In opening the beloved Tale of Two Cities, Dickens observed, “It was the best of times, it was the worst of times, it was the age of wisdom, it was the age of foolishness….” He could have been talking about Oregon Health & Sciences University.  Here’s a glimpse of foolishness. OHSU’s  bonus program is alive and well, with payments to top executives of bonuses totaling some $1.7 million this year. That’s on top of the high six-figure salaries, and the valuable perks. And it’s happening amidst staff layoffs and clinic closings.

So what’s wrong with this picture? OHSU claims to be a publc corporation and claims to put the interests of Oregonians ahead of profit.  A few articulate Oregonians make a case otherwise, here.

The bigger piece is that OHSU is in the hole due to overbuilding and overspending. OHSU cried wolf recently when the Oregon Supreme Court ruled that the cap on damages could not be enforced in Jordaan Clark’s case.  OHSU went to an austerity budget, laying off hundreds and closing clinics. But the bonuses still flowed.

So here’s the score. OHSU causes profound injury to Jordaan Clark. When push comes to shove, the Oregon Supreme Court tells OHSU that it cannot rely on a horribly inadequate cap and that it will have to answer to the profoundly injured child. OHSU blames the child for its financial crisis but overlooks its own profligate spending in the South Waterfront debacle, the designer tram, and the losses of research dollars.  OHSU lays off care givers and closes clinics, laying the blame at the high cost of insurance.

Against this backdrop, we’re rewarding these people with bonuses. You’ve got to be kidding me.

David Sugerman

I have to say that Steve Duin’s column in today’s Oregonian (24 January 2008) is a breath of fresh air. Here is the link: www.oregonlive.com/news/oregonian/steve_duin/index.ssf?/base/news/1201137918314500.xml&coll=7&thispage=1

The back story is that the Oregon Supreme Court ruled recently that Oregon Health Sciences cannot cap a child’s damages at $200,000 when OHSU’s negligent treatment causes profound brain damage.

Rather than take responsibility, OHSU started up the scare machine. We were treated to a parade of horribles. OHSU will be forced to limit or cut care, it will be closing clinics, and it will be laying off many people all because of–they claimed–Jordaan Clarke.

Steve Duin’s column debunks the myth. I mean, for crying out loud, can you say, “Aerial tram”? And don’t even get me started on the OHSU waterfront developments. Or how about the recent loss of the biotech research group to Florida? The reality is that OHSU hides from public scrutiny by claiming to be private and hides from market reality by claiming to be public.

The best part of Steve Duin’s article is this quote from Sen. Walker (Eugene): “They’ve finally found a way for people to overlook years of financial mismanagement,” state Sen. Vicki Walker, D-Eugene said, “and it’s Jordaan Michael Clarke. It’s a great PR move, but it’s ridiculous. And it’s a snow job.”

Couldn’t agree with her more.

David F. Sugerman