BO DOROUGH: Dougherty commissioners should drop opposition to Lee County hospital

An Open Records request was recently submitted by or on behalf of the Dougherty County Commission seeking more detailed information about the proposed Lee County hospital. An article, which appeared in The Albany Herald on Sept. 2, quoted Chris Cohilas, the chairman of the County Commission, as stating, “Dougherty citizens have every right to expect this information be made public in its entirety.” Mr. Cohilas went on to say, “Dougherty County has the right to seek as much information as possible and make that information available to its citizens.”

Unfortunately, Phoebe Putney Health Systems, which operates Phoebe Putney Memorial Hospital, has, for 25 years, claimed it is not subject to the Open Records Act. Thus, a citizen of Dougherty County would be denied the very information which Mr. Cohilas and his colleagues obtained through submission of the Open Records request for Lee County.

PPHS, through an attorney, recently refused to produce documentation of the fees paid to Mr. Cohilas’ law firm since he was elected chairman of the County Commission. Payment of substantial fees to Mr. Cohilas’ law firm would, obviously, present a conflict of interest, necessitating abstention from all discussion regarding the proposed hospital in Lee County. If the citizens of Dougherty County are truly entitled to “as much information as possible,” Mr. Cohilas and his colleagues on the County Commission would not sit idly by and allow PPHS to disregard requests for information submitted by and on behalf of those citizens.

A coalition of the largest private employers in Dougherty County addressed the County Commission in 2007. That group presented statistical evidence to establish their health care costs were consistently higher here in Dougherty County than in other locations where they have facilities. The Dougherty County Commission did not order a study to evaluate the claims of these providers, one of which, Cooper Tire, has left.

Palmyra Medical Centers filed suit against PPHS, alleging PPHS engaged in negotiating practices that violated federal antitrust laws, in 2008. PPHS paid an exorbitant sum to purchase Palmyra to avoid public litigation of those claims. The Dougherty County Commission did not see fit to order a study to assess the legality of those business practices, to evaluate the rationale of purchasing Palmyra, and/or to project how elimination of competition would affect the citizens of this community.

There are numerous other issues which the County Commission should have considered years ago. What benefit do the citizens of Dougherty County receive when PPHS invests tens of millions of dollars in hospitals in other counties? What impact does the acquisition of physician practices have upon patients and health care costs? Why should PPHS invest millions in a fitness center, a day care center, apartments, etc.? How many millions of dollars have been removed from the tax rolls due to the continuous purchase of properties?

The acquisition of Palmyra created a monopoly. PPHS entered into a “consent order” with the Federal Trade Commission, which prevented PPHS from opposing, directly or indirectly, any application for a certificate of need, for a period of five years. This “consent order” was entered to facilitate the return of competition. The FTC has so far been disinclined to enforce the provisions of the “consent order,” thereby allowing the Dougherty County Commission to act as a proxy for PPHS in opposing the proposed Lee County hospital.

Most citizens of Dougherty County, and particularly those of us who are responsible for payment of premiums for our health insurance, would welcome construction of the new hospital. Research verifies the quality of health care is compromised by the loss of competition.

Moreover, health care costs in this market, which are already substantially higher than averages for the state of Georgia, will decline should competition be restored. The fact that the new hospital will be located across the county line is of little concern.

The “hospital impact study” is a sham. There is no question that most of the patients who will be admitted to the new hospital in Lee County would have otherwise gone to Phoebe Putney. PPHS will, consequently, suffer an appreciable loss of revenue. That is a reality and explains PPHS’ poorly camouflaged efforts to derail the project.

Members of the County Commission are understandably concerned the county may eventually be required to subsidize the hospital, should PPHS choose to return responsibility for its operation to the Hospital Authority. The magnitude of these concerns should be heightened by the realization that the county could ultimately be responsible for the mountain of debt PPHS has accumulated, presumably anticipating each expenditure, like the purchase of Palmyra, would be recouped from patients and their insurers in a market where PPHS has a monopoly. The problem, unfortunately, lies with Mr. Cohilas, his colleagues and predecessors on the Dougherty County Commission, and those individuals they have appointed to the Hospital Authority.

The true tragedy is that patients in this community do not have a choice. The County Commission should abandon the “hospital impact study” and withdraw its opposition to the application for a certificate of need.

Bo Dorough is an Albany attorney and former Albany city commissioner.