Bad for your health - both fiscal and physical?
Folks keep asking : "What does the take down of a community hospital [link] in North Carolina have to do with our rampant credit union merger mania - and the SAFE/Boeing merger-murk?"
Here, check out this interview from local WRAL-TV [link]. First point is that prices rise, competition declines after mergers. The reporter's comment on the difficulty of getting direct answers 'beyond the PR-speak and beating around the bush responses' sounds familiar; and then the interview with an unconvincing CEO seals the comparison, don't you think?
Won't go back over the controversy which has erupted with our Governor (a "D") and State Treasure (an "R") critiquing the deal and the "slip it by sneak tactics" of the WakeMed Boarsd [link]. But you should know that the outcry has prompted a 90-day pause in the vote and major improvements "in the deal", amounting to over $2.2 billion in greater committed financial benefits to Wake County and its' citizens. But in the meantime, WakeMed still has lost its chief operating officer and chief physician exec, who have jumped ship.
Much like the SAFE/Boeing merger, it was very clear from the start that the WakeMed merger was a bad deal for the owners. Shinning a little media light and political heat on the merger-murk has appeared to stampede several cockroach-crazy assumptions put forth in the original proposal.
SAFE members and Sacramento would certainly benefit from a pause, much greater discussion, and a far better deal. Someone needs to turn on the lights and turn up the heat in California!
✔ The vote on WakeMed is scheduled for 2:00 pom today! Stay tuned.
From Wake Commissioner Vickie Adams:
ReplyDelete"After much consideration and prayer, I intend to vote no on the proposed amendment to the transfer agreement that would allow WakeMed to move forward in becoming part of Atrium Health. "
'In the very short time I've had with the documents, it's not clear to me that the changes address the concerns Wake County residents have about the substance of the agreement."
" I am very concerned about costs increasing if WakeMed merges with Atrium. I don't have confidence that amending the transfer agreement in this way won't directly lead to increased health care cost"
."I received the new documents on Thursday night at the same time as the public and the media. These are complicated legal documents that require time to review and discuss together as a County Commission, and for us to engage with questions from the public."
" This timeline doesn't let up do either of those things. I spoke out on this issue in May because the process felt rushed and undemocratic, and I feel the same about where we stand today."
" I'm just not comfortable being part of setting a precedent for rushed, undemocratic decision making in Wake County. I ran for County Commission on a commitment to good governance, and this is not good governance. "
As you probably know, most "non-profits" like WakeMed and SAFE CU are required by the IRS to file annual tax returns (called 990-T's), despite being "tax-exempt"
ReplyDeleteA look at WakeMed's 990 reveals that the hospital owns @ $2.25 billion in land, buildings and equipment which will be given free of charge to the proposed merger partner Atrium.
That $2.25 billion was paid for by the citizens of Wake County over the last 65 years the hospital has operated. It's completely crazy ("cockroach crazy') to give away multiple billions in real $$$ value in exchange for ambiguous future promises.
Sounds about as negligent as giving away a multi-billion financial institution - and $400+ million in member-owned cash reserves - for nada/not much in California!
See the similarity?
I rarely agree with you, but I do not see the value the Wake Med merger. Back office local jobs will be lost due to duplicity with existing Atrium operations. Also, with consolidation comes less competition which leads to higher prices. No thanks to higher prices.
ReplyDeleteI don't think people know the value of things ...
ReplyDeleteAfraid the fat lady may be stepping up to the mic
ReplyDelete