Board Chair Report: CEO Performance Reviewed At October Board Meeting

October 10, 2017

The annual review of Hospital CEO Kelly Mather was the main subject at last week’s board meeting. Each year the board reviews CEO performance and determines whether the CEO met specific objectives set the previous year to qualify for the bonus called for in her contract. This year her contract also was up for renewal.

The board believes Kelly Mather has done an outstanding job of turning around the Hospital and improving it every year of her tenure, doing so during a time when many small hospitals in the country are failing. 

In the past year, she met three of the six performance objectives identified in her contract and narrowly missed meeting the goals on the other three. Importantly, the financial objective was achieved for the second year in a row. She also received strong endorsement of her leadership in the CEO assessment survey completed by board members, the Chief of Medical Staff, and the nine senior staff members who report to her.

According to the terms of her contract, this earned a bonus of $34,791. The incentive performance payment is determined each year based on her reaching new goals and objectives. The board also approved renewal of her contract for three years, believing that to not do so and risk losing her at this challenging time in health care would be a major mistake.

Her accomplishments of the past year were many and included increasing operating revenues by $1.8 million to $57.3 million; ending the fiscal year at 3.6 percent EBIDA which was better than budget; increasing the number of surgeries by 17 percent and outpatient gross revenue by six percent over prior year; and bringing in routine capital expenditures at 65 percent less than planned. The Hospital also ended the year with a $1.7 million increase in cash and Accounts Payable under 45 days.

Despite this financial progress, it’s important to note that the parcel tax, which was renewed with an increase this year, remains critical to the continued operation of the Hospital, compensating for reduced payments by government payers, especially Medicare which insures more than half of all residents using Hospital services.

I should also point out that her proposed salary increase of three percent, along with that of the entire staff, is contingent on the Hospital’s financial status at the end of the calendar year. While her contract was extended, annual salary increases are not guaranteed. 

Details about the CEO review, and the metrics involved, are available in the October board packet which can be found here.

County Department of Health Report

The board heard a report from Sonoma County Department of Health Services Director Barbie Robinson. She shared the news that the Department received the 2017 Health Department Of The Year award from the National Association of City and County Health Officials, and in the past year, Sonoma County was ranked the sixth healthiest county in California by the Robert Wood Johnson Foundation.

Ms. Robinson provided updates on the impressive work the Department is doing to encourage collaboration in dealing with public health issues in our county, especially those affecting our most vulnerable populations. This includes getting the most vulnerable people in the county into the safety net, and encouraging greater wellbeing and strengthened self-sufficiency.

She also spoke about the Whole Person Care Project. This looks at individuals who are utilizing services at any part of the continuum of care around mental health issues and disorders. This concept project will first identify the most vulnerable and look at how they are evaluated and the different strategies of how their needs are addressed, then scale that up.

Performance Improvement Fair

I’d like to remind the community that the Hospital’s focus on quality care, patient safety and improved efficiencies will be showcased in the annual Sonoma Valley Hospital Performance Improvement Fair to be held Tuesday, October 17 and Wednesday, October 18 from 8:00 am till 2:30 pm in the Hospital’s Administrative Conference Room (next to Hospital Administration offices). The community is invited to attend.

The event, now in its fourth year, is organized by the Hospital’s Quality Department and the District’s Quality Committee to recognize initiatives developed by Hospital staff, departments, and multidisciplinary teams that have identified opportunities for improving Hospital performance at many levels.

This year’s PI Fair showcases 15 projects and staff members will be available to answer questions and discuss the projects.

In closing, let me remind you that board meetings are open and public comment is welcome. Most board meetings are streamed live on our local cable station, SVTV, with recordings of past meetings available for viewing. The next board meeting is scheduled for November 2, 2017, at 6:00 pm at the Community Meeting Room, 177 First St. West, in downtown Sonoma.

Sincerely,

Jane

Jane Hirsch, RN, MS
Chair of the SVHCD Board of Directors