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California State Prison Health System to Go into Receivership
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July 2, 2005 - Making good on the promise he repeatedly made in the past, U.S. District Judge Henderson said last week that despite multiple warnings "extreme measures" were in order to fix the failed prison health care system. He ordered the $1.1 billion program into receivership in an attempt to fix the system that reportedly "kills one inmate each week through medical incompetence or neglect." A written order outlining details of the receivership and a list of possible receivers will be discussed in the coming days.
Representatives on both sides of the case are calling Henderson's decision historic, as it is the first time a government operation the size of California's prison medical care system would be placed under a federal receiver. The CDC healthcare network servers more than 163,000 inmates, employs over 6,000 workers and has a $1.1 billion budget each year.
Through the action of the receivership, power effectively will shift to the receiver regarding inmate care, including how many nurses should work a shift, when a patient receives outside treatments at a community hospital - effectively all decisions. The receiver will report directly to Judge Henderson, and will be empowered to order repairs to the failed system that have been delayed by Civil Service rules, collective bargaining agreements and other typical red tape.
Estimates were unavailable as attorneys were not yet able to speculate as to how long the receivership might last or what it could cost. Henderson has been quoted as saying it would at minimum be a "multi-year effort." It is agreed that costs will not be cheap, but experts are hoping that there will be better management overall of healthcare spending.
Governor Schwartzenegger's administration says it plans to cooperate with a receiver. A spokeswoman for the Governor told the press, "We look forward to working with the receiver to create a sustainable healthcare system." Senator Gloria Romero, who resides as chairwoman of an oversight committee on corrections said, "This is the right thing to do. The only thing to do." Corrections officials did not oppose appointing a receiver, although legal briefs in response called the recommendation a "highly intrusive remedy" that should be used as a last resort.
This ruling comes as a response to the deplorable healthcare conditions that have been an on-going problem within California's prisons. Experts were appointed recently by Judge Henderson to investigate conditions, and those experts provided the court with examples of filthy conditions, ill-trained and neglectful doctors and a long list of preventable deaths.
The judge was asked to appoint an interim receiver until the "right one" could be found, however state officials oppose an interim receiver and have said that the "right one" could be hired within a few months. Judge Henderson answered that he may consider a temporary solution because "lives are at stake."
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