The High Cost of Governance Dysfunction in TX Community Hospitals

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Presented by: Jeff Sommer and Doug Johnson, Stroudwater Associates

In communities across the country, local newspapers cover disputes between county governments, hospital districts that may own the hospital’s assets and operations, and the 501(c)(3) hospital boards that lease these properties. These stories read like a soap-opera script with tales of malfeasance (founded or not), broken promises, and misbehavior abounding.

Once the relationship between a hospital board (lessee) and the county or district board (lessor) gets to the point of dysfunction, great damage has been inflicted on the hospital. A critical community resource can be significantly harmed by such circumstances. In an adversarial atmosphere, physicians and staff are difficult to recruit and retain. Board and management time is consumed with responding to the latest charge and counter charge. Stated simply, attention and resources shift from sustaining the mission and advancing the vision of the health care system to addressing squabbles and disagreements.

These difficulties are occurring at a time of unique challenge for hospitals nationally and in Texas. Moving beyond such dysfunction can be critical to the future success of your hospital.

This webinar addresses the high cost of governance dysfunction in Texas community hospitals and describes critical success factors for improving a troubled County/District and hospital board relationship.


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