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Morning Briefing

Summaries of health policy coverage from major news organizations

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Thursday, Jun 13 2019

Full Issue

Maryland Governor Names 11 People To University's Medical System Board; Review Finds Additional Enriching Deals Made By Former Members

Governor Larry Hogan (R-Md.) pledged to name new board members to serve with "integrity" and "accountability" after The Baltimore Sun's investigation into business practices led to the resignation of the Baltimore Mayor Catherine Pugh and dismissal of other board members for lucrative contracts. An independent review released Wednesday found additional such business deals.

The Baltimore Sun: Maryland Gov. Hogan Names 11 New Members To UMMS Board Plagued By Contracting Scandal

Maryland Gov. Larry Hogan named Wednesday his initial batch of new appointees to the troubled board of directors at the University of Maryland Medical System, the first step toward reorganizing the board following a scandal over board members having lucrative contracts with the 13-hospital system. The volunteer board came under fire in March when The Baltimore Sun reported a third of its 30 members or their companies had deals with the hospital system, some of which were not competitively bid. (Wood, 6/12)

The Baltimore Sun: Former UMMS Board Member Had Multiple Undisclosed Hospital Deals; Employees Felt 'Pressured' To Push Software

Amid growing scrutiny in early April around lucrative contracts between the University of Maryland Medical System and nine of its volunteer board members, officials privately cut back two undisclosed deals with a tenth, according to a new report. Both involved Dr. Scott Rifkin, who resigned from the board in early May even though he said a deal to supply software to the hospital system paid his company nothing. (Rector, 6/12)

The Baltimore Sun: Review Of Maryland Hospital Network Finds More No-Bid Contracting, Faults Former CEO For 'Healthy Holly' Deal

A review of contracts the University of Maryland Medical System had with members of its board of directors and their companies revealed more no-bid and self-dealing practices — including that executives pressured staff to use board members’ products — and blamed former CEO Robert Chrencik and other system leaders. “Many of these contracts were not competitively bid, were not declared to be necessary by the board or senior leaders, and, if vetted, were without full transparency to the entire board,” concluded the review by Nygren Consulting, which was hired and paid by the 13-hospital network. (Broadwater, 6/12)

The Baltimore Sun: 5 Takeaways From University Of Maryland Medical System Review Of 'self-Dealing' Practices

The system commissioned and paid for the 41-page report from Nygren Consulting in response to revelations published in The Baltimore Sun, starting in March, about the network’s practices that enriched board members, including former Democratic Mayor Catherine Pugh of Baltimore. Since the scandal broke, Pugh has resigned as mayor and UMMS CEO Robert Chrencik and four other top system officials stepped down. Also, the Democrat-controlled Maryland General Assembly passed emergency legislation this spring to reform the board and Republican Gov. Larry Hogan signed it into law. (Broadwater, 6/13)

This is part of the Morning Briefing, a summary of health policy coverage from major news organizations. Sign up for an email subscription.
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