential deal. Funny we only now are learning just how badly Fox ran Beaumont into the ground. Reach Eric Starkman at: eric@starkmanapproved.com. 'The Week That Was:' Will Kristina Karamo Seriously Damage Michigan's Republican Party? These contracted doctors also were responsible for setting up a Covid-19 ICU unit at Beaumont Troy. Is that still on track given Beaumonts oceans of red ink? Instead, they allowed Spectrum to acquire Beaumont, creating Michigans biggest hospital system, as well as the states biggest employer. However, Beaumont Royal Oak is one of the busiest surgical centers in the country. Fox and spinmeister Geary have a history of making statements that are deceptive and misleading, a compilation of which can be found here. 'The Week That Was:' Will Kristina Karamo Seriously Damage Michigan's Republican Party? The FTC decision to implicitly rubber stamp Spectrums takeover underscores the weakness of President Bidens leadership and the little respect he commands, even among his own appointees. According to the most recently available filings, Freese Decker earned $3.9 million in 2018. BHSH is what Spectrum calls its combined Beaumont and Spectrum operations. Freed might want to reach out to Mark Shaevsky, a prominent southeastern Michigan attorney and a former Beaumont board member before it merged with two lesser hospital companies in 2014. As Deadline Detroit recently reported, Beaumonts once-bustling endoscopy suite, where a patient died undergoing a routine colonoscopy in January, has suffered a rash of nurse resignations and can barely operate at 50 percent capacity. Eric Starkman of Los Angeles is a former Detroit News business reporter who blogs at Starkman Approved. 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. By Eric Starkman During the Covid pandemic, a hospital's safety practices are more. Beaumont spokesman Mark Geary ignored a request for comment. Eric Starkman of Los Angeles is a former Detroit News business reporter who blogs at Starkman Approved. There are no bios or photos of Beaumonts other directors, and thats by intent. Studies also show that hospital mergers also result in a decline in patient care. Fox didnt disclose how much Beaumont will spend to fund its real estate expansion. 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. He's even willing to. Beaumont Royal Oak is a Level I regional hospital, which according to the American Trauma Society means it is required to have 24/7 staffing available to provide total care for every aspect of injury from prevention through rehabilitation. Beaumont was once mostly staffed by highly skilled veterans, among the best in healthcare. Meet Michael Freed, decidedly among the bravest persons in . Disparities in healthcare are typically blamed on racism of U.S. doctors and other health professionals. 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. Reach Eric Starkman at: eric@starkmanapproved.com. Michigan Gov. Beaumont CFO John Kerndl Resigns, Beaumont Nurse Anesthetists Union Drive Could Save Imploding Hospital from Further Demise, Layoffs. She bolted last month. To support Deadline Detroit's independent journalism, please sign up for a $3a month membership or a one-time donation. By Eric Starkman . John Kerndl and Denise Waters. 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. No one from southeastern Michigan has emerged promising to hold Julie Fream and other Beaumont directors who supported Fox accountable for the harm theyve caused Metro Detroit residents. This columnist, a Los Angeles freelancer, is a former Detroit News business reporter who blogs at Starkman Approved.. By Eric Starkman. The head of Beaumonts audit committee was Julie Fream, who earlier this month became the hospital networks chair and has no auditing experience or background listed on her LinkedIn page. Disgruntled Staff. Multiple sources have shared theyve been told by some Beaumont directors that Fox cant be fired, but no one gave a reason as to why. Share. The Detroit Free Press quotedSpectrum's Freese Decker as saying, Today is a historic day. Its one of the rare instances where shes made a statement of undeniable truth. By Eric Starkman Beaumont Health CEO John Fox has no shame. At Beaumont's Royal Oak, Troy, and Grosse Pointe hospitals an elite team of more than 70 anesthesiologists trained and experienced with intubation performed all the procedures. The resignations were due to working conditions and management dissatisfaction, not Covid. Fox trumpeted the deal as a win for Southeastern Michigan because he said Advocate Aurora would invest $1 billion to move the William Beaumont Medical School in Rochester to the Royal Oak campus and upgrade Beaumonts technology. Henry Ford Hospital announced this week that it was closing 120 inpatient beds systemwide due to staffing shortages. Beaumont Royal Oak nurses must sometimes tend to as many as seven at a time. As one source commented: Why doesnt the board just give Fox $25 million to go away?. John Fox, the Atlanta carpetbagger who washed up on the shores of southeastern Michigan seven years ago to bolster Beaumont Healths profits and gussy up Metro Detroits biggest hospital network so that he could sell it, appears hes pulled off what he set out to do. By that measure Fox, Wilson, and Wood have poor performance scorecards. Beaumont is having difficulty attracting mid- and lower-level employees as well. By comparison, BHSH will have 22 hospitals and 64,000 employees. The terms of the deal were so obscenely favorable to Advocate Aurora that Rep. Andy Levin, whose district includes Beaumont Royal Oak, announced he would oppose the deal. The merger could still fall apart if Spectrum has a top-notch duediligence team. Hospital plans are designed to incentivize doctors not to order or recommend expensive procedures in order to reduce payouts. But Spectrums management is 100 percent running the show. What, if any, role Wilson will play after the merger hasnt been disclosed. According to a source, some travel nurses are being paid lucrative wages to work only three or four shifts a week. When the Advocate Aurora deal was announced, Beaumont had a $2.5 billion cash reserve, so Advocate Aurora was essentially committing $1 billion, while retaining $1.5 billion. Other state attorney generals have also shown a willingness to take on the powerful interests of U.S. hospital companies. Beaumont employees and vendors are encouraged to reach out, with confidentiality assured. Fox said Beaumonts lack of private rooms is a large critical area that has haunted us for decades. He said a comprehensive expansion plan would be finalized by year-end. 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. Reach Eric Starkman at: eric@starkmanapproved.com. The courage it took for Freed to write and post a letter questioning the judgment of Spectrums board and reminding them of their fiduciary responsibilities cannot be emphasized enough. Beaumont Troy also operates at a reduced capacity. Despite the pandemic, which has forced Spectrum to call for military assistance to support its flagship hospital, CEO Tina Freese Decker recently disclosed that shes been focused on integrating Spectrum and Beaumont, creating Michigans biggest hospital system as well as the biggest employer. The release, which Fream presumably signed off on, said her appointment was part of a normal governance leadership rotational process.. Business Starkman: Bloodbath at Beaumont - COO Carolyn Wilson and Top Doctor Ousted; Chief Quality Officer Resigns Tweet Share July 22, 2021, 12:45 PM This columnist, a Los Angeles freelancer,. The Chief People Officer position is listed as open, indicating that Ries isnt getting the top HR job at BHSH. The list goes on. By Eric Starkman Beaumont Health CEO John Fox has no shame. Ohios AG has won a series of landmark settlements taking on healthcare companies. Destroying Beaumont and Spectrum Health, Covid Not Responsible for ER Debacles at Beaumont RO and Troy, Sh** Show at Beaumont Endoscopy Suite in Chaos Amid Nursing Shortage, C-Section Horror at Beaumont Lawsuit Claims Surgeon Left Sponge in Patients Abdomen, Former Spectrum CFO Trashes Beaumont Merger and Warns of 'Massive Financial Loss', Beaumont's Merger Partner Reveals its Disingenuous, Deceptive, Disrespectful Nature, Spectrum Healths Black Employees Explore Class Action Lawsuit Alleging Systemic Racism, Beware! 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. Copyrightdocument.write(new Date().getFullYear());Deadline Detroit, Inc. - All Rights Reserved, a month membership or a one-time donation, 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, Andy Levin Goes After Amazon's Union Busting in Alabama, but Silent About Beaumont. We are incredibly excited about the impact the BHSH Beaumont Health Nurse Scholar program will have in health care and for our communities.. February 02, 2022, 4:58 PM . Even if the executive couldnt restore Beaumont to its former glory, he or she could at least have minimized the damage and fetched a higher price for the hospital network than whatever Fox has negotiated. Eric Starkman of Los Angeles is a former Detroit News business reporter who blogs at Starkman Approved. Working at Beaumont under Fox and his former COO Carolyn Wilson was a hellacious HR experience, and the pandemic worsened the situation. Fox and Geary have referred to the Spectrum transaction as a merger and a partnership. Fox has disclosed that he will depart once the deal is completed, and Id be surprised if Grant and Jordan plan to stick around. Fox, who has already been paid more than $20 million in compensation since joining Beaumont in 2016, potentially stands to earn tens of millions more if regulators approve Spectrums takeover. Spectrum no doubt knew that Fox was desperate to unload Beaumont, so Freese Decker had him by the cajones. To support Deadline Detroit's independent. Corewell Health has appointed Dr. Daniel Carey as the new president for its Beaumont Hospital campus in Royal Oak. But unlike Beaumont, Henry Fords staffing issues arent due to mismanagement. Spectrum no doubt knew starkman detroit beaumont Fox was desperate to unload Beaumont, henry Fords issues. That they are moving forward with Spectrums takeover, having provided the applicable regulatory with... Knew that Fox was desperate to unload Beaumont, so Freese Decker as saying, today is a former News... Spend to fund its real estate expansion Free Press quotedSpectrum 's Freese Decker earned $ 3.9 million in.! Series of landmark settlements taking on healthcare companies is reckless and irresponsible about the joint announcement and internal. A large critical area that has haunted us for decades landmark settlements taking on companies... Has a top-notch duediligence team can tell is as lily white as a condition of its.... 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