Steve Russo HFS: What happened to this report? And more KVHD conundrums including the much awaited strategic planning "plan"

Money for nothing

Down the rabbit hole, or on this blog, I have collected decades worth of evidence showing how the Kern Valley Healthcare District has mishandled it's business "affairs" over the last 20 plus years.

Though it began for me, as I have described in the summary, as a case of elder abuse, and mishandling of law enforcement to protect the patients living in the KVHD nursing center, it turned into a more complex case the California Department of Justice simply did not want to handle.

That was only the beginning, as money which is now so scarce in these parts, (rural blight) went into the pockets of those who had contributed to the downfall of the small hospital and Rural Health clinic.

Contractors: Bernie and his PR company got 60K dollars for doing something undisclosed.

HFS a financial firm who put together a plan to aid the hospital in default with creditor, insurer, Cal Mtg, and help pull them out of the ditch they are stuck in from years of imprudent spending, was a 75K dollar boondoggle as board members complained that HFS had left holes KVHD had to repair in the report.

It was reported only after that meeting in December 2010, that HFS gave KVHD back 40K dollars for, what we can only assume, as board member, Dr. Robert Gross DO, said was a lot of mistakes.

"The finance committee found a lot of holes-a lot of mistakes, large mistakes," Gross told the audience about the report.

He added, which I think is a good line, but not pertaining to HFS, more like KVHD: "So do we really want to trust them with planning our financial future, when they had giant holes and we paid top dollar for that?"

Again, what did they pay for? And why did they, meaning KVHD and Cal Mtg., not take action against HFS for what they called a report full of mistakes in public and on film?

I have the report, or maybe even "a" report and I would like to know what parts are the mistakes and how did KVHD who hand picked HFS to do this "operations report" as the hospital was floating checks, and not checking to see if they were still afloat, while they went into default.

Strategic planning...more unnecessary costs?

The CFO, Chet Beedle, and CEO, Tim McGlew, both supported the hiring of a strategic planning group. However, the survey which cost the hospital 15K dollars, has yet to be unveiled after 8 months, and those who attended the sessions were directed to only make inquiries which were positive, according to owner, Michael Philps.

However, Beedle's resume, suggests, or really states that he is an "expert in strategic planning for rural healthcare districts." Again, this makes no sense, to spend money when you already have hired personnel who does this sort of project...and is an expert.

And there have been some really intensive plans created before this one, at a cost too, and yet most of the information gathered never was utilized, therefore more wasted time and money.

When asked how it will be different this time around, Philps answered that his company suggests that the board address the planning issues from his survey at every meeting.

We have yet to even see the first draft.

When the selection process took place last year, Board member Kay Knight, asked why HFS was not in the running to do the planning and she asked the CEO if he had talked to them about reducing the costs for a strategic makeover.

McGlew reported he has spoken to HFS about their costs, which were submitted at 20K dollars, and the two other players, Focus and Execute, bid 13K dollars, while Philps wanted 15K dollars.

The contract went to Philps, as McGlew said he spoke to other CEO's who have used that particular firm. But his reason was the money: grant money.

"Their figure was 15K but Focus and Execute was 13K-so but again these guys went out to find grant monies to offset some of these costs..." McGlew explained.

What is wrong with this picture?

First, KVHD had a default with Cal Mtg. last summer, or actually since the "80's" but Cal Mtg. gave the sinking hospital the choice of the company that would do another in a long line of reports costing hundreds of thousands of dollars, and they chose HFS.

HFS we were told would report to the community about their findings, but this never happened. Instead, at the December 2010 KVHD board meeting, we found out from Dr. Robert Gross that HFS made "mistakes."

The HFS contract we were told cost 75K dollars, and that payment was coming from a line of credit backed by Cal mtg. from West America Bank.

Yet, somehow, HFS, was selected to be in the running for the strategic planning contract. Why would you even consider a company that is supposed to have made "large mistakes?" (Dr. Gross asked that question and I think it was a worthy one)

How many wishes were granted?

Then you have the issue of Philps and the grant money they grabbed to help KVHD offset costs, said the top administrator. First, at the meeting McGlew reported Philps had obtained the grant money themselves.

In a phone interview, I congratulated Mr. Philps on garnering grant money to help KVHD save a few dollars on their latest planning session. Then I asked him exactly how he went about the process with this grant money and if the other companies were also doing this.

Philps answered most of my questions, but would not answer that particular question and directed me to speak with McGlew. I told him I got an answer from McGlew, and he said they gave over their annual 9K dollar SHIP grant monies: These are monies that go to the hospital, not to firms vying for a contract or job.

At the July 2011 meeting, only a few weeks ago, we heard that finally, there will be a presentation with the data gathered by Philps. But last year we were told we would be seeing the HFS report too, and that never happened.

Will KVHD have to fill in the "holes" in the strategic planning report too? What if the report is not what they want us to hear, can we get our money back such as with HFS?

Steve Russo of HFS was asked about the problems with the KVHD report, but offered no explanation.

But then nobody could offer a lucid explanation as to why HFS was not fired and another company brought in to finish this operations analysis. I don't understand why KVHD was fixing the report for another company, especially when they were in default caused by their own mistakes, as the company was to provide an objective analysis.

Mind boggling isn't it?

KVHD bail out "Measure G" gets an "F" from the community: what you can do

Kern Valley Healthcare District Board of "the directionless" meeting

We have now concluded the negative, threatening campaign coming from our hospital administrators and board members. Measure G, did not pass, and was split down the middle as I suspected it would.

Tonight, we will likely be threatened once again with either promises of work that was supposed to have been done, or another negative posture. I suspect those who tried to tap your funds for a supposed ER which we could have had with "Obama stimulus" monies called ARRA, will be trying to regain your confidence.

Obviously, there is a great divide in this valley which could become even more of a chasm if I were to release ALL my information.

To let you know, my goals have been to rid this hospital of greed, fraud, waste, lying, law breaking, and give it back to the public.

It's your time now to decide.

As I have been alluding to for some time now there are answers and the first one MUST be started immediately.

That's where all of you who voted (for either side) can now help do what is really necessary.

Here is what has to happen: we have to fight Cal Mtg.

Now Mr. McGlew and Mr. Beedle, CEO and CFO, are not even living in this community and will NOT risk their high paying jobs to do this.

You must insist that they do.

We must have a special meeting to bring in a specialist in these matters, not the embarrassment that took place at the July special meeting where they tried to get Measure G on the ballot without doing it at the normal, monthly get together, and on our Youtube site you can see they called this poor attorney a "bankruptcy" specialist.

She knew nothing of bankruptcy and it may not be necessary at all as Cal Mtg. has crossed many lines and has their own issues to hide...but not from me.

Tonight, is the night where we decide to either come together or we take it to the limit and I do what I don't want to do: purge.

So, it's time to think about this, and not much time, as Cal Mtg. is here...

If you are too afraid to be seen as "opposition" say you're an employee or someone who has a contract with the hospital, you can write to Jean Fuller or even the scamp, Jerry Brown our new Governor and former Attorney General and demand they help.

Last I heard after I left QAB during their private Measure G radio program I asked to be involved in, we are now freezing salaries, cutting staff and closing the pharmacy (which by the way can't make money, but the Drug Store in Kernville seems to be doing fine and has no excuses).

Chet Beedle lied directly to the audience member last month at the general meeting that we were bringing in "telepsychiatry" to the skilled nursing facility which would have "stopped" the madness which occurred under Beedle's staffing cuts in 2005 to 2007.

Beedle cut staff and then brought on a company called "Sycamore Management" which cost us millions which could have made our "old debt" payment.

Would a prudent or professional person think or behave that way? Or a board that doesn't question or research beyond what they are told by their administrators?

And there is NO compensation by Medi-cal for psychiatry in the SNF. In fact, they are not even requiring it or funding it. Lies and more lies. There's more to this, but again, this is now about coming together to fight our mutual enemy: Waste and Cal Mtg.

I will attend the meeting, and if this community can show support, we can get rid of the debt, but we must do it NOW.

No longer take them at their word, those who have risen to power at the hospital, make them prove it.

First step is to consult with a specialist in negotiation with such tough enemies as Cal Mtg.

Rid this debt, get the community back on the inside, unafraid, and we can have a bright future.

Today you vote again, for unity or more division. Vote carefully, it's too important not to. We must fight as a team to rid ourselves of the debt.

Regarding the candidate race, thank you all who had the courage and compassion to run, but I also expect to see you at the meeting as a board member only has so much sway and is restricted to much degree.

Why else would I have not run for the board?

David Derr, retired firefighter, better have his hose and shovel and Kathryn Knight needs to stand strong against the forces that keep us weak and prone to mistakes.

It's us on the outside with the power. We just haven't used it. The media in this valley have colluded to keep you from knowing the truth, and what a conflict of interest with QAB, CARE Ambulance, and Bob Jamison board member, former CEO Pam Ott, defender.

That's another issue I will deal with personally.

Your job as a community is put aside any ego, fear, or judgment and begin to take your hospital back where it belongs: to those who volunteered their time to paint the cafeteria, provide labor and materials for free. That's what we call serving.

Serving yourself is what has happened here though, and it's now over and done. No matter what threats or anything of that nature occur, I will not stop, I simply think it's best understood what needs to be done here and right now, tonight.

While our CEO was getting his raise, and our current Chairwoman, Victoria Alwin, diminished a consideration of not giving him an advance on tangible success, our employees and community are being threatened.

It's time. You make the call. Force them to do what is right: FIGHT CAL MTG.

All we need is that consultation and the process begins...You have the power. Thanks to all. Laura Hart