Supervisors acknowledge signatures for OCH referendum
The Oktibbeha County Board of Supervisors met Monday evening, just hours after city officials confirmed to the SDN that the petition signature threshold was met that could potentially force a referendum vote to determine the future of OCH Regional Medical Center.
The Board acknowledged 1,656 certified signatures, which tops the 1,500-signature threshold required to force a referendum vote.
No action was taken on the hospital by the Board of Supervisors except the acknowledgement of the signatures. However, the Board plans to meet with OCH Chief Executive Officer Richard Hilton later this week to discuss the data room issues.
District 2 Supervisor and President of the Board of Supervisors Orlando Trainer said that the fact that the petition met the requirement for signatures was not a surprise, and that some of those who signed the petition may vote to sell. He said it is a possibility that people may have been asked or compelled to sign the petition.
“We know there is a wide web of people wanting to vote,” Trainer said. “I think this is nothing to be encouraged or discouraged about.”
Trainer said a date on the referendum will be decided at a later time, and with upcoming elections, it may have to be decided at a later point. For now, he said, the only thing the Board can do is wait and consult with its legal team.
“Until everything is official, everything is speculation,” Trainer said Monday morning. “I’m just excited that everything is moving forward.”
OCH Chief Executive Officer Richard Hilton said Monday afternoon he does not believe the signatures gathered fully represent the extent of the public support for the hospital.
“This is going to give the opportunity for the people to decide whether or not they want the hospital to remain as a community oriented hospital or do they want it to be turned over to a system,” Hilton said.
DUE DILIGENCE REQUEST
Meanwhile, OCH staff is compiling information for a due diligence request list approved by the Board of Supervisors on May 1.
There was some heated discussion over access to the data room between Butler Snow attorneys Johnny Healy and Samuel Keyes, attorney Ted Woodrell and the OCH Legal Counsel, over what and when the firm will get data to adequately provide potential respondents with the information they need.
Trainer said the due diligence request list was given to the hospital in hopes of getting more information out to potential bidders.
The OCH Board of Trustees met on May 8 to discuss the due diligence request list, and how to go about collecting the information. OCH was given 30 days to compile the information asked by them.
Hilton said Chairman of the Board of Trustees Jimmy Linley sent a letter to Trainer that told the supervisors they would provide them with information that is public.
Butler Snow attorney Johnny Healy who is representing the Board during this process - said during Monday’s meeting the statute is clear in stating it’s the Board of Supervisors that conducts an RFP process and the request for data is an integral part of that process.
“The conditions are very clear in the statute, and any A.G. opinion I’ve discussed with any community hospital that the county owns the hospital, that the board of trustees only act on behalf of the county, and therefore all assets including data and records is part of those assets owned by this county, which acts as this Board of Supervisors, not the board of trustees,” Healy said. “From a legal standpoint, I do not know what position they could take from a legal standpoint to say they’re going to withhold information pending an election.”
One challenge facing OCH, Hilton said, is that the information requested is extensive and dense. The due diligence list consists of 19 pages of line items of various things from organizational documents of the hospital to financial, legal, medicine, staff, IT, and regulatory-type information.
The due diligence request list given to OCH on May 8 was more extensive than information asked for during the financial assessment done on the hospital in October 2016. Hilton said the request given in October took three weeks of producing records. An additional two weeks was spent in exchanging information, making it a total of five weeks before everything was gathered together.
To gather the information, Hilton has named four people as a core team and taken responsibility for oversight of productions of records. The core team consists of Hilton, OCH Chief Operating Officer Mike Andrews, his Chief Legal Officer Patricia J. Faver and Chief IT Officer Chamath Wijewardane.
The members of this core group will be funneling information to Hilton, who will, in turn, send them to the attorneys as he receives it.
Hilton said another reason the Board of Trustees will not be giving the Board of Supervisors all of the requested information is because some of the information is sensitive and is not public knowledge.
Conversely, Butler Snow attorneys said it would be best to keep their end of the potential deal closed from public eyes in order to net the best possible outcome.
“Mr. (Ted) Woodrell and I have counseled and advised that from our experience, that a closed process is the best process in order for this county to get the most bids, the most comprehensive and the most interest,” Healy said.
With the required amount of signatures met to pass the referendum, there is the possibility that the hospital will not be sold. OCH does not want to put information out to its competitors that could put it at a disadvantage.
Hilton said they are not refusing to give the Board of Supervisors the information - they are asking for a delay.
“If the will of the people says, ‘we think the hospital should be sold’, then the board says we will cooperate with providing all that information as soon as we can based on all the resources that we have to make it available,” Hilton said. “Until that takes place, we will be producing public related information, and there is enough public-related information that it’s going to keep us busy for quite some time.”
Trainer said it is difficult to make a decision good for both parties while lacking information because one group thinks it is “sensitive” information.
“By law, we are the owners,” Trainer said. “It is similar to asking for information for something you own.”
If the hospital is unable to provide the information asked, the Board fears there will be less response from potential buyers. With technology as advanced as it is, the Board gave OCH 30 days to collect the data with the belief that most of the information could be easily accessed and compiled by hospital staff before the due date of the due diligence list.
“It would be ideal for the hospital and the Board of Supervisors and the hospital to work together, even if there is a difference of opinion,” Trainer said.
Hilton said he feels better knowing that another step was taken toward the will of the people deciding the future of the hospital, and not three supervisors. Hilton said supervisors do not own the hospital — the supervisors represent the people who are the owners of the hospital.