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Mayor Anthony A. Williams
Statement Regarding Financial Problems Facing Doctors Community Healthcare, Inc.
November 20, 2002




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Wednesday, November 20, 2002
CONTACT: Tony Bullock
(202) 727-6846
(202) 368-4831

DC Mayor Anthony A. Williams Issues Statement Regarding Financial Problems Facing Doctors Community Healthcare, Inc.

Late this afternoon I met with key players in the District’s healthcare delivery system to discuss the situation affecting Greater Southeast Hospital and Hadley Memorial Hospital. Earlier today, the parent company of both of these facilities filed for bankruptcy protection so that they can reorganize under the provisions of Chapter 11 of the Bankruptcy Code.

Deputy Mayor Carolyn Graham; James Buford, Director of the District’s Department of Health; Acting Corporation Counsel Arabella Teal; John Ray, attorney for Doctors Community Healthcare, Inc; Ana Raley, Chairman and President of Greater Southeast Hospital; Karen Dale, Chief Operating Officer of Greater Southeast Hospital; Colene Daniel, Chief Executive Officer of the DC Healthcare Alliance; Councilwoman Sandy Allen and other key players all participated in the meeting this afternoon.

Let me say first of all that I appreciate the ongoing level of communication and dialogue that we have seen thus far. Over the past week, I have had dozens of meetings and conversations regarding the situation at Greater Southeast and I expect to be very much involved in these discussions in the weeks ahead. I am pleased to learn that under the leadership of Councilwoman Sandy Allen, a briefing for the Council will take place tomorrow so that issues related to these developments can be examined in greater detail.

As we work together to resolve these matters, it is my hope that the District government can be helpful in any and every appropriate way possible to sustain the viability of these two hospitals. Greater Southeast and Hadley Memorial are important players in our healthcare system. They are significant employers and play vital role in the local economy. I want very much to see them continue to be in a position to provide services to the community.

We understand that their current financial difficulties result from problems with a financing company under contract with Doctors Community Healthcare, Inc., and that this situation is impacting dozens of hospitals across the country. I am hopeful that new arrangements can be made that will allow the company to remain viable and to resume its prior level of operation both here in the District and in other locations.

Greater Southeast plays an important role in the District’s Healthcare Alliance. They serve in a management capacity and also as a provider. These roles are distinct and separate. It is important to note that the Alliance is a broad initiative involving six area hospitals, over 30 clinics and hundreds of individual healthcare providers. Now in its second year of operation, the Alliance is a dynamic and highly successful public healthcare program providing quality healthcare services to over 25,000 District residents. I do not anticipate that the problems with Greater Southeast and Hadley Memorial will have any impact or reduction in service delivery to enrollees in the program. Our Department of Health oversees the contract and is monitoring the situation on a day-to-day basis to assure that we maintain patient safety and quality of care.

As this situation evolves, please know that the District government is taking a proactive and supportive role in helping sustain Greater Southeast and Hadley Memorial hospitals through this difficult period. In working with the Council and key players in our healthcare system, I am committed to doing all we can to keep our hospitals in operation and to continue the full delivery of healthcare services as provided for in the contracts that govern the DC Healthcare Alliance. As developments warrant, it is my intention to provide additional information to the press and to the public.

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