I didn’t see much evidence in the article on Jon Mohatt, the chief financial officer who turned whistleblower on Kalispell Regional Healthcare, of Mohatt’s pain and suffering after ratting to the Department of Justice on the hospital’s practice of paying some physicians more than they billed. In fact I saw no documentation in the Beacon’s article of the actual harm this practice caused the federal coffers or patients. I did, however, see some benefit . . . to Mr. Mohatt that is. What else would you call a payout of over $5 million over the next six years, minus the omnipresent lawyer’s cut and taxes. But Mr. Mohatt claims he is “financially independent” and that he “intends to donate portions of the settlement to various nonprofits . . .” Insert smiley face here!
What is difficult to understand is how the Stark and Anti-Kickback statutes apply in a valley where there is really only one hospital (North Valley for all intents and purposes is part of KRH) and, as I understand it, 80 percent or more of physicians are employed by KRH. Are physicians supposed to refer patients to Missoula or Spokane for specialty care or testing? Is it possible for a hospital to hire high quality specialty physicians and surgeons at cut-rate salaries so patients can stay locally rather than travel to distant cities? Did Mr. Mohatt show that patients received unnecessary tests or procedures ordered by physicians to increase their salaries? I haven’t seen any evidence to support the wrongdoing Mr. Mohatt claims occurred. Let’s see the particulars of how people were harmed or the government was overcharged.
However, in small areas like the Flathead Valley, there is no way to pay talented specialists based purely on their billings with the volumes the valley can provide. Would we have first-rate cardiac surgery and invasive cardiology, oncology, and pediatric surgery (to name a few) without some additional financial incentives? I think not.
I guess Mr. Mohatt had a great role model, James Alderson, the former chief financial officer of North Valley Hospital, who blew the whistle on their parent corporation, according to the Beacon article. He received $20.6 million, for turning whistleblower on that institution. The entire concept of whistleblowers correcting grievous wrongdoings by ratting on their employers has morphed into gigantic paydays for the whistleblowers. Is it doing the right thing that incentivizes or the large monetary reward?
A $24 million dollar payout by the hospital may very well impact what services remain at KRH and the quality of physicians they will be able to recruit in the future. Does anyone believe that the Justice Department knows better how to provide health care to us here in the Flathead? But, heck, “There is a sacrifice in doing the right thing …” Mr. Mohatt says in the article. I guess so, Mr. Mohatt.
You’re going to be awfully busy trying to figure out how to spend those millions of dollars over the next six years.
P. David Myerowitz, MD, lives in Columbia Falls.