Case 15
District Hospital
A Lesson in Governance
Cynthia Mahood Levin
Healthcare Consultant, Palo Alto, CA
Kurt Darr
The George Washington University, Washington, D.C.
file:///Users/pramodthomas/Downloads/978-1938870620.pdf
Barclay Memorial Hospital (BMH) has enjoyed a reputation for excellent medical care in an affluent
community for over 70 years. In the mid-1940s, its community was mainly agricultural, but urbanization was
beginning. Hospitals in the region were operating at capacity. Community members and physicians proposed
a solution to the problem of overcrowding at local hospitals: form a hospital district supported by the
community through a tax. Voters approved the hospital district in 1945 by a 5 to 1 margin. The first decision
was to select a 15-acre campus. In 1947, voters approved an $8 million bond issue to finance construction and
operation of a 275-bed hospital. The tax district spans seven townships that elect five district community
members to a governing board for the district hospital’s four entities, which include the hospital, joint
ventures that operate an urgent care center and a hospice, and the hospital foundation.
Expert Solution Preview
Introduction:
In this case, we are presented with the story of Barclay Memorial Hospital (BMH), which was established in the mid-1940s to address the problem of overcrowding at local hospitals. The hospital district was approved by voters, and a governing board was formed to oversee the hospital and its associated entities.
Question: What is the purpose of forming a hospital district?
Answer: The purpose of forming a hospital district is to provide a means of funding and governing healthcare facilities in a particular area. This allows for greater control over healthcare operations and resources, as well as a more equitable distribution of healthcare services. In the case of Barclay Memorial Hospital, forming a hospital district allowed for the construction and operation of a new hospital to address the problem of overcrowding in the region.
Question: What is the role of the governing board in a hospital district?
Answer: The governing board in a hospital district is responsible for overseeing the management and operations of healthcare facilities within the district. This includes making decisions regarding funding, resource allocation, and overall strategy for providing healthcare services to the community. The board members are typically elected by the community and are accountable to them for the hospital district’s performance. In the case of Barclay Memorial Hospital, the governing board oversees not only the hospital but also joint ventures that operate an urgent care center and hospice, as well as the hospital foundation.
Question: How does the formation of a hospital district impact healthcare delivery in a community?
Answer: The formation of a hospital district can have a significant impact on healthcare delivery in a community. It provides a more centralized and coordinated approach to healthcare, allowing for more efficient use of resources and improved access to healthcare services for the local population. It also ensures that healthcare facilities in the district are accountable to the community they serve and can make decisions that prioritize the community’s healthcare needs. In the case of Barclay Memorial Hospital, the hospital district has allowed for the construction and operation of a new hospital that provides excellent medical care to an affluent community.
