WSU - DMC dispute

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oldjeeps

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For anyone who cares, here's the most recent development:

From The Detroit Free Press
(http://www.freep.com/apps/pbcs.dll/article?AID=/20061122/NEWS99/61122014)

DMC, Wayne State announce deal

November 22, 2006

Email this Print this By KORTNEY STRINGER and PATRICIA ANSTETT

FREE PRESS REPORTERS
Gov. Jennifer Granholm and officials of the Detroit Medical Center and Wayne State University said Wednesday afternoon that they reached agreement on a $76 million, three and half year contract that will ensure quality health care to some of southeast Michigan's poorest patients will continue.

The DMC and WSU's School of Medicine, which run 68 medical residency programs together, have been at odds in a dispute over a $80 million physicians contract and other issues. The two sides, which agreed to mediation earlier this month, reached an agreement on the contract that expires on Dec. 31.

The agreement comes a few days shy of when a national accreditation board is scheduled to make its decision about whether the programs can continue to operate.

“Access to health care and health care education and research are more important than ever to the region and the state, so I congratulate all of the parties for reaching a landmark agreement,” Granholm said.

At a conference at Cadillac Place in the New Center area, Granholm, DMC and WSU officials, along with Detroit Mayor Kwame Kilpatrick, stood side-by-side, smiling, as they told reporters and others about the new contract. Details of the agreement, which almost certainly guarantees that the DMC and WSU will be allowed to continue to run the residency programs, are:

-$76 million, 3 1/2 year contract covers clinical, teaching and administrative services.
-Assurances that WSU's 69 graduate medical residency programs will continue, either as programs jointly run by DMC and WSU, by each alone, or with new partners, as WSU is seeking with Dearborn's Oakwood Health System. Key residencies in areas like surgery and internal medicine will be co-run by DMC and WSU.

-Allows for payment eventually of $8.8 million in performance bonuses and recruitment support by DMC to WSU for clinical quality improvements, including initiatives to reduce surgical infections and reduce hospital stays. This is the first time in the 26-year partnership between the two that they have agreed on performance benchmarks.

- For the next 18 months, both DMC and WSU will focus on their partnership and “neither party will pursue new competitive activities that would disrupt the partnership,” according to a statement from Granholm's office.

- Allows WSU physicians to partner with Oakwood to open a new outpatient surgery center and physician offices in Troy.

That the DMC and WSU reached a contract is good news for medical students, residents, patients and the state. The programs provide a steady flow of doctors to the state, as the area is facing a 8% to 12% shortage of qualified doctors within the next 15 years. Indeed, the DMC/WSU programs produce about 30% and 43% of the number of doctors in the state and in the Metro Detroit area, respectively.

The agreement, was reached after Granholm appointed a mediator, David Fink, a prominent local attorney and a former member of the governor's cabinet, two weeks ago. In recent days, the governor stipulated that both parties meet 'round the clock until a agreement was reach, even threatening to serve Thanksgiving dinner at the negotiating table if a new contract wasn't hashed out by turkey day.

“I'm so glad we didn't have to eat the governor's turkey,” Fink said. “We feel we've reached a solid contract that guarantees the long-term prospect of the graduate education programs.”

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