The changes come as the hospital deals with the effects of the recession and faces potential ramifications of changes to the nation’s health care system.
In the biggest move, chief executive Jim Leonard will be replaced by Medrice Coluccio, who will continue in her current role as chief executive of Providence Health & Services in Southwest Washington.
The positions of vice president of operations at the Olympia and Centralia hospitals also will be eliminated. Other unspecified changes to leadership in the nonprofit company will be made this month.
The restructuring will enable Providence to offer medical procedures that provide the most effective treatment at the lowest cost in its service area, which includes Thurston and four other counties, Coluccio wrote in a memorandum distributed to employees and provided to The Olympian.
She wrote that it was nearly certain that changes to the health care system would lead to reductions in what insurance companies pay hospitals for the care they provide.
“This is really a logical next step for us,” said Deborah Shawver, spokeswoman for the Providence service area. “We’ve been doing a lot of things to respond to the economic situation. We know with health care reform, regardless of what all the details will be, it is likely we’ll be reimbursed for much less. We want to be nimble. We want to be streamlined.”
Shawver said Leonard was not available for comment. He has held the hospital’s top post since 2006 and was its chief operating officer during the previous seven years. Coluccio did not respond to a request for comment made through the spokeswoman.
Leonard’s departure continues the shakeup of leadership at local hospitals. Less than three weeks ago, the leader of Capital Medical Center quit and, according to a spokesman, returned to his family in South Carolina.
The changes occur as both hospitals are embroiled in a dispute over whether Capital Medical Center should be allowed to perform elective angioplasties, procedures that already are done at Providence St. Peter Hospital. In addition, Capital’s former chief executive, Michael Motte, had characterized as “predatory” Providence’s plan to open a family medicine clinic a short distance from where those services are offered at Capital.
Coluccio started in the service area’s top job in May. She wrote in her memo that the decision to let the three executives go was difficult, but she feels it is the right direction for the organization.
Coluccio’s expanded role isn’t without precedent. Her predecessor, Scott Bond, also led the hospital and service area at the same time.
Christian Hill: 360-754-5427
chill@theolympian.com
