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Trustee: Hospital offer not beneficial

March 13, 2007

McNamara

A proposal to hand over a Detroit hospital to MSU's College of Osteopathic Medicine should not be considered by university officials, one MSU trustee said.

Trustee Colleen McNamara blasted St. John Health System's offer to give MSU its Detroit Riverview Hospital because of its debt.

"I cannot see MSU getting involved with Riverview at all," she said. "From my standpoint, I wouldn't consider it.

"It just doesn't match our vision of where our college should be. I don't see any good purpose to sit down and pretend Riverview is in the running."

Last year, Detroit Riverview Hospital provided $20 million in uncompensated care. If MSU accepts the offer, the hospital would become a state-owned institution that would receive federal money — an estimated $14 million annually.

This money would alleviate some of the hospital's debt. MSU would pay St. John Health System, a group of nine Detroit-area hospitals, to continue managing the facility.

"For us to take on a hospital that has as many issues as they have is so indicative," McNamara said. "No one wants that hospital."

St. John Health System officials declined to comment Monday.

The proposal came in February as the college searches for a location to construct a satellite campus in eastern Michigan. The offer could increase the chances that St. John Health System will become the school's primary choice for a new teaching facility in Detroit.

Trustee Dorothy Gonzales said the MSU Board of Trustees needs to continue discussing the offer before she makes up her mind.

"What are the pluses and minuses? What's best for our constituents who need health care?" Gonzales said. "The bottom line is what's best for our clientele, the best service delivery that's going to help individuals when they need it.

"It's like anything else, you have to do the As, Bs and Cs and come out with some conclusion — … Rome wasn't built in a day."

But McNamara said there isn't anything else to discuss.

"Why are we encouraging this situation when it's not going to happen," she said. "There's a lot of downside of playing with them and toying them along. We should just make sure that a relationship between Riverview and Michigan State isn't going to happen."

Last month, Trustee Donald Nugent said a university hospital isn't necessary because medical students already study at Michigan hospitals.

He said while the proposal might benefit students, picking up "negative liability" with the hospital creates a situation with "unique pluses and negatives."

Kristi Jourdan can be reached at jourdank@msu.edu.

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