<div id="subtitle">Reid, Rogers talk about why public hospitalÕs business model is failing, and why now is the right time to fix it</div><div><p> Rory Reid and Jim Rogers are hoping the states struggling medical school can help transform Clark Countys failing public hospital into a world-class teaching hospital akin to what can be found at Johns Hopkins University. Because Reid, the Clark County Commission chairman and Democratic gubernatorial candidate, has been on the board of the scandal-plagued University Medical Center for seven years, opponents say he should have done more to fix the problems at UMC before now. The hospital has been in the red for years and lost $71 million in the fiscal year that ended June 30. Recently, Reid announced that Rogers, former chancellor of the Nevada System of Higher Education, would lead the effort to transform UMC. Rogers owns Sunbelt Communications, which operates 16 television affiliates in five states, including KVBC Channel 3 in Las Vegas. He is driven to produce results, and he is not afraid of stepping on toes.</p><p> As the Suns health care reporter, I joined radio producer Adam Burke in interviewing Reid and Rogers this week on KNPR 88.9-FMs State of Nevada program.</p><p>The following is a transcript of that interview, condensed and edited for clarity.</p><p>Why so many problems at UMC?</p><p>Reid: UMCs problems are an expression of problems with the health care delivery system in general. Most of the charity care in Clark County occurs at UMC, which benefits the private hospitals. This is a community problem, not UMCs problem. I think we need to stand up and say that UMCs business model does not work. We need to do something different.</p><p>What do you mean when you say you want to turn UMC into a teaching hospital?</p><p>Reid: Teaching occurs at UMC, but its not a teaching hospital. Johns Hopkins University is the largest employer in Maryland. It has become an enterprise that attracts millions of research and development dollars and private investment. Its an engine for economic diversification. Why cant we do that? The answer is that we can. It will be difficult. It will take a lot of work. But that should be our goal.</p><p>The top 20 hospitals in the country use a version of the academic model. If we create an academic teaching hospital, we can access the philanthropic community, and it will become a public-private partnership that will take the burden off the taxpayer and benefit all of us.</p><p>How will you achieve this?</p><p>Reid: Jim Rogers is a tenacious, passionate and forward-thinking advocate for education and health care. I was happy he was able to give his time, and we came together to do this with the Nevada System of Higher Education.</p><p>Rogers: You cant just look at the hospital and say: Wow, its losing money, there must be something terrible going on. A third of the patients are uninsured. You cant double the price you charge them because its still nothing.</p><p>We need to grow it from the inside. The University of Nevada School of Medicine does teaching in Reno and clinical work here in Las Vegas. In other states, the medical schools have partnered with a public hospital and said, Together we can become successful. We need academia to step up. But its a partnership that must go hand in hand with UMC.</p><p>You have referred to UMC and the medical school as two poor children. How can two weak partners combine to create one of the top teaching hospitals in the country?</p><p>Rogers: UMC has a lot of patients, 4,000 employees and it has a tremendous budget. But it cant do the academic part. Then you have the smallest medical school in the United States and it must team up in some form with a hospital. If you put one and one together, you may end up with a 10. Thats where we need to go.</p><p>Is it just a matter of changing the will of the institutions so that they combine for greatness?</p><p>Reid: I think we need to create the centrifugal force to make this happen. UMC has a tremendous set of assets. It cost hundreds of millions to build. It will continue to attract patients. But it is shackled by a business model that does not work. We believe theres a way to take that asset, along with our partner in the university system, and make it attractive to private investment. Were going to look at every model around the country. Maybe a nonprofit should operate UMC and not the county.</p><p>This hasnt happened before (at UMC) because nobody tried to do it. Other people have done this. I guarantee the day that Johns Hopkins starting talking about taking over that public hospital, it didnt have a nickel in its budget for that. But it found a way to make one and one equal five, and thats what were trying to do.</p><p>Some in the medical community cant comprehend how this is possible.</p><p>Rogers: Going back in history, the medical school has never shown a great interest in Southern Nevada. Its people have been reluctant to push the growth down here. But given the population of this state, the medical school must grow. I was there five years as chancellor, and the medical school, frankly, did not do much in that five years.</p><p>Milton Glick (president of UNR) is supportive of this, and the regents are too. This is the first time everyone has come together under the health sciences system and looked forward saying: We need to develop the medical school in Southern Nevada. But we cant do it without developing and collaborating with a hospital. For a long time, the UMC leadership had no interest either. I tried to call the former CEO on many occasions to get the higher education system involved. I never got a return call.</p><p>I dont think you can fix this thing from the bottom up. You have to look at the structure.</p><p>Speaking of the structure, its widely known that Clark County commissioners dont know how to run a public hospital. Should they continue to serve as its board of trustees?</p><p>Reid: If youre going to fundamentally change the hospital you need to fundamentally change the governance structure. The problem you described is not one Ill deny. Weve tried to do a lot of things to make the hospital better, but we need more expertise and a new governance structure.</p><p>The Cleveland Clinic is already world-class and wants to expand in Las Vegas. Why not see if it wants to take over UMC and turn it into a teaching hospital?</p><p>Reid: As the leader on this initiative, my job is not to prejudge any ideas or push it in any direction. Everything should be on the table. We should look at every available structure out there and see if we can copy it.</p><p>Rogers: Im sure well call the Cleveland Clinic. Im sure well call the University of Pittsburgh. These are big-time players. Theyve been successful because theyve been innovative. At least there are models out there. Once I figure out what is wrong with this structure, then the question is how do we fix this structure.</p><p>Commissioner Reid, your opponents for the governors seat have criticized UMCs performance under your leadership. Some say this effort is just political cover while you run for governor.</p><p>Reid: In the seven years Ive been working on UMC, weve done things to make it better and move forward and then taken steps backward along the way. Ive realized this model is flawed. We need fundamental change.</p><p>That call for fundamental change simply hadnt occurred because it was difficult and complicated. There were tremendous financial interests that might oppose it. To suggest this is being done for political reasons is unfounded. There is no way to know what the ultimate outcome will be. This may be a glorious success or it may be something less than that. The fact that Im taking a risk and jumping off this cliff holding Jim Rogers hand says something about my leadership skills, not about a political calculation of some sort.</p><p>Will we know the outcome of this effort before the election in November?</p><p>Reid: No one knows the answer to that question, which is why its a risk. If I were thinking only politics, I wouldnt have done this. I would have taken the safe course. But thats not what I was elected to do. I was elected to the Clark County Commission and Im going to be in that position for another year and Im going to try and finish my job.</p><p>Marshall Allen can be reachedat 259-2330 or at marshall.allen@lasvegassun.com.</p><img src="http://admatch-syndication.mochila.com/images/ad.gif?aid=67579987&bid=informcom" /></div><div id="copyright"><div>

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