Differing prescriptions keep San Antonio hospitals waiting

September 16, 2002

Differing prescriptions keep
San Antonio hospitals waiting
___By Marv Knox
___Editor
___SAN ANTONIO--The future of Baptist Health System of San Antonio awaits decisions by the system's trustees and the Baptist General Convention of Texas' Human Welfare Coordinating Board, following a long round of talks.
___Leaders of both groups insist they want the solution that's best for San Antonio.
___Baptist Health System, which operates five hospitals, has struggled financially for a couple of years. It is owned by the BGCT, which elects its trustees.
___Those trustees have endorsed a proposed sale of the system to for-profit Vanguard Health Systems of Nashville, Tenn. But the Human Welfare Coordinating Board has expressed a strong preference to keep the hospital chain in the BGCT family, preferring a merger with Valley Baptist Health System in Harlingen.
___BHS trustees and the Human Welfare Coordinating Board met together for almost five hours Sept. 10. In that meeting, Vanguard officials presented details of the proposed sale.
___According to the San Antonio Express-News, the Vanguard proposal includes paying off $174 million in long-term debt, funding $28 million in debt that is due next year, spending $200 million on the system during the next six years and providing "tens of millions of dollars" to create a new non-profit organization called Baptist Health & Family Services. The last part of the deal would involve a merger with the BGCT's Baptist Child & Family Services, also based in San Antonio.
___The Human Welfare Coordinating Board met for three more hours to consider the proposal before announcing it needed more time. It is expected to reconvene by conference call sometime the week of Sept. 16.
___The Human Welfare Coordinating Board is known to back a proposal offered by Valley Baptist Health System, also owned by the BGCT with trustees selected by the convention.
___Valley Baptist's offer includes paying off immediate debt and continuing to pay on long-term low-interest debt, the Express-News reported. Valley Baptist is to commit $60 million over three years, including $50 million the first year.
___In addition, Valley Baptist would invest additional funds generated from operations, noted BGCT spokesperson Becky Bridges. Valley Baptist also has enlisted the services of a leading health care turn-around manager, she added.
___The BHS board met again Sept. 11 and then talked with BGCT Executive Director Charles Wade and BGCT Institutional Ministries Coordinator Keith Bruce, staff leader of the Human Welfare Coordinating Board.
___Afterward, Wade, Bruce and BHS board Chairman Earl Cutler expressed guarded optimism.
___"I'm not interested in making any statement that prejudges where things might go. We simply don't know yet," said Cutler, a lay member of Shearer Hills Baptist Church in San Antonio.
___"We've made our recommendations to the Human Welfare Coordinating Board regarding Vanguard. We understand the BGCT's concerns, and we're most probably going to listen to Valley Baptist and see if there's anything they are able to do to address our concerns with their offer."
___Cutler noted the BHS board "didn't start out to sell this system to a for-profit organization." More than a year ago, the BHS board initiated merger talks with Christus Santa Rosa Health Care, a Catholic hospital system with facilities in San Antonio. After those discussions dissolved, the board began talking to Vanguard.
___"This board wants to do what's best for healthcare in San Antonio," Cutler said. "I think Dr. Wade understands and supports that. I also understand he wants to preserve the institution under the BGCT's direction."
___Wade echoed both those sentiments.
___"Our priority is to make sure we provide quality health care to the people of San Antonio and also to keep the Baptist General Convention of Texas involved in the lives of the people of San Antonio," he stressed. "We're not going to turn our backs on San Antonio.
___"We want to provide what is needed for San Antonio, but we also have said we believe that if a faith-based Baptist answer can be achieved, it ought to be given priority. If we can solve the problem out of our Baptist family, we ought to do that."
___In addition to Valley Baptist Health System, the presidents of the BGCT's five other health care systems have "stepped forward" to provide guidance and support to "make the best solution possible," he said.
___"The ministry of Christian health care grows out of our loyalty to Jesus Christ and his compassion for people," Wade said. "We are not satisfied with anything less than first-rate health care in any of our hospitals, and we are committed to achieving that once again in San Antonio.
___"We care too much about San Antonio to turn our backs and walk away."
___Bruce praised the BHS board for its work in adverse circumstances. "They have worked very hard trying to find a partner," he said, singling out Cutler for praise for the untold hours he has given to the cause.
___"We feel good that God is going to guide us through the process," Bruce said. "The priority for everyone is what's best for San Antonio."
___"I am cautiously optimistic a workable solution can be achieved," Wade added.
___"We're still working," Cutler noted. "We're not ready to draw a hard line in the sand and say, 'This is it.' ...
___"My concern is that we stay positive. Hopefully, by this time next week, we'll know a lot more."

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