Wednesday, March 14, 2012

Supervisors Decry St. Rose CEO's Lack Of Transparency Over Financial Status

Mar. 14, 2012 | Alameda County Supervisor Keith Carson said the head of struggling St. Rose Hospital lied to the board last year about the financial status of the Hayward facility.

During a marathon five-hour board of supervisors meeting Tuesday afternoon in Oakland, it was also revealed St. Rose CEO Michael Mahoney was the person who first initiated contact with controversial Southern California health care provider, Prime Healthcare, to purchase the hospital if it were to fall into bankruptcy.

The board, though, unanimously approved allocating $2 million in funding to keep the doors open at St. Rose. Officials from the hospital said Tuesday without the infusion of cash, the facility had only weeks to live, but urged for a vastly larger pool of funding in the future just to break even.

Included was also approval for seeking a joint powers agreement between the county, St. Rose and the Washington Township Healthcare District in Fremont, despite continued frustration, the board said, with a lack of transparency emanating from St. Rose over the past nine months.

"Mike lied to us. He sat here and lied to us," Carson pointedly said of St. Rose's CEO Michael Mahoney. At a county health committee hearing last year, Carson recounted a specific exchange with Mahoney. "We asked him what the financial status was in the morning. It's perfect. We've got money. We're good," said Carson. "That afternoon we got a letter saying we need money. We can't make payroll."

Supervisor Wilma Chan was less blunt, but agreed with the sentiment. "The leadership had said everything was going fine, the efficiencies had been realized," said Chan. "Things were getting better. Things were going to be fine and yet after that we heard several times in private conservations--not in the public--that there were still huge operating deficits and there was a danger of bankruptcy or failure."

"It has been frustrating to our board because of the lack of transparency and conflicting information that we have received about the financials," added Chan. During a county health committee hearing on Monday, Chan asked for details on whom had reached out to Prime Healthcare. On Tuesday morning, Alex Briscoe, the director of Alameda County Healthcare Services, revealed it was Mahoney who had called officials at Prime on his own. Later, the chief turnaround officer hired by the county to fix St. Rose, testified the contact was made at the urging of a restructuring law firm affiliated with St. Rose. "I don't think it was necessary to invite Prime to the table on that," said Chan. "There are other ways of dealing with [potential bankruptcy]"

Despite a belief the inclusion of Prime Healthcare, an organization currently battling allegations it overcharged Medicare, is nothing more than an attempt by St. Rose to up the ante for procuring additional financing, the interim officials charged with quickly turning around the hospital's fortune said Tuesday the facility is running on empty.

Mac Nakayama, a consultant tapped by the board of supervisors last January, said "My assessment is with its poor cash position with an inability to pay vendors just to operate normally, it would be very difficult for this hospital to continue beyond the next few weeks." Tracy Teller, the interim chief financial officer at St. Rose said it would need between $17-$18 million over the next six months for payables, payroll and to make scheduled bond payments. Teller later said the facility is losing between $800,000 and $1 million per month.

"This partnership that we're going to be putting together, of course, is very dedicated to keeping the hospital open," said Chan, "but it doesn't have limitless resources." She later said the county nor any other known entity can afford to pay nearly $1 million-a-month to maintain St. Rose.

Even then, Nakayama said St. Rose's future would still be clouded with a annual infusion of cash. "I believe operationally, even if we had everything running perfectly, this hospital would have a tough time breaking even. It will always need an infusion of cash from somewhere."


By MW:

Let me first comment that until reading this article a few minutes ago, I had never even heard of Michael Mahoney.

However if Mahoney did lie, then, and based on the present "standards" of California and Alameda County government, I would suggest he be given a seat on the Alameda County Board of Supervisors.

Eventually Nadia Lockyer is going to have to leave the Board, and even far more than from the legal issues, simply because she has become a public joke and a public laughingstock, so therefore the AC Board of Supervisors will have an opening.

So if Mahoney is a proven liar, and to boot even attempted to use lies to rip off the general public, then, and based on the present "standards" of local politics, he is certainly extremely well qualified to be a high ranking public official, and to therefore use his sense of ethics, integrity, and honesty to govern us and to come up with rules and laws that the rest of us will have to follow and live by.

I know Mike he's a sneak and a lier. No news here for us.

I hope and pray that the powers that be do not let St. Rose's poor "leadership" affect their decision that will impact the health and well-being of Alameda County and the surrounding hospitals, not to mention the many, many Honest and Hard Working employees at St. Rose!

Soo st rose is losing 1 mil a month but we need to find a way to save it but SLH loses 2 mil a year and it's a sinking ship?? alameda county needs to get their priorities straight

The board of SRH has totally F---ed up. They should resign immediately and a new honest board installed.

I agree, the entire board of directors, Mike Mahoney and the rest of the administration should be fired and replaced. This is the hopes of a large number of employees that work at St. Rose. Our hope is that this JPA goes through and the very first act is that these people get a box to put their crap in and send them packing.

Last year they (the administration) blamed a computer error for the mis-billing of Medi-Care/Medi-Cal bills. The real truth is that through their gross mismanagement the new computer system that they themselves designed and built never sent out bills. Furthermore since there were no checks and balances built into this system they were none the wiser.It only came to light when the cash flow stopped....oh crap.

This is only one example of many that we see on a weekly,monthly and yearly basis. The one common denominator that will always come to light is that Mahoney will skirt his responsibilities and blame someone or something else, it's never his fault.

So in their infinite wisdom the best answer was to lay off a large protion of the working staff. Also wages have been frozen and small retirement contributions have been cut. This is also a facility that has no retiree medical so cutting the retirement contributions is a big blow. They did lay off one vice president, so now we are down to only three V.P.'s. Some other middle admin. staff have had some cuts as well. But Mahoney is there everyday collecting his well deserved wage, no mention of a cut back in that area of coarse.

When will we as a society and our government start holding these people accountable for the demolition of a company, in this case a hospital. The very people that orchestrate the demise of companies are rewarded with their lucrative salaries then we really so them how mad we are and give them their retiremnet package worth millions then so them the door....wow that will have em shakin in their boots.

Instead they should get zip and their salary/retirement goes toward the reconstruction of their destruction.

The real kicker is that they are asking the public to support them with donations. How disgusing is that? What fools they make of us. Charity my ass.

St Rose provides as a percentage of its revenue provides the most of charity care by non profit corporations in Alameda-Contracosta county which is not reimbursed by public entities. It has become the dumping ground for uninsured patients by adjacent non profit healthcare districts . It is taking care of overflow of patients from Highland hospital because of over crowding in higland hospital . At $ 350,000 annual salary Mr Mahoney is the least paid CEO s in Alameda - Contracosta. Only way this hospital can survive without handouts is to change its mission statement and run like business. let the public and government deal with the safety net

To the poster who talked about San leandro hospital.....I agree San leandro hospital should be saved, but comparing St. Rose Hospital to San Leandro Hospital is comparing apples to oranges. Sorry, but it is. No community should lose a hospital, but St. Rose going under is a much bigger problem than San leandro going under.

which VP was layed off?
I thought Mahoney made over $450,000
Mahoney and his cronies need to go!!! It is because of them they are in the situation they are in. I agree with previous post, he is ALWAYS playing the blame game

Lets hope and pray Washington will come and bail our sorry a$$'s out.
They run a tight ship and a very successful one at that.
Bye Bye top brass

I agree with some of these posts,except the post about Mahoney's $350K salary. No one really knows the full compensation package that he recieves. St. Rose cares for patients that no other hospital wants. Our ER is full of alcoholics, drug addicts and psych patients, and I mean full. Between 9pm and 4am on any given night our ER looks like a chaotic mash unit. That's why Nancy Farber wants us to stay open, she doesn't want our patients sleeping in her lobby.

Instead of whining about who lied or misled others, let's look at the facts.

St Rose serves a very large number of uninsured or underinsured people in our community. Without St Rose, the surrounding hospitals will be inundated with this underserved patient population.

St Rose has the lowest cost per day for a any hospital in Alameda County. (A much "tighter ship" than Washington Hospital)

St Rose has the lowest reimbursement (revenue) per patient day in the county.

The Federal, State and County funds that should have been coming to St Rose for years to serve this population have not been routed appropriately.

St Rose will become a public hospital and Alameda County, Washington Township and Eden Township will work together to provide adequate funding to keep healthcare available for all citizens.

As an employee at St Rose this sucks and every day we are afraid of having the doors closed on us. We as staff members are trying our best to save money but at the same time we can't work for free. The board has made bad decisions and it has put us employees in a hard spot. We just need a partnership hopefully Washington Township will help us and we can work as a team on keeping the county safe.

previous post-I don't doubt your figures. St. Rose probably has the lowest operating cost per patient than area hospitals. But how long does a hospital continue to be underfunded before the admin. decides to pursue the revenue that you and others say St. Rose deserves? If it takes legal action to secure these federal, state and county funds than so be it. But as CEO, I believe, that becomes Mahoney's job and mission. To let the hospital spiral with these multiple events triggering the collapse, one can only say "it's your responsibility Mr. Mahony accept it and step down".

And that "yes sir mr mahoney" board and staff.

St. Rose Hospital is VITAL to the community and to Alameda County residents. It is a very low cost provider - much lower than any other Hospitals in the area. Most St. Rose employees and physicians are dedicated, hard working and committed. Even though costs are well managed overall, improvements can always be made. Unfortunately more drastic cuts won't close the deficits that exist and may have an impact on the quality of care provided.

Because of the population St. Rose serves, reimbursement for care is well below the cost of operation. This is a tragic reality of our current healthcare system. Hospitals with a "poor" payer mix don't get paid well and freestanding community hospitals, like St. Rose, don't have any leverage to negotiate reasonable rates from large insurance companies. Hospitals like St, Rose scramble for support from any and all sources of funds available to fill the gap. Unfortunately, these sources of funds have declined over the past few years, at the same time that millions in large capital investments have been required at St. Rose (retrofitting to meet earthquake codes, electronic medical records, facility improvements).

St. Rose needs partners to survive. Partners who recognize the VALUE that it provides to the community and partners who are willing to invest some time and money in its success. The leadership of the County, Washington Hospital, and the local districts will serve their constituencies well if they can find a solution that can adequately assist St. Rose until such time that our healthcare system adequately funds providers like St. Rose. I am certain that the cost of supporting and saving St. Rose will be much less than the costs of letting it fail.

The uncertainty that hangs over St. Rose now is fueling a downward spiral. Physicians and patients are less committed, which lowers the census and therefore lowers revenues. Unless a bold and significant solution is crafted, St. Rose will continue to struggle and decline. If a bold and significant solution IS crafted, and it provides funds to fill the gap, St. Rose could become a wonderful example of how leaders and politicians who really care, can save a good hospital and serve the community well. Please find a way.

Let's move forward...Michael Mahoney has resigned.

Now hopefully this will pave the way for a JPA and a brighter future.

Part of the problem is Washington healthcare district. Close to 20% of the underinsured , non pay patients. Alameda alliance and medical patients from Washington hospital district are shunted to St Rose hospital. Washington hospital wants to keep St Rose hospital open to be the dumping ground.It is also scared that Dr Prem Reddy of Prime health will take over the hospital. Dr Prem Reddy wanted to buy the hospital for $60 million and was willing to write the cheque without questions. Washington healthcare district is clear that it does not want to assume liabilities but wants to have control over St Rose through JPA . Follow this link for attorney general investigation into Washington hospital administrators salary http://www.beckershospitalreview.com/compensation-issues/california-attorney-general-to-review-public-hospital-administrator-salaries.html. Please see as to how St Rose compares to other non profits hospitals in the amount of Charity care provided http://www.contracostatimes.com/portlet/article/html/imageDisplay.jsp?contentItemRelationshipId=4035496
Please go to http://www.contracostatimes.com/news/ci_19178050 for details of CEO salaries

Hope new management can run this place. Time to get ride of all these people that are not needed. Have a number of directors, managers and supervisors that are not neccessary.

The only VP let go, Jeff Gruer, was one of a select few on the E Team with the vision, financial acumen, leadership skills, health care experience, dedication and passion to support the return of St. Rose to its role as a vital part of the health care system in Hayward and Alameda County. Mr. Gruer should be part of the solution. He is vital to a quick turn around!

Jeff Gruer was CLUELESS!!!! Anyone in management or if they had to ask him a question would know that...He was one of the many friends Mahoney has found a spot for that was not qualified! Let the clean up process begin! C suite and board will be the first out. Everyone should be very afraid especially Mahoney or old management supporters. If you do not roll with the change and change the old ways of management you might as well resign now too while you still have your dignity! If Mahoney was smart he would have done what he was asked last year after the HFS due diligence audit. He continues to deny deny deny until the end and still makes excuses!

Personal attacks on any of the staff who worked for Mr. Mahoney are not warranted. Mahoney was the CEO and responsible for the success or failure of St. Rose. Don't blame anyone else for that current situation at St. Rose.

They should really screen other members of the board, managers and supervisors from other departments. There's a lot of positions that administration created to get family members involved which is not needed.. Managers, supervisors, directors are ALL not necessary from the feedback their giving us in return. They're ALL LIERS just like Mahoney!!!

You think it's better here at Eden? How about the CEO creating jobs for his so called "gal pals" think of the queeen of eden - we all know who she is -- works a 5 hour week.

There's corruption everywhere and senior managers say nothing for fear of losing their own jobs and bonuses.

To: 3/17/12 @ 1:54pm

This is the venue to out the Queen of Eden. Let the press/media or anyone on this site do the dirty work and help fix the problems.

Tell us who it is and let us do our jobs!

My but so many of you are anxious to point fingers and yell 'off with their heads' after the media and some politicians make wild and unfounded statements. No one lied!
St. Rose is in trouble because financial information presented to the leadership and board was incorrect and validated by audited financial statements. The computer glitch was not self made but happened during the installation of mandated reforms. It was the glitch which brought the problems to light and the leadership and Board of St. Rose have been struggling to do everything in their power to keep St. Rose serving the community.
In fact St. Rose has never been paid appropriately for the care given to this community!
Don't throw stones until you know the facts.

To 3:26 pm

The facts are not so clear cause of all the lies made. Audits mean nothing. Witness Authur Andersen and Enron. Give me a break.

Tell us what Mike's exit package is.


Is it possible the Queen of Eden (The Gal Pal of the CEO) is Nadia Lockyer?

She would have access to loads of pain meds, has worked an average of 5 hours per week since being elected, and could use Eden's rehab center without being out of place in the hospital, and can continue to get paid her Supervisors Salary during rehab without taxpayers questioning the expense.

Could be -- sutter and David Bradley and Ed before him know about this. They've done nothing. What can the media do?

To the stones and facts poster-
The "mandated computer reforms" that you speak was not the problem. The problem was in the implementation and support. The IT department is horribly understaffed, one person doing 4 jobs. The system was designed and built to meet the needs of St. Rose, so kind of custom made, by the very undrstaffed individuals. The system fell apart due to the lack of monitoring. This was at the direction of the top administration. So the "glitch" was largely self made and unnoticed until it was too late.

As for the under reimbursement, This is not a new problem as you have noted. But neither the board or Mahoney has ever been able to campaign in order to receive the funds from the increased sales tax. Waiting until the hospital is on the brink is hardly "doing everything in their power".

Finally what's done is done, now is the time to look forward to the future and start anew. This does mean that the board needs to be replaced, they should all tender their resignations and at least stand by their guy, on the sidewalk.

This is new beginnings for st rose
It's like a breath of fresh air. I'm sure more cuts r coming let the games begin
No matter what Mahoney package is his legacy is tarnished!

When the IT department is run by a DINOSAUR, yes she is old as dirt, that is what you get! Every position has already been evaluated by the CTO who is now going to be the interim CEO. Hopefully he realizes who should be replaced...hopefully anyone in a management, director or C-Level position will need to reapply and qualifications be re-evaluated. Last year the first major step was done, the CFO and the Controller were replaced with Interim Consultants. They painted roses and pretty pictures for Mahoney and helped contribute to the lies. In the last year there has been a major overhaul in the department thus truth surfacing...If Mahoney didn't tell the truth since they were gone that was on him. This is no Enron when it came to our audit, it was done by an outside agency hired by Eden after St. Rose asked for money to make payroll.

Let's look at solutions instead of blame.

St. Rose is not the only one with "gal pals" or friends and family?

To "Dinosaur" poster-
Your are "CORRECT" but dirt just called me and is very insulted because dirt is much younger. However your pionts are well said...Michael Taylor is a large part of this problem and shouldn't be forgotten.

Yea that's right Michael Taylor left last year for SoCal and avioded the mess. It will be interesting to see what is done to remedy this situation.

What's even scarier is that Michael French, who was the Controller at St. Rose, now works as a consultant for the same company that Eden hired to do the audit last summer after receiving the money. He was also a contributor to the rainbow and roses era.

If you don't know the people or the job they have done first hand you should not be making momments about things you have no knowledge of.

St Rose needs a leader with a vision not one who hires an old crony and puts him in a VP position to which he is clueless. People in leadership roles should be qualified (demonstrate leadership skills, a people person, etc.) not just handed the job because she was a good RN.

Not sure who you are talking about but the only female is very qualified, knowledgable makes things happen. So get off your soap box on making comments about things you don't know about. Your comment has no merit as there is no male "him" that is an RN. Once again people are talking about things they have knowledge of.

# There are people with first hand working knowledge of St. Rose making comments on here. We should be making comments because this is our livelyhoods being talked about here. I say, with feet firmly planted on said soap box, that NO ONE has been making things happen at the hopital in recent years. If this were true we would not be in this postion would we?

I've said it before that the funding (federal, state, county) the hospital is supposed to be getting needs to be sought. This is the primary goal of all of the "qualified" people you speak of. If they cannot be a successful part of this endeavor then they need to step aside.

In every business there are people male and female that have risen to their highest level of incompetence (check Peter Principle). Sometimes this is with the help of those in a position who can appoint them. In any case the decisions made in the next few weeks are going to be the tea leaves that tell the future of St. Rose, lets hope they're good ones. #

Eden Medical Center CEO has done similar. Given females jobs they were not qualfied for. Has happened many times.

Congratulations to the East Bay Citizen. You have joined the ranks of the National Inquiror and such. I will go elsewhere for truth and real journalism.

THE NATIONAL ENQUIRER WAS NOMINATED FOR A PULITZER IN 2010! Thank you for the unintentional compliment.

* To the post of: March 19, 2012 9:25 PM

Regarding the last line of your post:

"Once again people are talking about things they have knowledge of."

It is obviously erroneous from your point of view however it is actually quite correct. Many of the postings here are from inside SRH and people DO know what they are talking about.

If you think that "the only female" really knows what she is doing then you have absolutely NO reliable information about the workings of the administration at St. Rose Hospital. You are less than clueless since you believe in a system that is bringing down this very hospital

"The only female" is a BIG part of what is wrong at St. Rose. When you appoint your friends to positions that they are not qualified for then you are not working in the best interest of the hospital. You are working in your own best interest.

Mahoney appointed his pals to positions for which they were unqualified and look how that's working for him AND St. Rose. Mahoney, Taylor, French, and "the only female" are ALL responsible for the downfall of St. Rose Hospital. The first three are gone and the rest of administration should resign. We need new a new administration that will be fair and honest. What a change that will be for all of us here at SRH.

Let's wait and see what happens when the books are completely opened for everyone to see what all those scoundrels have been up to!*

*To the post of: March 17, 2012 9:38 PM

Regarding: "When the IT department is run by a DINOSAUR, yes she is old as dirt,"

What REALLY happened to all those charges that were "lost" when the new system went live? If the reimbursement was never recovered due to the computer "glitch" then why wasn't the IT manager held responsible? Because St. Rose administration NEVER holds its managers responsible for anything.

That old prune (IT manager) needs to MOVE ON!*

I think Mahoney's crony mentioned in the March 19 posting is in HR. The RN is in ER.

There are a couple of cony RN's....Foundation and C-Suite.

Wouldn't be the first time he lied, "We've stopped digging the hole deeper," Mahoney said to the board last month. "Now its a matter of making sure we fill it in and hit our targets." In addition, the hospital is monitoring its cash flow on a daily basis, Mahoney said, and does not foresee any dire financial straits, at least, for the next few months.

This was posted on an article here http://www.ebcitizen.com/2011/12/eden-healthcare-district-says-st-rose.html

eden is the same marketing, er and foundation.

Excuse me! I as a St Rose employee have every right to comment on here. Yes this hospital is my main source of income,but why should that stop me from saying SOMETHING! I'm tired of being in the dark as to what the hell is going on around the hospital. Back to the postings ,Who really knows the whole 'glitch' story? I mean really? With that we start calling people 'old prunes'?? c'mon that is not only unprofessional,but also totally immature,I have a pretty good idea who posted that comment and all I have to say is,your not much better than she is,so you might want to take a glance in the mirror yourself. Many of you have been at the hospital longer than need be,so if you aren't making positive contributions,which obviously you aren't,then I recommend shutting your traps and backing the rest of the team.
Ok so Mahoney lied,the hospital is screwed..now what?
Two choices are clear..we either shut up and hang in there and see what happens or.. jump ship..but
Bashing employees and sh*t talking will get us nowhere..

To all you St. Rose & Eden Bashers who have taken this forum and used it as a personal vendetta against others: Bitter. Party of ____

Focus on the problem and not the people.

To the post of:

"March 22, 2012 12:50 PM Reply

Excuse me! I as a St Rose employee have every right to comment on here. Back to the postings, Who really knows the whole 'glitch' story? I mean really? With that we start calling people 'old prunes'?? "

The reason employees are being "bashed" is due to the years of FRUSTRATION at the lack of leadership and the thousands of excuses that have been given to cover for a host of inefficient, ineffective managers. There are a few decent managers at SRH but precious few. SRH directors and managers have not been taken to task in the past as they are now. It has been an oppressive environment and the employees have been without a voice all these years. Now there is a forum and the voices are being heard. Wake Up. It's called Free Speech!

Post 4:40pm People are the problem fool.

You are one of the do nothing employees we are talking about.

Post - March 22, 2012 12:50 PM

Why not name names? Why not identify who you really are as employees since you wanted for so long to speak? Why hide behind your computers? If you are going to assume who is saying what why not come out and accuse them and not say take a look in the mirror? Shouldn't you all be doing that?

when they closed SNF I thought things were going to look up that we would have a better cash flow,,,I guess not!

Now we have a meeting about the pension plans, I guess that will be next to go.

Does it really matter who says what?
Unfortunately by saying who you are you will be retaliated against.
I don't really care who is saying what, it's nice to know there are a lot of people with the same feelings I have had for a very long time.
Oh and by the way why haven't you identified yourself.

Anonymous 4:40 pm. OMG you are the queen herself the do nothing 5 hour a week employee.

Sexual favors party of two you and _____

Mike Mahoney has always been a problem.He ran St Rose like it was his personal fiefdom. Arbitrary decisions to show his power. He played on peoples fear of losing their job to increase his power. This included random firings that did not make sense and lying about his reasons to a board of directors. He developed a board of directors that rubber stamped his policies and always used his glib vocal abilities to distract from real issues. It would be prudent to check into some of his financial activities, -specifically, attempts to cook the books in order to make himself look successful and continue his $450000 salary.
From someone who knows

Closing the snf should have improved the cash flow, but when the manager and pet staff are simply shuffled off to NEW positions, then the purpose is kind of defeated. So post 440: again PEOPLE creating the problems....take your cliche's elsewhere.

she's been using that cliche for years that's how we know who she is.

we are so tired of her BS

I take it that most of you are stellar employees who have helped make both of these hospitals so "successful ". Letter face it, if you're not part of the solution, you're part of the problem. If you took all this hatred-spewing energy and turned it towards trying to make real changes in your workplace, you might actually be useful. Unless you happen to be disgruntled former employees who were let go for your lack of usefness in the first place.

So many experts here. I suppose you are all stellar employees who have made both hospitals so "successful." You know what they say, if you are not part of the solution, you're part of the problem. It would be more useful to turn this hateful energy into positive change. Or perhaps many of those lashing out are disgruntled ex-employees who lost their jobs because they were neither useful nor competent.

Maybe the problem is the same tired management with their same tired 31 year old solutions. Their same tired friends running things. Maybe both hospitals have boards or Sutter who have turned their heads away from the incompent leadership, maybe we're all just tired of it. Maybe we are writing here cause no one has listened for so long. At least here we are heard and have a voice.

I guess its much easier to rationalize away these postings with comments such as above, assuming they originate from disgruntled and or ex- employees who are useless and incompetent. In doing that, you have joined ranks with the E team, you must be reading from their playbook.

Too bad these comments aren't from disgruntled, ex- employees. Let's take a roll count: I'm not disgruntled, nor an ex- employee. I read these comments and sadly, they do indeed, speak of truths.

I am not disgruntled. I am an ex-employee but because of my own doing. I gave many years of service to St Rose,and that hospital is FULL of dedicated, loyal, hard working people who make personal sacrifices just to work there. By personal sacrifices, it means working FOR less, WITH less. That is the St Rose tune, and I don't think anyone who works there(aside from admin and most managers) would say they don't sing that tune- you have to if you want to survive there. I left because I couldn't afford to "sing the tune" anymore. I have been watching with sadness, how the leadership has broken this hospital.

Nor am I a disgruntled employee I have have work here many many years
I could have gone elsewhere like many others for better pay better benefits better retirement. It's with a heavy heart that I see the hospital in a downward spiral.
Hopefully it's not too late.

Look where this hospital is located. Do you really think that a person with full health care benefits is going to go there? HELL NO! Like a commenter said before, they get the Highland over flow, Which means they are not getting paid to treat most of their patients.This man had to do whatever had to be done to keep his hospital open. If that means lying, then so be it. I give the man credit for trying to provide a service for the community adn to keep his employess working.

I think the CTO, now interim CEO, acknowledges that this was an inevitable outcome for a hospital such as STR. However, it shouldn't have happened in the manner it did - one moment it's good, then the next, we can barely make payroll???? The downward spiral started long ago, and it seems that egos might have gotten in the way of us seeking handouts before it got this far. Let's not forget the other innocent victims - THE PATIENTS!

I agree most private insured pts do go elsewhere. We have always been referred to as highland south I wouldn't trade our pts for anything. For the most part they are very appreciative and thank full. We will never have the status as a Washington or Eden. Which is ok we do serve a purpose.
HOWEVER administration could have sought better funding for the uninsured.
As I recall didn't Mahoney reject a private insurance co recent contract.

It'll be even more difficult to attract pvt pts. When Eden opens their new facility

You will have plenty of patients when sutter closes the doors on SLH

St. Rose Hospital is the most economical in the bay area. Mahoney is the lowest paid CEO. The Volunteer Board eats and sleeps ways to keep the mission alive. Does anyone here appreciate their efforts?

they have failed. You have failed. Move on.

We need new leadership. what they did was not enough.

To the people who are posting that Mahoney is the " lowest paid CEO" .....what is your point? Do you feel sorry for him because he was paid a measly $350,000? Does this measly salary excuse him from running the place into the ground? Of COURSE he's the lowest paid! St. Rose generates the LEAST amount of money! It is ridiculous that this man gets to abandon the ship he sunk with a hefty sum of money and a party to boot. All the kiss-asses will be there boo-hooing it. The phoniness is nauseating. Let's continue getting rid of friends of friends who were hired and do nothing all day. We don't need a "Physician Training Expert" for the crappy computer system and we don't need a "Customer Service" manager writing cutesy memos on what words are "rose words" and what words are "thorn" words. We are not in kindergarten.

OMG please don't send that idiot over to eden, we've already got that rah rah shit here and it's a big failure.

It's always the well paid and do nothings that go around preaching that crap. They should be happy, they work a shortened week, get the big salary and bonus.

I'd be happier if it were me.

After reading all these posts, all I can say it is so sad. I believe that there are many legitimate comments from highly dedicated people working hard on the front lines. You may see things more clearly than some of those who lead. It was and is this dedication that kept St. Rose going as long as it has and hopefully will continue. That being said, is it possible that many things came together to create the perfect storm.
1. Large loan
2. 5th floor expansion opening in a downturned economy.
3. Bad economy since 2008. Many job losses in the area resulting in patients who would normally be insured no longer contributing to the + side of the equation but joining the under insured/no insurance taxing the hospitals revenues even more.
4. Lastly, hindsight 20/20. Some decisions could have been made differently and bought the hospital some more time, but the fact remains the patient mix does not bring in the revenue it needs to serve them.
Solution is a higher percentage of paying patients to off set this. or secure more funding to pay for it. should have seen it coming? Probably, but it looks like a case of the compound effect reaching its tipping point.

In the end it is still a noble cause and you people who stand on the front line and serve this community are heroes.
I pray for St, Rose to make it.

Thank you for the above kind words regarding the "front-liners". We know who they are, and who they are not. Unfortunately, why are all the decisions made by those who don't have a clue?????
I pray for St Rose too because we sure have dedicated and committed ourselves to this hospital and the community it serves.

Did Jeff Gruer write this?? this person is not qualified to do his job. He was in the food business(a bakery)!!

The truth is Micheal French took most of the money. He did this by authorizing the purchasing of equipment that never materialized but went into his pocket. He also got kickbacks for equimpment that was really purchased. He authorized checks for non-existent employees that ended up in his personal bank account. How about the "rebate"on computer software? Where did that money go?

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