By VICKI URBANIK
One week after the county hospital officially was sold to Community Health
Systems of Tennessee, hospital president and Chief Executive Officer Ron
Winger announced his resignation.
“It is the right time for Porter to have a new leader. I know that with a new
leader comes a new vision and, as a subsidiary of Community Health Systems,
Porter will have the support to achieve that new vision,” Winger said in a
statement issued Tuesday afternoon by Porter hospital.
Winger’s resignation takes effect this Friday. A national search will be
conducted for his replacement. In the meantime, CHS has named as interim CEO
Jonathan Nalli, who is a health care executive who has helped many hospitals
through administrator transitions, according to the hospital statement.
The costs of Winger’s severance package will be the responsibility of CHS and
won’t come out of the county’s proceeds from the hospital sale, according to
both hospital Vice-President of Marketing and Media Relations Deb Butterfield
and Porter County Commissioner President Robert Harper. The county is
expected to end up with about $120 million from the sale.
It could not be confirmed just what Winger will receive in severance pay, but
under the contract that Winger had with the county hospital, the amount could
total at least $1.5 million.
Butterfield said the terms of Winger’s resignation are between him and CHS,
and that she isn’t privy to the details. She also said she does not know if
Winger and CHS negotiated a new contract.
Under the contract with the county hospital, Winger was entitled to his
salary, benefits, and other expenses for 35 months in the event the hospital
is sold or merged with another entity. Winger’s base salary has been
$320,132, with a possible bonus of up to 30 percent of that salary. His
benefits included a hospital-paid vehicle, a $850 per month auto allowance,
pension benefits, and memberships.
In addition, Winger’s contract called for retention pay based on his length
of service to the hospital. Winger was hired as CEO in 2001, which would make
him eligible for retention pay of either $540,000 or twice the amount of his
annual base salary for the past three years, whichever is more.
The previous hospital CEO, Wiley Carr, who resigned in 2000 with two years
left in his contract, received a buyout of $1.8 million, which include two
years of his salary plus a lump sum retirement.
Harper, who was on the county/hospital task force that searched for a buyer
for the county hospital, said he assumed that CHS would want a new chief
executive officer.
“It’s a fresh, new business, and they’re bringing in fresh, new leadership,”
he said, adding that he is certain CHS will provide “top-notch service” to
the people of Porter County.
In the hospital statement, Winger said he has been very proud of Porter
hospital’s mission to care for patients and that with a new state-of-the art
facility, the hospital will be the leader of health care services in
Northwest Indiana.
“I will always be proud of the opportunity that I had to work at Porter,” he
said.
The hospital statement included words of praise for Winger from Tom Miller,
president of the Lutheran Network in Fort Wayne. The Lutheran Network is
owned by Triad Hospitals Inc., which is in the process of being acquired by
CHS.
“Porter has excelled under Ron’s leadership,” Miller said. “We wish him well
and thank him for his dedication and hard work at Porter. Ron is a passionate
health care leader and he will be missed.”
The hospital statement also said that a new hospital board of trustees is
expected to be named in a week or two.
Winger’s contract with the county hospital also stipulated that in the event
of his departure, Winger will not discuss Porter hospital matters with anyone
and that he will not accept employment as the head of any other hospital or
health care system that services Northwest Indiana, both for a period of
three years.
Posted 5/9/2007