Beaumont employees and vendors are encouraged to reach out, with confidentiality assured. Nurses employed by staffing agencies are paid more than staff nurses performing the same functions. Beaumont spent nearly $2 million on union busters when nurses at the Royal Oak hospital attempted to organize in 2019. 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. The promised dual headquarters was also BS. February 02, 2022, 4:58 PM . Ive been looking for the past week and have not located them. 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. 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. Grand Rapids business community is small and tight knit, and Spectrum is a major employer in western Michigan. Starkman: Prominent Beaumont Cardiologist Calls for Ouster of Corporate Leaders, The Clueless Generosity of Beaumont CEO John Fox, Beaumont's Bonuses and the Sorry State of Michigan's Political Leadership, The Controversial Company Beaumont CEO John Fox Keeps, Beaumont Chief John Fox to Detroit-Area Children -- FU Too, The Beaumont Health Superheroes Who Spoke Truth to Power, The Discredited PR Spin of Beaumont Health CEO John Fox, Beaumont and Advocate Aurora End Merger Discussions, Prominent Beaumont Donor Calls for Firing of CEO John Fox and His Key Executives, 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. This is Beaumont's latest attempt to merge with another hospital . Spectrums joint release with Beaumont says the aim of the deal is to make health care more affordable for the communities we serve. Heres my challenge to Freese Decker: For every independent study she can come up with showing where hospital mergers resulted in more affordable care, I will come up with two showing the opposite. Copyrightdocument.write(new Date().getFullYear());Deadline Detroit, Inc. - All Rights Reserved. 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. Seven Failed Beaumont Directors Will Serve on Board If Spectrum Merger Gets Approval Tweet. Another open position is the Chief Inclusion, Equity, Diversity and Social Impact Officer.. Support our reporting and commentary by becoming a Deadline Detroit member for as little as $3 per month. Beaumont employees and vendors are encouraged to reach out, with confidentiality assured. As one source commented: Why doesnt the board just give Fox $25 million to go away?. In his video, Fox disclosed that none of the monies for the planned expansion are being diverted from funds to deal with Beaumonts chronic staff shortages that have forced the closing of wards because there isnt sufficient medical staff to cover them. Freese Decker cant say she wasnt warned. Giving some of them oversight over a considerably bigger hospital system is reckless and irresponsible. The writer, a Los Angeles freelancer, is a former Detroit News business reporter who blogs atStarkman Approved. I'm officially declaring Beaumont CEO John Fox, the Atlanta carpetbagger whose greed and mismanagement destroyed Metro Detroit's biggest hospital system and put the health and safety of areas residents at risk, "The Cookie Monster." 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. A responsible board would have fired Fox months ago and brought in an interim CEO with strong ties to southeastern Michigan to try and stabilize the place. Disgruntled Staff. Craig's guest is Eric Starkman, Deadline Detroit contributor and author of the blog Starkman Approved. His chief marketing officer resigned last September, his CFO quit in March, his chief compliance officer left a few weeks ago, and his chief revenue officer is out the door in a few days. Spectrum and Beaumont are not corporate equals. Michigan Attorney General Dana Nessel could also have moved to block the Spectrum deal or demanded certain concessions, but she has proven to be a regulatory lightweight, particularly on matters relating to healthcare. Its totally bizarre.. Thats right, CFO Matthew Cox referred to Beaumont as an acquisition, not a merger as Freese Decker and Fox led the media to believe. Disparities in healthcare are typically blamed on racism of U.S. doctors and other health professionals. Fox isnt the only hospital executive looking to exploit the perception that the unvaccinated are responsible for wreaking havoc. That's bad news for Metro Detroit's biggest hospital system. Spectrum was projecting a loss of $57.1 million, which . Tina Freese Decker, president and CEO of Spectrum, is chair of the Michigan Health & Hospital Association. By Eric Starkman. Reach Eric Starkman at: eric@starkmanapproved.com. Far from it. Beaumont Health CEO John Fox has no shame. It isnt clear from Beaumonts stats that the hospitals Covid patients were admitted because of the disease or possibly some other serious ailments. Share. Freese Decker is likely assured a big pay increase and bonus. 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, 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. The FTC has a backlog of merger applications, and it could take months before it decides on the Spectrum/Beaumont deal. I dont see any value in this merger, Freed says of the marriage deal Spectrum and Beaumont jointly announced last week. 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 higher health care costs in that state. Freed has vowed he will hold Spectrums directors accountable for the repercussions to his Grand Rapids community. According to the most recently available filings, Freese Decker earned $3.9 million in 2018. Freed doesnt disclose his hunch about Beaumonts financials, which received less oversight than he possibly knows. 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. Henry Ford in Detroit in years past enjoyed an A safety rating. Fox said Beaumont plans to ask for military assistance to support its other facilities. Nessel also has made that claim. A lifelong Michigander with an impressive background, Barbee resigned in October to join Indiana University Health as head of HR. Eric Starkman of Los Angeles is a former Detroit News business reporter who blogs at Starkman Approved. The nursing shortage in our state is a critical and complex challenge that must be solved with bold and collaborative solutions, the Detroit Free Press quoted Freese Decker as saying. Susan Grant, the chief nursing officer for all of Beaumont, has her primary home in Atlanta. The quality of care has declined to such a degree that insiders readily admit they wouldnt entrust their families care to the hospital. Spectrum also is comfortable issuing misleading or deceptive statements, so culturally Beaumont is possibly a great fit. 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. Six months into Freese Decker's acquisition of Beaumont Health from former controversial CEO John Fox, metro Detroit's biggest hospital system is suffering from a pandemic of red ink. Beaumont is having difficulty attracting mid- and lower-level employees as well. That would mean there wouldnt be one senior executive from Beaumont involved in the management of the combined hospital systems. That could further worsen Beaumonts nursing shortage. Lewis previously served on the board of one of Beaumonts predecessor companies and likely didnt want to continue after Beaumont completed its merger. Eric Starkman of Los Angeles is a former Detroit News business reporter who blogs at Starkman Approved. Rather than having people speculate he was passed over, he chose to step down in advance. Beaumont Beaumont employees and vendors are encouraged to reach out, with confidentiality assured. Despite warning the pandemic would destroy U.S. hospitals, Beaumont overall had a very good year in 2020, increasing its reserve by $1 billion to $3.5 billion. It seems unlikely that Beaumont would embark on a major expansion without the input and signoff of Spectrum, which is awaiting regulatory approval to take over the faltering Southfield-based hospital system. The evidence is overwhelming that when hospitals merge, prices go up. The financial terms of the deal will reveal whether Freese Decker is as touchy-feely as she appears or whether she can be quite ruthless when a lucrative financial opportunity presents itself. 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. He's even willing to. Hes even willing to exploit the publics fear of Covid to distract from his own mismanagement. Its not clear whether Freed knows that Beaumont CEO John Fox was among U.S. hospital executives who shouted the loudest about a looming financial crisis for the health care industry because of the pandemic. To the distaste of the pediatric heads colleagues, Susick walked him out of the hospital in front of his staff. There are some serious issues with NorthStar Anesthesia, the Texas-based outsourcing company that Wilson bet the farm on and losing badly so far. 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. The scuttlebutt around town is that Beaumont directors believe that a merger is the only way to get rid of Fox. Companies often create diversity positions for window dressing purposes. Beaumont has signed a letter of intent to merge with Spectrum Health, a Grand Rapids-based hospital network focused on Western Michigan, the company announced internally Wednesday. In a further diss to the community, Beaumont converted a laundry facility into a makeshift morgue without getting permits. 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. Wright Lassiter III, president and CEO of Henry Ford Health System, is chair of the AHA. Susick fired Royal Oaks highly regarded and very much beloved head of pediatrics after he protested budget cuts that he argued would harm patient care. Copyrightdocument.write(new Date().getFullYear());Deadline Detroit, Inc. - All Rights Reserved, Michael Freed doesn't "see any value in this merger. And given the sorry state of Beaumont resulting from Foxs leadership, its an emergency rescue. 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. 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. The writer, a Los Angeles freelancer and formerDetroit News business reporter, blogs atStarkman Approved. Beaumont was once mostly staffed by highly skilled veterans, among the best in healthcare. Also unavailable for clarifications will be Dawn Geisert, Beaumonts former compliance chief. Theres no prestige working at Beaumont anymore. Underscoring Beaumonts disregard for transparency, the company routinely waits till the very last day before filing its Form 990, a document nonprofits are required to make public revealing compensation and other critical information. Despite Freeds damning allegations, Beaumont spokesman Mark Geary ignored a request for comment. In another example of how Freese Decker is just like John Fox in looking to deceive and distract, Spectrum announced it will provide Oakland University with $20 million over the next five years for a Beaumont Health Nurse Scholar Program. When you sign the documents that will permanently change this region, your signature will forever hold you accountable for the repercussions, Freed said in a letterhe posted on LinkedIn. Still, Beaumont is clearly going to be a financial albatross on Spectrums operations for quite some time. 'The Week That Was:' Will Kristina Karamo Seriously Damage Michigan's Republican Party? 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.. Fox has a change of control clause in his contract, meaning he will likely receive a lucrative exit package. Inexperienced nurses BHSH will be the biggest hospital network in Michigan and the states biggest employer. Instead, thanks to aggressive cost cutting and other misguided decisions by Fox and COO Carolyn Wilson, Beaumont imploded. As of this writing, Freeds letter received 40 likes and other shows of support, and not a single criticism. That would mean it will take at least five years for Spectrums nurse program to bear fruit, so it wont do anything to alleviate the current nursing shortage. I know little about Fream, who served as Beaumonts vice chair for several years. 'The Week That Was:' Will Kristina Karamo Seriously Damage Michigan's Republican Party? Starkman: Electric Vehicles and the Exploitation of Michigan Taxpayers. Meet Michael Freed, decidedly among the bravest persons in . Its a standard practice when companies of near comparable size combine: The company whose CEO is tapped to lead the mergedcompany agrees to have the chairman of the partner company serve as chair. 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. Many executives ask me privately, How many Black people do I have to have?. . Starkman: Why Beaumont's John Fox Could Haul More Than $30 Million Back to Atlanta Tweet. Studies show that when hospitals combine, healthcare prices increase while patient quality declines. Spectrums prices are higher than Beaumonts, as the hospital network has significantly less competition in western Michigan. To support Deadline Detroit's independent. Spectrums board is certainly a lot tougher on compensation. Also fostering ill will is Beaumonts mandate requiring that all employees be vaccinated or be fired. 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. By Eric Starkman Beaumont Health CEO John Fox has no shame. Lewis resigned as chair just prior to Fox announcing Spectrums takeover and left the board in December. Beaumont CEO Fox and COO Wilson Must Go Now! Beaumont reported operating revenues of $4.6 billion in 2020 and is only an eight-hospital system. Henry Ford Hospital announced this week that it was closing 120 inpatient beds systemwide due to staffing shortages. Eight will come from Spectrum, including Freese. 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. Why isnt Freese Decker following through on that supposedly great initiative? Getting more Americans vaccinated is widely believed the ticket to saving lives and preventing hospitals from being overrun with Covid patients at deaths door. In its announcement to employees, Beaumont said the merged company will maintain dual headquarters in Southfield and Grand Rapids, an economically inefficient move if true but it likely isnt. Eric Starkman of Los Angeles is a former Detroit News business reporter who blogs at Starkman Approved. BHSH is what Spectrum calls its combined Beaumont and Spectrum operations. Allowing them to continue profiting from their mismanagement would undermine Spectrum managements credibility from the get-go. Reach Eric Starkman at: eric@starkmanapproved.com. 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. 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. Indiana University Health has 16 hospitals and 36,000 employees. Eric Starkman of Los Angeles is a former Detroit News business reporter who blogs at Starkman Approved. 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. Reach Eric Starkman at: eric@starkmanapproved.com. . Joseph Hill, who was hired to be diversity chief at Hermann Health System in Houston, was fired even before starting his job allegedly because he had already identified racial bias at the hospital. The metric that matters most is quality of patient care. Spectrum also reported that Beaumont lost $253 million on its investments. Gretchen Whitmer. to Michigan Tweet. Spectrum CEO Tina Freese Decker will lead the combined company. To support Deadline Detroit's independent. Beaumonts Fox doesnt take pride in the directors he is supposedly accountable to, possibly because he regards them as his subordinates. 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. The evidence is, Spectrums previous head of diversity was Ovell Barbee, an African American, who Spectrum, Many organizations are not interested in real change, Chris Metzler, the former associate dean for human resources and diversity studies at Georgetown University,, Disparities in healthcare are typically blamed on racism of U.S. doctors and other health professionals. 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. Though Spectrum Health is a respectable hospital network run by a management and board deeply committed to the Grand Rapids area, the evidence is overwhelming that southeastern Michigan residents wont ultimately benefit from the deal. The reason Royal Oaks ER, Beaumonts flagship hospital, is often operating at 60 percent capacity because it doesnt have sufficient staff. The rankings are based on data compiled before Beaumont Royal Oak outsourced its anesthesia services, a controversial move linked to the death of a patient undergoing a routine colonoscopy and another patient landing in the ICU because of a pain medication overdose. Spectrum and Beaumont are technically merging because the board of the combined companies will have near equal representation and Beaumont chair Julie Fream will serve as chair of the BHSH. It is said that you can judge a person by the company they keep. Freese Decker this week toured Beaumont Troy Hospital, and notably neither Fox nor COO Carolyn Wilson were in tow. Beaumonts orthopedic surgeons, ranked among the best in the country, are doing their lucrative joint replacement surgeries at area ambulatory centers. Its a vicious cycle, one that I doubt Spectrum has figured out how to solve. The companys chief revenue officer left earlier this month. 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. The anesthesiologists did this while earning a fraction of their . 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. Spectrums financial statements indicate that cash and investments from the acquisition was $3.2 billion. Starkman: Electric Vehicles and the Exploitation of Michigan Taxpayers. Instead, they allowed Spectrum to acquire Beaumont, creating Michigans biggest hospital system, as well as the states biggest employer. Starkman: Beaumont's Woes Prove CEO Tina Freese Decker Unfit to Run Michigan's Biggest Hospital System Tweet Share August 19, 2022, 3:14 PM The writer, a Los Angeles freelancer and former. The Centers for Medicare and Medicaid Services objectively ranks hospitals for quality and Beaumont recently got dismal results: Of Beaumonts eight hospitals, only Beaumont Troy, which is overseen by managers willing to stand up to Fox and Wilson, earned a coveted 5-star rating. Fox took his marching orders from John Lewis, a retired Comerica executive who came from Oakwood and was named chairman of the combined organizations. June 17, 2021, 9:36 PM . Employees blame them both for Beaumonts implosion. 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. On Thursday he posted an open letteron his LinkedIn page to Spectrums board implicitly questioning Beaumont Health's financials and warning that merging with the Southfield-based hospital network is ill advised. Beaumont spokesman Mark Geary ignored a request for comment. That leaves the hospital with just two cardiothoracic surgeons, down from nine years ago. The American Hospital Association (AHA), the trade group focused on promoting the financial interests of nonprofit hospitals and their managements, is a major lobbying force in Washington. ER sources at Royal Oak and Troy say Covid patients account for a small percentage seeking emergency treatment. Funny we only now are learning just how badly Fox ran Beaumont into the ground. Six months into Freese Deckers acquisition of Beaumont Health from former controversial CEO John Fox, metro Detroits biggest hospital system is suffering from a pandemic of red ink. Starkman: Electric Vehicles and the Exploitation of Michigan Taxpayers. Carey has spent more than 20 years as a . 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. Typically, when deals of these sorts are announced, the CEO of the acquired company pays lip service to being committed to ensuring a smooth transition and promises to stick around and lend their full support. Freese Decker should be fired. 'The Week That Was:' Will Kristina Karamo Seriously Damage Michigan's Republican Party? It marks the passing of a once great hospital system, and the creation of a giant Michigan hospital network Spectrums former CFO Michael Freed has warned could result in a , Spectrum Moves Forward with Beaumont Takeover, Beaumont Expects Imminent FTC Approval For Spectrum Takeover Of Its Faltering Hospital System, Good News From Beaumont Hospital Network To Spend 'Significant Dollars' to Expand Private Room Capacity, Beaumont Foxs Thanks to Hospital Docs: Let Them Eat A Cookie., Beaumont Faces Threat of Nurse Anesthetists Strike Over Declining Patient Safety Standards, Bad News for Beaumont -- CEO John Fox Sticking Around Longer Than Expected, CEO John Foxs Michigan Legacy? , Inc. - all Rights Reserved author of the pediatric heads colleagues, Susick walked him out of the or! Over a considerably bigger hospital system, is chair of the disease or possibly some other serious ailments they.. Henry Ford hospital announced this week toured Beaumont Troy hospital, is chair of rare! 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