This week marks the
end of Catholic healthcare in our region. With the purchase of St. Joseph’s
Medical Center by a non-denominational hospital company, a 148 year legacy of
service is finished. I spent three years in Catholic healthcare in Boston and
that company, Caritas Christi, is also a thing of the past, having been
purchased by venture capitalists.
The reality is that
we have too much hospital capacity in Baltimore. The owners of St. Joseph’s,
Catholic Health Initiatives (CHI) of Denver, Colorado, had only one hospital in
the area and it was losing a lot of money. CHI is a very large company with
$9.65 billion in annual operating revenues but after a number of years of
losing money in Towson, they decided to divest themselves of St. Joseph’s. CHI
is a mission-driven organization and they are also realists. It appears that the
company could only rationalize losing millions if they could prove that there
was an unmet need. With all of the excess hospital beds in Baltimore, they
could not justify the need so they got out. Now, a smaller hospital company is
the new owner.
What a long way from
the reality found by the Sisters of St. Francis of Philadelphia in 1864 when
Mrs. Catherine Eberhard donated three row houses on North Caroline Street to be
used for the sick and infirm. In that era, there was not much available to cure
disease. Hospitals were started as a place to care for the sick who were also
poor. Those with means were cared for in their homes by their families. The
Sisters of St. Francis and others who joined with them in this noble mission
dedicated themselves to helping others in their time of need.
In 1870, the State approved the Act of Incorporation
to create the Saint Joseph German Hospital and in 1872 a new facility
with that name opened at Caroline and Oliver Streets in Baltimore City. During
the 20th Century, with the advances of modern medicine, the hospital
grew and changed and in 1965 (the year of the opening of GBMC), St.
Joseph’s moved to Towson. In 1981, the hospital became a part of the Franciscan
Health System and they began doing open heart surgery the next year. In 1996,
St. Joseph’s became a part of CHI
and continued their growth in heart and orthopedic procedures.
Everyone in Baltimore knows what
happened next with the governmental investigation and the accusations of
unnecessary procedures. What has not
been discussed is how the hard-working nurses, doctors, and other clinicians
kept serving patients. Unfortunately for them, the business model that St.
Joseph’s had chosen is hard to make work with so many hospitals pursuing the
same model, and the American people and American businesses are desperate for a
new model. You see, building a lot of hospital beds and waiting for people to
get sick to use them, or only providing a lot of elective procedures because
that is where you make the money, has led us to our national predicament where
we are bankrupting our federal government, our state government and making it
difficult for businesses to provide health insurance to their people. The new
model, a system of health care that works to keep people healthy and
limits the need for patients with chronic disease to be admitted to the
hospital, requires different capacities and capabilities.
The biggest capacity that is required
of the new model is primary care. In the Greater
Baltimore Health Alliance, (our system’s Accountable Care Organization) we
now have close to 100 primary care providers, many of whom are working in Level
3 patient centered medical homes with care managers, extended office hours, and
a fully functioning patient portal, among other things, to keep people healthy.
None of these things are focused on by hospital companies using the old model,
like St. Joseph’s.
It is sad to see the end of the legacy
of the dedicated Sisters of St. Francis and all of the hard working physicians,
nurses, and others who worked with them on a mission of service to others. We
know however, that their spirit lives on in those who embrace the new model of
service and who are willing to let go of the old model where filling hospital
beds and focusing on services that make money were acceptable endpoints in and
of themselves.