Jewell Praying Wolf James / House of Tears, Lummi Nation.

Jewell Praying Wolf James / House of Tears, Lummi Nation.

2012PeaceHealth St. Joseph Medical Center

PeaceHealth Medical Group

PeaceHealth St. Joseph Medical Center Foundation

Whatcom Hospice Foundation

PeaceHealth Laboratories

mission report

2901 Squalicum Parkway, Bellingham, WA 98225360-734-5400 www.peacehealth.org/whatcom

2012 PeaceHealth St. Joseph Medical Center Leadership

PeaceHealth St. Joseph Medical Center Community Governing Board 2012 James Bochsler, MDHarte BresslerJanelle BrulandFr. Scott Connolly

Lars Crabo, MDCharlotte Davenport, CSJPJames Hopper, MD Barbara Lupo

Hon. Charles SnyderThomas Stackhouse, MDNancy SteigerRoland Trenouth, MD

PeaceHealth St. Joseph Regional Executive TeamNancy Steiger, CEO, Chief Mission OfficerJames Barnhart, CAO, Regional Network & PIMCJeremy Blanchard, MD, MMM, VP Quality & Medical Affairs Kelly Espinoza, RN, MSN, Chief Nursing Officer, VP Patient Care ServicesCindy Klein, VP People & Culture Mark McCampbell, Chief Development OfficerChris Phillips, Director, Community AffairsNancy Tieman, VP Strategy, Innovation & DevelopmentPeter Valenzuela, MD, VP, PHMGDale Zender, COO, NW Network CFO

PeaceHealth St. Joseph Medical Center Community CouncilEvelyn Ames, PhD Joan Beller Ken Culver Stan Dyer Charles Farrell, DMD

Andy Garcia Laura Harker Pat Mallahan Desmond McArdle Kunle Ojikutu, PhD

Orphalee Smith, CPA Jim Stevens Jim Strengholt

Whatcom Hospice Foundation BoardLynne BaronErin BaumgartBob BeckerWendy BevanDenise BosmanMichael BradburnDale BrandlandDonna EdquistLarry FarrCarol Garguile

Mike HammesSylvia HolmstromRichard HovdeJohn HuntleyTom KenneyBarry KramerEd LoweryTonja MyersMargie OremMike Perry

Bonnie RiceSarah RothenbuhlerOrphalee SmithNancy SteigerRobert TullLisa VanWingerdenPattie WashburnDoug WightAnna WilliamsDavid Yorkston

PeaceHealth St. Joseph Medical Center Foundation Board Charles Ariz, MDMichael BradburnBrad DeHaanAmy EsaryRobin FooteRosemarie FrancisWilliam Hall, MDDennis HolmstromJohn HuntleyFrank Imhof

Katie JansenLynnette JensenSimon JohnsonJan JurgensonJeffrey KaufmanChet KenoyerRichard Leone, MDMike PerrySarah RothenbuhlerNancy Steiger

Diane StroutHolly StudleyShaun Sullivan, MDChristine ThompsonCheryl WegDoug WightAnita WisemanFrank Zurline

PeaceHealth Peace Island Medical Center Community BoardJames Barnhart, CAO Peace Island Medical CenterTom Cable

Julie Gralow, MDGeorge VonGehr Jr.Rebecca PohladKathleen Pruitt, CSJP

Michael Wingren, MDCharles AndersonPeg Gerlock

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PeaceHealth St. Joseph Medical Center has once again been named a Distinguished Hospital for Clinical Excellence™ by Health-grades, the leading online resource of com-prehensive information about physicians and hospitals. This prestigious distinction means we are:

• among the Top 5% of hospitals nationwide for overall clinical performance;

• one of only three hospitals in the entire state (and 262 nationwide) to receive this award;

• ranked Number One for cardiac surgery, neurosurgery, and overall pulmonary ser-vices in Washington state; and

• the recipient of 5-star ratings in 18 areas of patient care.

These ratings demonstrate a pattern of enduring excellence. In nearly every area, we are repeatedly receiving 5-star ratings; in some cases, we are at this high level for the third or fourth year in a row. Gastrointesti-nal procedures and surgeries is rated 5-star for the ninth straight year and our treatment of pneumonia receives that ranking for the eighth year in a row. Healthgrades identifies hospitals with the best overall clinical per-formance across 27 procedures and con-ditions. According to Healthgrades, many hospitals have specific areas of expertise and high-quality outcomes in certain areas, while PeaceHealth St. Joseph demonstrates comprehensive high-quality care across many clinical specialties.

accolades

new leadershipfrom left to rightKelly Lundy, VP Information Services and Technology/Chief Information Officer Kelly Espinoza, RN, VP Patient Care Services, Chief Nursing Officer Jennie Crews, MD, Medical Director, PeaceHealth St. Joseph Cancer Center Jeremy Blanchard, MD, VP Quality and Medical Affairs

moved by the spirit of healing

At the heart of the PeaceHealth mission is our commitment to relieve pain and suffer-ing, and treating each person in a loving and caring way. We are moved by the spirit of healing to help people in times of discom-fort and illness, and to do so with love. Our mission is a clear and unambiguous appeal to what it means to be a human being. We respond to those who are troubled—with knowledge, skill and kindness.

The PeaceHealth mission also includes the promotion of individual and community health. Promoting health is different than relieving pain and treating disease. Practicing medicine in a clinic or a hospital room tends to be an immediate and personal endeavor. Health promotion is more oriented toward the future and out in the world. In this way, the PeaceHealth mission extends beyond the walls of our facilities and takes root in the community.

Health promotion is inherently hopeful work. We plant the seeds of individual and community growth because we believe that people can be activated to pursue healthy habits—and as part of the community we can help solve problems and contribute to the common good.

Every year I am honored to report to the community how PeaceHealth St. Joseph Medical Center is fulfilling our mission. In these pages we introduce you to new clinical leadership, we share with you Medical Center accolades for exceptional care, and we show you the new Cancer Center that was built with the support of community donors. We also report the financial and in-kind invest-ments we have made in collaboration with our community partners to ensure access to essential health care services for all and a healthier community.

Nancy Steiger PeaceHealth St. Joseph Medical Center CEO and Chief Mission Officer

PeaceHealth St. Joseph Medical Center ranks among the Top 5% of hospitals nationwide for overall clinical performance*

The PeaceHealth mission extends

beyond the walls of our facilities

and takes root in the community.

m e s s a g e f r o m t h e C E O

*by Healthgrades, the leading online resource of comprehensive information about physicians and hospitals.

The essence of what we do is to provide healing care and give each person hope.

healing visions

i m p r o v i n g a c c e s s t o n e e d e d h e a l t h c a r e

PeaceHealth St. Joseph Medical Center’s integrated Cancer Center opened in December 2012. Now, for the first time, all cancer services are available in one location.

Medical Director Jennie Crews, MD, said everyone benefits when the radiation and infusion clinics are combined in a single facility with new equipment and a layout designed to accommodate patient and physician needs.

“Having us all under one roof is going to improve collaboration,” said Dr. Crews.

“And that should translate into better out-comes with quality of life and survival.”

PeaceHealth St. Joseph delivers outstand-ing survival rates for the four most com-monly diagnosed cancers. With enhanced

care in a leading edge facility, there is even more incentive for those who have been diagnosed with cancer to receive their treatment close to home.

“Having an integrated Cancer Center in our community really allows us to let commu-nity members have all the care they need

– right in their own backyard.”

The new, integrated care model includes the following elements:

• Nurse Navigator to guide patients, families and their caregivers toward informed decision-making; coordinate communication, paperwork and ap-pointments; identify barriers to coordi-nated care; and provide links to support services.

NEW INTEGRATED CANCER CENTER OPENS

A

B

C

DE

A Autumn Nabis I, by Gregg Laananen, B Sing, by Dale Gottlieb, C Above All, by Kim Osgood, D The Gathering Night, by Ed Kamuda, E River in the Sky, by Randy Clark (aka fish boy)

Bright, evocative images from Northwest artists communicate healing and hope in the new Cancer Center.artists shown above

continued on next page

• Commission on cancer-approved programs, which includes: comprehensive care with state-of-the art services and equipment; a multi-specialty team approach; ongoing clinical trials and informa-tion about new treatment options.

• Survivorship program that addresses both the immediate and long-term consequences of cancer and its therapy. The program includes nutrition guidance, exercise, emotional and spiritual care.

• Single-facility access to all non-surgical services, bringing together excellent care formerly provided at different PeaceHealth locations.

An exciting new technology, Electromagnet-ic Navigational Bronchoscopy (ENB), now makes it possible for physicians to diagnose and treat many lung cancers earlier than ever before. Until recently, ENB was available in just a handful of cancer centers nationwide. In 2012, through the support of many generous community donors, PeaceHealth St. Joseph Medical Center was able to purchase this lifesaving equipment. Physicians in our Mul-tidisciplinary Lung Cancer Program—a part of our Cancer Program—now use this technology regularly to help patients in Bellingham.

The Electromagnetic Navigational Bronchos-copy program allows our physicians to per-form minimally invasive diagnosis and treat-ment of early stage lung cancers. We are also better able to diagnose patients at potentially high risk for complications from traditional biopsy techniques. We anticipate continued growth in the use of this new technology which allows many patients to be treated closer to home.

shining a light on cancer New technology opens the door to earlier detection, more effective treatments than ever before.

Mark McCampbell, Director of the PeaceHealth St. Joseph Office of Development and Chief Development Officer for the Northwest Network, helps bring community dreams to life.

More than 16 years ago, a group of enthu-siastic community volunteers and leaders at PeaceHealth St. Joseph Medical Center began dreaming about a fully integrated cancer center for our region—a facility that would bring treatment, education and support together in one caring, convenient and compassionate place. In December 2012, that dream finally became a reality when our new Cancer Center opened its doors to patients.

Achieving this inspiring vision could not have happened without the tremendous philanthropic support of the many

hundreds of generous donors who gave to the project. PeaceHealth St. Joseph Medical Center Foundation raised more than $13 million from a broad spectrum of community members who gave from their hearts with a generous spirit and a desire to be a meaningful part of something much bigger than themselves. We are deeply grateful to everyone who joined us on this journey of hope and made it possible for our community to bring its dream to life.

integrating treatment, education and support The new Cancer Center stands as a triumph of medicine and philanthropy alike.

Pacific Northwest Tree of Life, by Jean Bradbury, on display at the Cancer Center

2012 COMMUNITY SUPPORT:

$7,713,000

Cancer Center Capital $4.6 MILLION

Hospice program and Hospice House$1.35 MILLION

Fund for Medical Excellence$850,000

TeleHealth Program$596,000

Other Programs$317,000

In 2012, the PeaceHealth St. Joseph Medical Center Office of Development, which houses the Medical Center and Hospice

Foundations, raised nearly $8 million in gifts and pledges toward key health initiatives to benefit our community.

putting donor dollars to work

Electromagnetic Navigational Bronchoscopy (ENB) allows physicians to perform minimally invasive diagnosis and treatment of early stage lung cancers.

$30M 24/7invested in the new medical center

access to emergency services

7,500people live on San Juan Island

of San Juan Islanders are eligible for Medicare (in comparison to 12% of Washington State citizens who are eligible).

22%

PeaceHealth Peace Island Medical Center opens

For the first time, San Juan Islanders and visitors have access to local emergency care 24/7 – and more. When PeaceHealth Peace Island Medical Center opened in November, it became the first and only critical access hospital in the San Juan Islands. The facility includes a clinic, visiting specialists and on-site oncology care. Now Islanders can skip the long ferry ride or emergency transport off-island for conditions such as diabetic shock, a traumatic injury or chemotherapy.

Peace Island Medical Center, the result of a visionary community and care-provider partnership, includes a ten-bed critical access hospital with extensive diagnostic services and a clinic that is open extended hours and on Saturdays.

center highlights

• New or expanded services: chemotherapy, outpatient surgery, overnight hospitaliza-tion, CT scans and diagnostic colonoscopy.

• Island-appropriate, environmentally sen-sitive facility, designed with a community visioning process and an island-led design committee.

• Partners include: SJI Emergency Medical Services, Island Air Ambulance, AirLift Northwest and SJI Community Foundation.

• Peace Island Medical Center aims to be the most energy-efficient hospital in the United States, as its energy use index will be 50% less than the average U.S. hospital.

Peace Island Medical Center is a result of a visionary partnership between the community and PeaceHealth.

In addition to leading the successful Cancer Center capital campaign in 2012, the Medical Center Foundation maintains donor funds that support projects large and small. Foundation donors helped subsidize the Adult Day Health program for lower income seniors, supported scholarships for the Cardiac Rehabilitation program, and made it possible for families in need to receive financial aid through the Medical Center’s Bridge Assistance program.

partners in philanthropy

Amy and Brett Esary have been very generous in their philan-thropic support for PeaceHealth St. Joseph Medical Center. They became members of the Medical Center’s Circle of Care Society and supported the construction of the new Cancer Center.

“Brett and I are extremely supportive of the direction the medi-cal center is heading. When people have a choice about where to go for their medical care, I want them to be able to choose local care. We are fortunate to live in a community that offers such wonderful care opportunities so close to home.”

supporting health care close to home

Amy Esary, PeaceHealth St. Joseph Medical Center Board

member, and husband Brett

PeaceHealth St. Joseph Medical Center Foundation works collaboratively to channel the generosity of donors.

San Juan Island Community Foundation was a key partner in bringing the PeaceHealth Peace Island Medical Center to life. The Foundation contributed $10 million in grants—raised primarily from local San Juan Island donors—to ensure that Island residents would have access to better health care close to home.

Whatcom Hospice Foundation plays an integral role in raising philanthropic support for Hospice programs that serve more than 100 patients every day. In 2012 more than $1.3 million was raised in support of the Whatcom Hospice House and the in-home Hospice programs. These funds allow PeaceHealth to offer these services to everyone in the community regardless of their ability to pay.

St. Luke’s Foundation led the way in funding a Financial Navigator program for patients undergoing cancer treatment at the PeaceHealth St. Joseph Cancer Center. This free program offers patients the counseling, advice and support they need to make informed financial decisions, as well as access available financial assistance.

In 2012 PeaceHealth St. Joseph Medical Center provid-ed more than $2.5 million in community building activities, including:

• In-kind and financial assis-tance for organizations such as the Whatcom Alliance for Health Advancement (WAHA), Interfaith Com-munity Health Center, the Lummi Native Foods Project and Brigid Collins Family Support Center.

• Support for the St. Luke’s Health Education Center, where local nonprofit organizations use the free conference facilities in promoting personal and community health.

• Investments in recycling and award-winning conservation programs.

• Operation of HInet, a secure intranet that allows area health care providers to electronically exchange information.

• Financial support and technical assistance for the development of the Community Health Improvement Plan in collaboration with the Whatcom County Health Department. This assessment and resulting plan will serve as a blueprint for collaborative community health improvement strategies over the next 2–5 years with the aim of measurably reducing health disparities in our community.

promoting individual and community health

Economic well-being2012

source: PHSJMC Fiscal Year 2012 data and American Hospital Association for the multiplier factor

Uncompensated care 2010-2012

PeaceHealth paid $213 million in wages to Whatcom County caregivers in 2012. It is estimated that another $162 million in wages and salaries were paid to Whatcom County workers as part of the economic ripple associated with the hospital and PeaceHealth Medical Group.

As a major regional employer, the largest provider of health services in the community, and a primary source of care for lower income and uninsured people in our community, we are pleased to share with you this annual Community Benefit accounting.

No one is ever turned away because of an inability to pay.

$0 M

$10 M

$20 M

$30 M

$40 M

$50 M

$60 M

$70 M

201220112010

unreimbursed Medicaid

bad debt expense

charity care

direct effect $213 million 2,741 jobs $30 million

ripple effect $162 million 3,117 jobs $34 million

total contribution $375 million 5,858 jobs $64 million

impact on wages and salaries

impact on jobs facilities and equipment expenditures

Collaboration is a PeaceHealth core value. PeaceHealth has been an essential partner in the development and success of the Brigid Collins Family Support Center, Whatcom Alliance for Health Care Advancement and the Interfaith Community Health Center. Children are safer, more people have health care insurance, and those with lower incomes have access to quality medical and dental care because of the work we do with our community partners.

— Fr. Scott Connolly, Community Health Committee Chair, Medical Center Governing Board

Benefit for those in financial need total dollars

Unreimbursed Medicaid $35,946,642

Charity care at cost $12,903,311

Benefit for the broader community total dollars

Financial and in-kind contributions $1,085,248

Community health programs and services $1,447,522

total community benefit $51,382,723

PeaceHealth St. Joseph Medical Center contributes to the community far beyond our core mission of delivering health care.

It’s our mission.

PeaceHealth St. Joseph Medical Center, (including the PeaceHealth Medical Group) provided more than $67.7 million in uncompensated care. This included $12.9 million in charity care, $35.9 in unreimbursed Medicaid, (i.e. the difference between what it cost to provide care versus what Medicaid paid) and $18.8 million in bad debt.