By Raanan Geberer
Brooklyn Daily Eagle
The discussion, sponsored by Crain’s New York Business, included four panelists. They were the aforementioned Stephen Berger, chairman of Odyssey Investment Partners and head of the state Health Department’s recent Brooklyn Task Force; Dr. Linda Brady, president and CEO of Kingsbrook Jewish Medical Center; Pamela Brier, president and CEO of Maimonides Medical Center; and Kenneth Raske, president of the Greater New York Hospital Association.
Brier and Brady were chosen for the panel because the hospitals they head are relatively financially healthy compared to several others in the borough. For example, Brier told the audience that Maimonides has “been in the black every year for 15 years.”
Once inside the Marriott, tables were arranged by institution — there were tables for individual hospitals, unions, companies that provide goods and services to hospitals, politicians, and more.
Calling the city’s hospital system a “big-box network,” he said it no longer works. He called for the eventual replacement of this “provider-based system” with a “client-based system.” He has called for strengthening the borough’s secondary healthcare system — clinics, private physicians, labs, nutritionists — so that patients only go to the hospital when they need to.
One of the commission’s proposals that seemed to draw the most flak was the idea of bringing in private-sector, for-profit companies to help manage hospitals — something that is a reality in most other states.
Raske said involving the private sector in healthcare is “not new,” naming several partnerships on the clinic and laboratory level. However, he said, if private companies are brought in for a larger role, “these would probably be publicly traded, investor-owned companies.” They would almost certainly choose to manage hospitals that are already doing well, leaving hospitals in low-income areas out in the cold again.
Berger clarified that although his task force believes the hospital system is “over-bedded” and wants to reduce the number of beds, this will not result in a shutdown of any one hospital. It will only be done in cooperation with the hospitals themselves, he said.
During the question-and-answer period, an audience member asked what role organized labor would have in this reorganization process. Brier answered that the unions understand that management and labor are “in this together.” Brady added, however, that as things change, “a different set of skills” may be needed among staffers.
He told those assembled at the Marriott that he had recently met with several construction union officials, and they agreed to lobby the state for incentives and rebates for hospital-building construction. While commercial and residential buildings readily receive such incentives, he said, hospital buildings don’t.
“Did you ever hear of any business earning 65 cents on the dollar?” she asked. Similarly, an audience member wondered whether the institution he worked for would ever see “a 5 to 6 percent profit margin.”