Olympic Medical Center commissioners vote to move forward

Hospital will continue to pursue partners

PORT ANGELES — The Olympic Medical Center board of commissioners unanimously agreed to move ahead with its pursuit of a potential partnership by approving a resolution that authorizes management to begin discussions with organizations leading to one or more letters of intent that would be subject to approval by the board.

Commissioner John Nutter abstained from voting Wednesday night, saying that, as director of payment programs at the Washington State Hospital Association, he did not want to create the impression of a conflict of interest because the potential some of the organizations it represented could be involved in the board’s action.

The board agreed that it would continue to consider remaining independent as well as exploring the possibility of becoming a critical access hospital.

“Our ultimate responsibility as commissioners of this hospital is to ensure that quality services are provided to the community,” Commissioner Thom Hightower said.

Commissioner Tom Oblak noted that the board owed it to taxpayers to consider all of the options that are available.

More than 40 people attended the meeting. An executive session during which the board discussed the resolution began at 6:40 p.m. and was extended twice until the open session reconvened at 9 p.m.

Those who anticipated OMC revealing which organizations it was talking to left the meeting no wiser.

“I appreciate the public participation and I suspect a few of you are going to be a little bit disappointed when you don’t hear the names of who we might be pursuing this with,” Nutter said.

OMC is seeking “multiple opportunities,” he said, adding that releasing the names of the organizations would erode its leverage in discussions.

The name of a potential partner will not be made public until the board votes on whether it will sign a non-binding letter of intent at an upcoming meeting, most likely in late summer or early fall.

Speakers during public comment before the board entered executive session criticized OMC for what they said was a lack of transparency, an unwillingness to engage the community and a hurried process that lacked due diligence.

Gerald Stephanz, M.D., who said he was speaking on his on own behalf and not as medical director of the Olympic Peninsula Community Clinic, suggested the board delay moving forward until after the November general election, when the three open positions on the seven-member board would be decided.

“I don’t see a need for a rush to decide the fate of OMC right now,” said Stephanz, who is running for Position 1 on the board against incumbent board President Ann Henninger. “I would ask the hospital commissioners to put off any binding decision until after the election. Hopefully by then we can have a lot more information.”

Laurie Force, a retired nurse practitioner who volunteers at the Olympic Peninsula Community Clinic and faces incumbent Commissioner Penney Sanders for the No. 7 seat in the August primary, and Bonnie Glendenning, a retired librarian from Sequim, both said OMC needed to include the public in the process of seeking and vetting potential partners.

“The community wants to be a part of the decision,” Glendenning said. “Everybody here cares about what you’re going to do, and that’s why we’re all here.”

OMC began the exploration process of seeking a potential partner in December as a means of ensuring the hospital’s long-term financial viability. Like most hospitals in the state, OMC runs a deficit. It hired a Chicago-based health care strategy company, Juniper Advisory, to guide the exploration and decision-making processes and evaluating potential partners.

A page explaining OMC’s process for seeking a potential partner can be found at www.olympicmedical.org/about-us/exploration. The site includes frequently asked questions and a place to submit a question or comment.

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Reporter Paula Hunt can be reached by email at paula.hunt@peninsuladailynews.com.

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