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ATTORNEY GENERAL'S PUBLIC HEARING


RE SALE OF VICTOR VALLEY COMMUNITY HOSPITAL (VVCH)
HELD WEDNESDAY, AUGUST 17, 2011

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Reporter's transcript of public hearing

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proceedings, taken on behalf of the Attorney General, at

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Victorville City Hall, Council Chambers, 14343 Civic

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Drive, Victorville, commencing at 3:01 p.m., Wednesday,

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August 17, 2011, before Diana L. Porter, Certified

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Shorthand Reporter No. 12729.

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PUBLIC HEARING PROCEEDINGS

APPEARANCES:

HEARING OFFICER:

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WENDI A. HORWITZ
Deputy Attorney General
State of California
Department of Justice
Office of the Attorney General
300 South Spring Street, Suite 5000
Los Angeles, California 90013
(213)897-2178

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ALSO PRESENT:
AND VARIOUS MEMBERS OF THE AUDIENCE

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PUBLIC HEARING PROCEEDINGS

INDEX

EXAMINATION BY

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BY CATHERINE M. PELLEY ...............................19

BY MIKE SARRAO .......................................23

BY DANIEL VILLAROSA ..................................35

BY SUMAN THAWKER .....................................37

BY VICTOR SABO, MD ...................................38

BY DR. ERIC HANSEN ...................................39

BY GURPAL PHAGUDA ....................................43

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BY DR. MAKALA REDDY ..................................45

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BY DR. RAKESH GROVER .................................48

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BY DR. VIJAY ARORA ...................................49

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BY DR. BRADLEY GILBERT ...............................52

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BY ADAM WEISBERG .....................................54

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BY LISA DEMIDOVICH ...................................63

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BY HELEN BOUMAN ......................................68

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BY MAYOR RYAN McEACHRON ..............................69

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BY WILLIAM THOMAS ....................................72

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BY CARL TATE .........................................80

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BY MICHELLE SPEARS ...................................83

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BY RUSS BLEWETT ......................................84

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BY DR. JOSEPH MORRIS .................................88

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BY DR. PATRICIA LUTHER ...............................90

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BY ARDIS KULYAS ......................................92

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PUBLIC HEARING PROCEEDINGS

INDEX (cont.)

EXAMINATION BY

PAGE

BY MARK KULYAS .......................................97

BY HESPERIA COUNCIL MEMBER THURSTON SMITH ...........101

BY LIONEL DEW .......................................103

BY JOSEPH BRADY .....................................104

BY CAROL KOELLE .....................................108

BY KEN ANDERSON .....................................110

BY JOE RANGE ........................................113

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BY DAWN SIKES .......................................117

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BY VAL CHRISTENSEN ..................................119

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BY REBECCA TENNISON .................................124

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BY BLAIR BRYSON .....................................126

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BY MICHAEL FELDMAN ..................................130

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BY PETER MORT .......................................142

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BY JOHN PETTY .......................................152

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BY MARTHA BRODIE ....................................156

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BY PAUL RUSS ........................................161

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BY SHERRY HALL ......................................164

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BY DIANA PASILLAS ...................................165

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BY PAT AGUIRRE ......................................169

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BY GREG ZUMBRUNN ....................................173

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BY VALERIE JOHNSON ..................................176

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BY STEVEN SCHWARTZ ..................................178

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PUBLIC HEARING PROCEEDINGS

INDEX (cont.)

EXAMINATION BY

PAGE

BY CHARLES SLYNGSTAD ................................179

BY SUZANNE RICHARDS .................................188

BY LEX REDDY ........................................191

BY HECTOR GONZALEZ ..................................199

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EXHIBITS
EXHIBIT
Exhibit 1

DESCRIPTION
LETTERS SUBMITTED AT HEARING

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PUBLIC HEARING PROCEEDINGS

VICTORVILLE, CALIFORNIA; WEDNESDAY, AUGUST 17, 2011

3:01 P.M.

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HEARING OFFICER:

Hello, everybody.

take a seat so we can get started, please.

Hi, everybody.

So glad to see everybody here

today.

General for the State of California.

Can you

My name is Wendi Horwitz.

I'm a Deputy Attorney

The purpose of today's meeting is to receive

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comments about the proposed transaction between the

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Seller, Victor Valley Community Hospital, a California

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Nonprofit Public Benefit Corporation, and the Buyers,

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Prime Healthcare Services Foundation, Inc., and PHSF

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Victor Valley, LLC, both of which are organized

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exclusively for charitable purposes under Internal

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Revenue Code Section 501C3.

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buyers and sellers will be making brief presentations.

Representatives from the

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As you can see to my right here, we have a

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court reporter who will be preparing a transcript of

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today's meeting.

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to ensure that we have a complete record of what

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everyone has to say.

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complied with when the court reporter is used.

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Use of a court reporter is necessary

There are a few rules that must be

First, before speaking, please say and spell


your last name for the reporter.

Each speaker must

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PUBLIC HEARING PROCEEDINGS

speak audibly and not too fast so that the court

reporter can record what you say.

Also, the court reporter can only record one

speaker at a time, so it is not helpful for two people

to talk at once.

If you have a prepared comment, please provide

the court reporter with a copy as well.

have a prepared statement and you're reading something

like I am right now, you tend to speak quickly and it's

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Often, when you

difficult for her to get down everything that you say.

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My office -- there's two cameras over here to

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my right.

My office has granted a request from the

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Center for Investigative Reporting to videotape today's

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public meeting.

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right and its microphone is at the podium.

The Center has set up its camera to my

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Is that right?

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THE VIDEOGRAPHER:

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HEARING OFFICER:

Yes.
And also, we have another

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individual who wanted to record today.

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The Foundation wanted to also record today's public

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meeting.

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the right here.

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That's fine.

So just so you know, there are two cameras to

In addition, there is a -- there is a

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telephone connection that is hooked up with all of the

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microphones today, and an individual from my office --

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PUBLIC HEARING PROCEEDINGS

his name is Travis La Blanc [phonetic]; he's a special

assistant to the Attorney General.

line, listening to today's comments.

He'll be on the

The service area and patients for this

facility, Victor Valley Community Hospital, includes a

Spanish-speaking population.

translator today.

Spanish-language translator to ask if anyone needs the

translator's services.

We've arranged for a

At this time, I would like the

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(Interpreter addressed the audience

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in Spanish.)

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HEARING OFFICER:

Okay.

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THE INTERPRETER:

No one has raised their

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HEARING OFFICER:

Okay.

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In addition, we have prepared sign-up sheets

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hand.
Thank you very much.

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in English and Spanish for anyone who would like to

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speak.

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the back of the room, Billy right here, who -- and I

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would like to encourage everyone to keep their comments

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to no more than five minutes.

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people who would like to speak today.

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Be sure to hand them to -- I've got a helper in

We have a number of

Unless there's any questions about the

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procedure, I would like to discuss the Attorney

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General's role in reviewing this transaction.

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PUBLIC HEARING PROCEEDINGS

Victor Valley Community Hospital owns and

operates a general acute care hospital licensed for a

101 beds, that includes an emergency department with 13

beds or treatment bays.

California, and operates the Victor Valley Community

Hospital, Women's Health Center, and Outpatient Imaging

as well.

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It's located in Victorville,

Under Corporations Code Section 5920 et seq.,


Victor Valley Community Hospital filed a notice and a

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request for the Attorney General's approval of the

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proposed sale of this facility.

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governing the proposed transaction include an Asset Sale

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Agreement for the transfer of assets and an interim

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management and lease-back agreement under which the

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Buyers would manage the Hospital for a period of time.

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The key agreements

The main provisions of the Asset Sale

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Agreement are Buyers will purchase the Hospital, real

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property, and personal property associated with its

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buildings, including equipment, associated intangible

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assets and accounts receivable, and the Victor Valley

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Community Hospital Women's Health Center.

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Excluded assets are cash and investments held

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by Victor Valley Community Hospital, including any

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charitable funds.

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The purchase price is $35 million.

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PUBLIC HEARING PROCEEDINGS

This

amount does not include the additional $25 million of

capital improvements, equipment, information technology,

infrastructure improvements, and for working capital,

with at least $15 million of that going for capital

improvements, equipment, information technology, and

infrastructure improvement at Victor Valley Community

Hospital.

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Buyers will retain all current members of


Victor Valley Community Hospital's medical staff in good

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standing and offer employment to substantially all

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current Hospital employees at benefit levels that are

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not less favorable than those provided to similarly

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situated employees of Buyers.

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salaries will be the same as well.

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And as I recall, the

Buyers have agreed to operate the Hospital as

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an acute-care hospital and continue to provide

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emergency, obstetrical, and pediatric services.

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Buyers have agreed to continue to provide

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charity care and community benefits at historical

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levels.

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Buyers will form a local governing board.

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Now, by statute, the Attorney General must

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review and consent to any transfer of control or

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ownership of a general acute-care hospital from a

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nonprofit corporation to either a for-profit entity or a

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PUBLIC HEARING PROCEEDINGS

nonprofit entity as we have here.

The Attorney General has three options in

acting upon this notice.

First, to approve, disapprove,

or approve with conditions.

required by law to consider a number of issues before

deciding among these options.

technical, legal matters to the broad question of

whether the transaction is in the public interest.

The Attorney General is

These issues range from

Ordinarily, the most significant question is

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whether the proposed transaction will adversely affect

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the availability and accessibility of healthcare

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services in the affected community.

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Now, with respect to this most significant

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question, we have a Healthcare Impact Report that was

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prepared by Medical Development Specialists for the

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Attorney General, and copies are available out on the

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desk.

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which I'll announce later.

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copies available if anyone needs one.

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the AG's Website is

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www.ag.ca.gov/charities/nonprofithosp, so it's

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N-O-N-P-R-O-F-I-T-H-O-S-P -- dot-php.

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all the notices for the Victor Valley transaction as

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well as the Healthcare Impact Report.

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If you -- you can also get it on our Website,


But it's also -- there are
On our Website,

And you will see

I --

The report describes the possibility effects

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PUBLIC HEARING PROCEEDINGS

that the proposed transaction may have on the

accessibility and availability of healthcare services in

the area served by the Hospital.

We have Phil Dalton who's to my left.

He is

the president of Medical Development Specialists, and

he's here to speak about the report and conclusions.

We invite you to comment on the report or any

other issue that you may have concerning the proposed

transaction.

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As far as a schedule goes, it is anticipated

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that the Attorney General will issue her decision on or

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before August 30th.

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Website, the same Website I gave you before,

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www.ag.ca.gov/charities/nonprofithosp.

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It will be posted again on the AG's

Let me just give you a brief summary of the

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conduct of the meeting today so that everybody knows how

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this goes if you weren't here before.

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Mr. Dalton's presentation, we will a brief presentation

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from the representative from the Seller as well as from

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the Buyer.

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signed up on the list or not -- I want to call anybody

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that works at the Hospital, any employees or doctors

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that have a time constraint that they need to -- you

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know, if they're starting work at 5:00 o'clock at the

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Hospital, I want those folks, whether you've done a

After

Then, I will call anyone who, whether you

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PUBLIC HEARING PROCEEDINGS

sign-up sheet or you've called me ahead of time, I would

like you -- and I'll let you know.

first, but you're going to need to come up to the podium

because I don't know who you are.

up and line up at the podium and we'll have you folks

testify -- or not testify, but comment first.

But I will call you

But you can just come

Now, there's one option that I want to offer

people.

If anyone has contacted me prior to today and

asked me to speak and they would like to remain

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anonymous, I would like -- so anybody who sent me

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an e-mail, who -- phone call, anyone who asked to be on

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the list before today, if anybody wants to be anonymous,

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I would like you just to come forward really quickly and

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let me know that and I will just use a different name or

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a different -- or a number or some other kind of

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reference if you would prefer that.

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just need some way to call you up to the podium.

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And that way, I

So just want to take a minute.

Is there

anybody who would like to remain anonymous?


Okay.

Okay.

That's fine.

If somebody

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changes their mind -- we're going to be taking a break.

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Our court reporter really just transcribes for about an

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hour and then she needs to just take a short break, so

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we will be taking breaks.

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people on the list, but I wanted to give anyone that

So I'm going to call the

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PUBLIC HEARING PROCEEDINGS

option.

will be calling people by whatever name or alternative

name that you've used on the sheet.

And the option was on the sheet as well, so I

Okay.

First -- oh, just in case anybody's

curious, this is a colleague of mine.

Cantori [phonetic].

and she's here to observe what happens at one of these

public meetings today.

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Her name is Jamie

She's a Deputy Attorney General,

So, Phil, go ahead.


MR. DALTON:

Thank you.

Thank you.

Good afternoon.

MDS

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is a healthcare policy and planning consultant for --

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that was retained to examine the effect of the

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acquisition by Prime Healthcare Services Foundation,

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Inc., of Victor Valley Community Hospital on the

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availability and accessibility of healthcare services.

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In this regard, we reviewed various

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transaction documents, Hospital data, state data, and

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conducted interviews of different Hospital and community

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representatives.

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available on the California Attorney General Website on

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August 5th, 2011, and as Wendi mentioned, copies are

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available in the back of the room.

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The results or analyses were made

Victor Valley Community Hospital, as Wendi

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mentioned, is licensed for 101 beds and has a range of

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services available that are typical for a small

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PUBLIC HEARING PROCEEDINGS

community hospital and also has pediatric services, a

neonatal intensive care unit, and a cardiac

catheterization lab.

sees about 32,000 emergency visits per year.

Valley admits about 6,700 patients a year, and runs an

average daily census of about 58 patients.

delivers about 1700 babies per year.

active medical staff of over 100 physicians and over 550

Hospital employees.

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Victor Valley Community Hospital


Victor

The Hospital

It also has an

Victor Valley Community Hospital is very

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important to the community.

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shortage of hospital beds, and both St. Mary Medical

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Center and Desert Valley Hospital are the only two other

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hospitals in the immediate area and they run at higher

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occupancy.

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healthcare services out of the area at other facilities,

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many of which are located down the hill in San

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Bernardino.

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The High Desert has a

Also, many parents from the area receive

Both St. Mary Medical Center and Desert Valley

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Hospital have expansive -- have expansion plans to add

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beds to their hospitals.

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Medical Center has a plan to establish a new hospital

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along the freeway, but this is not to open until plan

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date of the 2016.

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And additionally, St. Mary

Victor Valley Community Hospital is viewed as

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PUBLIC HEARING PROCEEDINGS

especially important for providing emergency services,

obstetrical services, pediatric services.

important in terms of the community of patients that it

provides services to, and these include Inland Empire

Health Plan, Medi-cal and Medicare, commercial

insurance, and uninsured patients.

Valley Community Hospital, many patients would have

difficulty accessing healthcare services and the other

hospitals in the area, which are running higher

It is also

Without Victor

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occupancy, would also be impacted without Victor Valley

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Community Hospital.

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services out of the area without the availability of

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Victor Valley Community Hospital.

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Many people would be forced to get

One important mention is that our analysis of

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the impact of this sales transaction, and our impact

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analysis is focused on this sales transaction, is

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considered in light of a few important premises and

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these include:

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Number 1, that Victor Valley Community

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Hospital has struggled financially to survive for years

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and has not made needed capital investments and, last

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year, filed for bankruptcy protection.

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Number 2, it was the reasonable conclusion of

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the board management and its advisers that without a

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sales transaction, the Hospital would be required to

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PUBLIC HEARING PROCEEDINGS

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close.
Victor Valley Community Hospital's recent

ability to continue to operate has been based on special

funds that have been made available by a state federal

government for distressed hospitals and those serving

uninsured and Medi-cal patients.

temporary solution and cannot be counted on to continue

in the future.

These funds are a

The Purchaser has made certain guarantees, and

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we, MDS, have also made certain recommendations for the

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continuation of services, and we believe that many of

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these recommendations and the guarantees which pertain

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to continuing services charity care, the maintenance of

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IEHP contracts and other items are important to minimize

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the potential negative impacts of the transaction.

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While there is a possibility of negatively

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impacting access for managed care patients, St. Mary

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Medical Center contracts with most of the same managed

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care companies that contract currently with Victor

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Valley Community Hospital.

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In summary, and in conclusion, we believe that

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the negative impacts of this -- potential negative

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impacts from this transaction would be much less than if

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the Hospital were to close, and we recommend that if the

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Attorney General approves the transaction, that our

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recommendations be accepted in order to minimize the

potential negative impacts.

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HEARING OFFICER:

Thank you very much.

Cathy,

why don't we have you go first.

CATHERINE M. PELLEY:

HEARING OFFICER:

Okay.

Cathy Pelley, she's the CEO

of Victor Valley Community Hospital and well-respected

member of the community.

COMMENTS BY CATHERINE M. PELLEY

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CATHERINE M. PELLEY:

Good afternoon.

My name

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is Catherine, C-A-T-H-E-R-I-N-E, M, Pelley, P as in

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Patrick, E-L-L-E-Y.

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I am the chief executive officer of Victor

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Valley Community Hospital.

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tell you my contract as head of the Hospital expires

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next month on September 30th, and I will retire on

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September 30th.

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Buyer, Prime Healthcare Services Foundation, if the sale

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of Victor Valley to Prime is approved by the Attorney

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General.

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I feel it's important to

I am not going to be an employee of the

I would also like to add my thanks to the

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Attorney General in making such a careful analysis and

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doing it more than once.

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you've had to consider all the views of the interested

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parties and all of the documents submitted, so thank you

I really do appreciate that

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very much.

It has always been the goal of the board and

the management of Victor Valley Community Hospital to

protect this asset for the community so that the people

of the High Desert would have access to medical care.

The fact that the area is woefully under-bedded just

makes this more important.

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Victor Valley Community Hospital's plant is 45


years old.

Maintaining it is very costly.

Equipment

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needs are substantial, and it's very clear that there's

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not enough revenue to sustain the business or to upgrade

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it.

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bankruptcy protection last year under Chapter 11, and

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our operations simply are not improving from a financial

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point of view.

The subsequent cash-flow crisis led us into

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I believe that this transaction should be

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approved because Prime will not delay a closing of the

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purchase and will bring the funds necessary for plant

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and equipment needs.

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open, the 101 beds are available for the community, and

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millions of dollars will be invested in the Hospital by

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Prime.

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in the High Desert, where unemployment is still

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extremely high.

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The sale keeps the Hospital doors

Approval of this transaction also protects jobs

Prime will continue to provide services that

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the area needs, including the emergency department,

obstetrics, pediatrics, women's services.

also enter into a new contract with Inland Empire Health

Plan, or IEHP, which provides for the many Medi-Cal

patients in the area.

together comprise more than 70 percent of the our

patient population.

of patients who are covered by other insurances.

Prime will

Medi-Cal, Medicare, charity care,

We just don't get many admissions

Although there have been a lot of statements

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made against Prime, many of which are unsubstantiated, I

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want to say for the record that when Victor Valley

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Community Hospital over the years, and most especially

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over the two and a half years that I have been the

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CEO -- whenever we have needed help for patients,

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whether it was pharmaceuticals, equipment, tests,

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whatever, Prime Healthcare Services, Desert Valley

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Hospital never said no to a patient need when other

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hospitals in the area did.

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unselfish in that regard, and to me that shows that the

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best interest of the community and the patients is

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foremost for them.

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They have always been

The Hospital must have a closed sale because

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we are under a September 1st deadline by the Federal

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Centers for Medicare and Medicaid Services, or CMS.

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says that it will revoke our certificate to operate the

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CMS

laboratory.

do not have a deal that CMS thinks is substantially

likely to close very soon, then CMS will not extend the

deadline on the revoking of the CLIA certificate.

cannot treat patients in a hospital without a

laboratory.

It's referred to as CLIA, C-L-I-A.

If we

You

While some have told the Attorney General's

office that this issue is a red herring and that it

would be very easy to outsource the laboratory, I'm here

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to tell you that's not an option.

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two and a half years.

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passes after the CLIA deadline, if we do not have a

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commitment from CMS to extend that deadline, in my

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capacity as chief executive officer of the Hospital, I

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will begin the procedure to close the Hospital.

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notify the California Department of Public Health.

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I've been trying for

And so if more than one day

I will

The approval of the California Attorney

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General will serve the community, the patients, the

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employees, the medical staff, and very well it will

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continue the access to healthcare that will save lives

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in this High Desert.

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favor of Prime as soon as you can.

Please approve the sale in the

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HEARING OFFICER:

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Mike Sarrao.

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Great.

Thank you, Cathy.

COMMENTS BY MIKE SARRAO

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PUBLIC HEARING PROCEEDINGS

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MICHAEL SARRAO:

Good afternoon.

My name is

Michael Sarrao, and I serve as the -HEARING OFFICER:

Mike, can we have you spell

your last name for the court reporter?

MICHAEL SARRAO:

I serve as the secretary and treasurer of the

Prime Healthcare Services Foundation, and I'll also act

as an attorney for the Foundation.

on behalf of the Foundation regarding its proposed

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Sure, S-A-R-R-A-O.

I'm speaking today

purchase of Victor Valley Community Hospital.


DEPOSITION OFFICER:
microphone up?

Can you move the

Thank you.

MICHAEL SARRAO:

A little background.

Prime

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Healthcare Services Foundation is a 501(c)(3) nonprofit

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public charity that was formed in 2006.

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has more than $100 million in assets and is governed by

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a board of directors consisting of Dr. Prem Reddy,

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Dr. Kavitha Reddy Bhatia, a board-certified pediatrician

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who grew up in the High Desert, retired Chino Police

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Chief Eugene Hernandez, Montclair City Councilman

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William Ruh, and David Thorson, a community leader from

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the San Fernando Valley.

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Ruh, and Mr. Thorson are all independent members of the

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board which means that the majority of the board are

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independent directors.

The Foundation

Chief Hernandez, Councilman

Each of these individuals is

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PUBLIC HEARING PROCEEDINGS

highly qualified and has a long track record of being

involved in the community.

So there is no confusion, Prem Reddy, Prem

Reddy's family, Desert Valley Hospital, and Prime

Healthcare Services, Inc., have no ownership interest in

the Foundation and do not stand to profit from the

Foundation acquiring Victor Valley Community Hospital.

Rather, the Foundation is a community asset and its

assets would be distributed to other charities in

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accordance with federal and state law if it ever ceased

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to exist.

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The Foundation owns two nonprofit hospitals,

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Encino Hospital Medical Center and Montclair Hospital

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Medical Center.

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that was donated to the Foundation December 2009 by

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Prime Healthcare Services, and Montclair Hospital is a

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102-bed hospital that was donated to the Foundation this

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past December 2010 by Prime Healthcare Services.

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Encino Hospital is a 151-bed hospital

The Foundation has formed PHSF Victor Valley,

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LLC, a nonprofit entity that is 100 percent owned by the

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Foundation to be the licensed operator of the Hospital.

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It is fairly typical for a subsidiary to be formed like

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PHSF Victor Valley was in the case of hospital

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acquisitions.

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Victor Valley and will ensure that the commitments the

The Foundation stands behind be PHSF

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Foundation has made to the Victor Valley Community

Hospital are fulfilled.

PHSF Victor Valley will be managed by a

three-person board of managers, of which two of the

three will be independent members.

candidates to serve on this board, the board of the

directors of the Foundation will serve as the board of

managers.

While we seek

As many members of the audience know,

10

Dr. Reddy and his family have lived and worked in the

11

High Desert for the past 30 years and are deeply

12

committed to the success of the High Desert and

13

healthcare in the High Desert.

14

Over the years, Dr. Reddy and his family, the

15

Dr. Prem Reddy Foundation, a separate nonprofit entity

16

formed by Dr. Reddy and his family back in 1991, and the

17

Prime Healthcare services Foundation have provided a

18

substantial amount of support to the High Desert,

19

including:

20
21
22

Donations of more than $2 million to Victor


Valley Community College;
Providing college scholarships to hundreds of

23

deserving students from the High Desert so that they can

24

pursue education and healthcare.

25

primarily based on financial need and play important

These scholarships are

25
PUBLIC HEARING PROCEEDINGS

role in helping students attend college each year.

than 40 students received scholarships this past year;

More

Operating a community medical library in

Victorville that provides education classes to residents

each year;

Opening a senior wellness center at Jess Ranch

in Hesperia that more than 500 seniors visit a month to

knit, garden, exercise, and where they also have access

to health screenings and education programs.

10

Under the terms of the Asset Sale Agreement

11

and the conditions we expect the Attorney General to

12

impose as part of the sale, the Foundation has made the

13

following commitments to Victor Valley Community

14

Hospital:

15

The Foundation will keep Victor Valley

16

Community Hospital open as a nonprofit hospital.

17

note that other buyers wanted to make Victor Valley a

18

for-profit hospital;

19

I will

The Foundation will offer employment to

20

substantially all of Victor Valley's current employees;

21

The Foundation will invest at least

22

$25 million into Victor Valley for things such as a new

23

computer system and new medical equipment, and we expect

24

to spend at least 15 million over the first three years;

25

The Foundation will provide charity care at

26
PUBLIC HEARING PROCEEDINGS

the same or greater levels than those historically

provided at Victor Valley.

charity care will increase due to improved efficiencies

in the emergency department;

We expect the levels of

The Foundation will maintain all essential

services, including emergency services, medical/surgical

services, labor and delivery, and pediatrics;

8
9

The Foundation will form a local governing


board for Victor Valley which will include members of

10

the medical staff and local community members.

11

forward to receiving input from Victor Valley's current

12

board regarding potential candidates for the local

13

governing board;

14

We look

The Foundation will recognize the independent

15

medical staff of Victor Valley, which means that all

16

physicians with privileges at the time the sale closes

17

will have the same privileges after the sale;

18
19
20

The Foundation will maintain the services


offered by the Women's Health Center;
The Foundation will contract with IEHP for

21

five years so that IEHP members can continue to receive

22

care at Victor Valley.

23

contract with IEHP yesterday;

24
25

PHSF Victor Valley signed a

The Foundation will maintain contracts with


the County of San Bernardino.

27
PUBLIC HEARING PROCEEDINGS

In addition to what may be required under the

Asset Sale Agreement and the Attorney General

conditions, the Foundation also wants to start a number

of initiatives at Victor Valley that will benefit the

community.

These initiatives include:


Increasing efficiencies in the emergency

department so that the time a patient must wait to see a

physician is decreased and the overall time patients

spend in the emergency department is decreased.

Since

10

our emergency departments operate more efficiently, more

11

patients can be seen each and every day than in other

12

hospitals, which is particularly important in terms of

13

access to care as many individuals are forced to seek

14

care in emergency departments due to a lack of

15

insurance;

16

Improving Victor Valley's scores on Medicare

17

Core Measures, which are quality-of-care indicators

18

measured by Medicare;

19
20
21

Developing outreach and education programs


with local schools and community organizations;
And working with the County of San Bernardino

22

to see whether Victor Valley could be a hub for the

23

County's medically indigent adult program so that

24

patients do not have to travel down the Cajon Pass to

25

receive care.

28
PUBLIC HEARING PROCEEDINGS

I also want to provide some background

regarding Prime Healthcare.

Above all else, Prime

Healthcare is committed to providing quality healthcare

and has received numerous awards over the past few years

recognizing these efforts, including being ranked as a

top-ten health system in the nation in a major study.

Prime Healthcare was the only for-profit system to be

ranked among the top ten and the only system west of the

Mississippi to be ranked above the top ten.

According

10

to this study, 47,000 Medicare patients would be saved

11

each year, and more than 92,000 patient complications

12

could be avoided if all hospitals provided the same

13

level of care we provide.

14

Desert Valley Hospital has been ranked as a

15

Top 100 Hospital in the Nation five different times --

16

in 2004, 2005, 2007, 2008, and 2009.

17

Medical Center has been ranked as a Top 100 Hospital in

18

the Nation in 2008 and 2010.

19

Center has been ranked as a Top 100 Hospital in the

20

Nation in 2009.

21

West Anaheim

Montclair Hospital Medical

In addition to providing quality care, Prime

22

Healthcare is committing to -- committed to providing

23

access to care to all members of the community.

24

Hospitals operated by Prime Healthcare and the

25

Foundation regularly provide more charity care than

29
PUBLIC HEARING PROCEEDINGS

other for-profit and nonprofit hospitals, and these

hospitals provided more than $180 million in charity

care in 2009 alone.

Regarding contracts with HMOs and insurance

companies, Prime Healthcare hospitals contract with them

if the rates are fair and reasonable.

Desert Valley Hospital maintains contracts with at least

18 different HMOs or insurance companies, and several

other Prime Healthcare hospitals maintain contracts with

10
11

For example,

various HMOs and insurance companies.


The Foundation is happy to speak with any HMO

12

or insurance company regarding contracts at Victor

13

Valley so long as they offer rates that are fair and

14

reasonable and do not lead to millions of dollars in

15

losses like those set by Victor Valley in 2009 with

16

respect to managed care business.

17

for Victor Valley to lose so much money in favor of

18

these HMOs and insurance companies.

19

It is simply unfair

On a related note, some of you may have seen

20

or heard the campaign one particular union SEIU-UHW has

21

embarked upon the slander Prime Healthcare with

22

misstatements, distortions, and outrageously false

23

allegations.

24

misguided effort into perspective.

25

Let me make several points to put that

SEIU-UHW does not represent a single employee

30
PUBLIC HEARING PROCEEDINGS

at either Victor Valley Community Hospital or Desert

Valley Hospital.

doctor who actually diagnoses the patients.

doctors, not hospitals, are the ones who practice

medicine.

SEIU-UHW does not represent a single


Remember,

SEIU-UHW's claims about blood infections or

sepsis, malnutrition, ER admission rates, and Medicare

fraud are nothing more than false and fraudulent

propaganda put out by SEIU to harm Prime Healthcare.

10

Joint Commission or HFAP, two Medicare

11

accreditation organizations, surveyed ten of Prime

12

Healthcare's hospitals, including Desert Valley

13

Hospital, and found no evidence to support SEIU's

14

allegations regarding blood infections.

15

SEIU-UHW, which simply relied on distorted statistics,

16

these accreditation organizations reviewed actual

17

patient records.

18

And unlike

SEIU-UHW has ignored the embarrassing fact

19

that there are other hospitals in Southern California,

20

at which SEIU has contracts, which have set the senior

21

rates similar to those at Prime Healthcare Hospitals.

22

In response to SEIU-UHW's allegation regarding

23

malnutrition rates at Prime Healthcare Hospitals, Joint

24

Commission, a Medicare accreditation organization,

25

conducted a review of the allegations and found no

31
PUBLIC HEARING PROCEEDINGS

evidence to support the allegations.

SEIU has also ignored the fact that a hospital

a which SEIU has a contract has the highest malnutrition

rate in the state of California.

SEIU's claims about admission rates of Prime

Healthcare Hospitals failed to indicate that there are

more than 142 hospitals in California with admission

rates above the state average, including several

hospitals which have higher admission rates than Prime

10
11

Healthcare hospitals.
SEIU-UHW has also claimed that Prime

12

Healthcare is the subject of an investigation by

13

Medicare's Office of Inspector General, that California

14

Department of Public Health will not issue a hospital

15

license to Prime Healthcare, and that the Attorney

16

General will not approve the sale of Victor Valley

17

Community Hospital.

18

These are also false statements.

Medicare's attorney stated in bankruptcy court

19

on July 12th that there's nothing that prevents Prime

20

Healthcare from participating Medicare.

21

CDPH, the California Department of Public

22

Healthcare, has actually encouraged Prime Healthcare to

23

submit an application for a hospital license for Victor

24

Valley and has not indicated that it will not issue a

25

hospital license to Prime Healthcare.

32
PUBLIC HEARING PROCEEDINGS

There may also be parties with vested economic

interests who stand up today and complain that the

Foundation will cancel all of the HMO and insurance

company contracts.

many of these parties have a financial interest in these

very same contracts and that these HMOs and insurance

companies paid such low rates to Victor valley that it

lost millions of dollars each year providing care to HMO

patients.

It is important to remember that

It is also important to remember that

10

patients can seek emergency care at Victor Valley or any

11

other hospital regardless of whether or not their HMO or

12

insurance company has a contract with Victor Valley.

13

There may also be some parties who stand up

14

today and say that they are interested in acquiring

15

Victor Valley and should be given the opportunity to bid

16

for the Hospital.

17

have you been?

To any such comments, we say where

18

Victor Valley held an extensive due diligence,

19

bidding, and auction process almost a year ago and there

20

were only two bidders who actually participated in the

21

auction:

22

Valley Hospital Acquisition.

23

Acquisition won the auction and was given more than six

24

months to close the transaction, but did not close the

25

transaction for whatever reason.

The Foundation and the for-profit Victor


Victor Valley Hospital

It's a bit late for

33
PUBLIC HEARING PROCEEDINGS

these bidders to now say they're interested.

United States Bankruptcy Judge Catherine Bauer

-- excuse me -- already heard these same comments and

rejected them when she approved the sale of Victor

Valley to the Foundation on July 12th, 2011.

Prime Healthcare Services Foundation is ready,

willing, and able to acquire the assets of Victor Valley

Community Hospital and looks forward to operating the

Hospital as a first-class community hospital which

10

provides quality healthcare to all members of the

11

community.

12

Thank you.
HEARING OFFICER:

Thank you.

Mike, can you --

13

and also, Cathy -- can you make sure that you give the

14

reporter a copy your comments there?

15

MICHAEL SARRAO:

16

HEARING OFFICER:

17

MICHAEL SARRAO:

19

HEARING OFFICER:

21

Perfect, perfect.

Thank you.
Okay.

Is there anyone

who -- I just want to -Before I get to my list, is there anyone

22

who -- I have one doctor, Villarosa, Daniel.

23

mispronouncing it.

24

and Dr. -- oh, okay.

25

Thank

you.

18

20

I already did.

I may be

Why don't come on up, and Dr. Reddy

And if there's anyone else who's working at

34
PUBLIC HEARING PROCEEDINGS

the hospital, just go ahead and just line up.

again, I only want one of you to speak at a time.

if anyone who works at the hospital, who's going to

start on a shift at 5:00 o'clock -- employees, doctors,

anyone else who works at the hospital -- just please

come up and line up and let me just hear from you first.

And then, I'm going to get to the list of people who

asked to speak today.

And
But

But again, I want you to say and spell your

10

last name so the court reporter can get your name.

11

Thank you.

12

COMMENTS BY DANIEL VILLAROSA

13

DANIEL VILLAROSA:

My name is Daniel

14

Villarosa, V as in Victor, I-L-L-A-R-O-S-A.

15

the OBGYNs who work at the hospital and vice chief of

16

staff at Victor Valley Hospital.

17

I'm one of

And I wanted to point out that the hospital is

18

running at a deficit.

However, the -- they do provide a

19

lot of free charity care for the hospital.

20

inappropriate -- I mean, in- -- disproportionate share

21

of self pay, which means no pays to the hospital.

22

in other hospitals, these patients are quickly shuffled

23

out of the hospital, because we get them; that's how we

24

know.

25

Valley, but both hospitals, they end up somehow at

They have

And

And I'm not going to say specifically Desert

35
PUBLIC HEARING PROCEEDINGS

Victor Valley.

And I also know that whenever we try to look

into a HMO contract to book patients at Desert Valley,

even though they take so many HMO patients, we never

seem to be able to book any patients over there.

always send them to either Victor Valley or St. Mary's

Hospital.

lot of (unintelligible) patients.

They

I don't -- I've never heard of them taking a

I've heard they've canceled most of their

10

contracts.

11

right to run their business as they run their business.

12

But I know that a lot of the patients we try to book for

13

HMO patients, we end up having Victor Valley or

14

St. Mary's.

15

And I understand that, you know, they have a

So that's from a practical point of view, so

16

that -- I don't know what their arrangements are, their

17

legal agreements are.

18

happening usually when we try to book patients.

19
20

But that's what I know ends up

HEARING OFFICER:

Okay.

Is there anything

further?

21

DANIEL VILLAROSA:

22

really wanted to point out.

23

HEARING OFFICER:

24

for coming.

25

Doctor.

No.

I think that's all I

Well, thank you very much

I appreciate it very much.

36
PUBLIC HEARING PROCEEDINGS

Thank you,

COMMENTS BY SUMAN THAWKER

SUMAN THAWKER:

Thawker, S-U-M-A-N, T-H-A-W-K-E-R.

rheumatologist, and I've been in this community for more

than 25 years.

the community for all these years, I'm quite cognizant

of the healthcare requirements and needs of this

community.

My name is it Dr. Suman


I'm a practicing

I raised my family here.

And being in

All the three hospitals are running at full

10

capacity, and Desert Valley and St. Mary both have opted

11

and have decided to add more beds.

12

closure of a hospital would really be a catastrophe to

13

the healthcare needs of our society.

14

So to consider a

From some of the information that I saw, the

15

accusation that the hospitals by law are not allowed to

16

put the diagnosis or recommendation to the doctors.

17

It's the hospital physician's, admitting physician's

18

duty and requirement to write the diagnosis.

19

whole accusation that the Prime Care is putting the

20

diagnosis is totally incorrect.

21

So the

It seems the whole discussion right now is

22

based more on the control of the personnel and the

23

healthcare environment rather than medicine, rather

24

than, you know, worrying about the healthcare

25

requirements of our community.

37
PUBLIC HEARING PROCEEDINGS

On a personal note, I do know -- I have known

Dr. Reddy for more than 26 years.

physician.

devoted a lot of his time, money, energy, and his

resources to the well-being of this community.

would hope and implore that all these issues are taken

into account before you make any decisions.

He's been a very good friend, and he has

HEARING OFFICER:

He's an excellent

So I

Thank you.

Thank you very much.

COMMENTS BY VICTOR SABO, MD

10

VICTOR SABO, MD:

Thank you.

My name is

11

Victor Sabo, S-A-B-O, MD, Chief of Staff at the Desert

12

Valley Hospital.

13

Healthcare Foundation acquiring Victor Valley Community

14

Hospital.

15

I am in support of the Prime

I have been on staff of Victor Valley

16

Community Hospital since 197- -- since 1988.

17

built my practice from the ground up by taking call at

18

Victor Valley Community Hospital in the emergency room

19

starting back in September 1988.

20

I have

This community needs Victor Valley Community

21

Hospital to continue to serve and keep up with the

22

growing demands of the increased population of the High

23

Desert.

24
25

I am also the medical director of Desert


Knolls Convalescent Hospital, a skilled nursing facility

38
PUBLIC HEARING PROCEEDINGS

one block away from the Victor Valley Community

Hospital, which fills the emergent needs of the patients

of that facility.

The three emergency rooms in the High Desert

currently deal with a high volume of patients.

of a facility would be devastating to the residents of

the High Desert, including the seniors in these nursing

homes.

The loss

As Chief of Staff at Desert Valley Hospital,

10

I've had the privilege of working with the medical staff

11

and have intimate knowledge of the data which reflects

12

only the highest standards of care being delivered to

13

our patients.

14

wish to create doubt and mistrust are false and

15

shouldn't be believed.

16

course of action for delivery of care, and the

17

individual making these allegations -- the individuals

18

that make these allegations do not understand how

19

medical care is delivered within a Hospital.

20
21
22
23
24
25

Allegations being made by those who only

As physicians, we determine the

HEARING OFFICER:

Great.

Thank you.

Thank you very much,

Dr. Sabo.
Hi.
COMMENTS BY DR. ERIC HANSEN
DR. ERIC HANSEN:

Hello.

Dr. Eric Hansen,

family medicine doctor in Hesperia for the last nine

39
PUBLIC HEARING PROCEEDINGS

years.

E-R-I-C.

It's spelled H-A-N-S-E-N; first name is Eric,

I'm in agreement with my colleagues as far as

the need for this hospital.

if this hospital was lost, and I think that everyone

realizes that.

It would be a huge travesty

I think it's important to -- and it maybe

could have been even more important to hear in the

openings about the other offers that are on the table

10

regarding the hospital, because it's kind of presented

11

initially that this hospital will close if this deal

12

does not go through.

13

been on the table, and it might have been, and could

14

still be, important for everyone here to -- to have a

15

little bit background on that.

16

There are other deals that have

The major concern for myself, and there may be

17

some conflict of interest because I have a large

18

population in my practice of HMO patients.

19

large population in the High Desert.

20

well, I actually don't have the statistics on the amount

21

of HMO admissions to Victor Valley Community Hospital

22

compared to private insurance admissions, but I know

23

that my HMO patients have been impacted directly by the

24

way the business model is run through the Desert Valley

25

Hospital.

There is a

I know that --

So my concerns with Prime Health taking over

40
PUBLIC HEARING PROCEEDINGS

a second hospital and potentially monopolizing the High

Desert, it's a major concern.

The case in point is that when my HMO

patients, on more than one occasion, have shown up in

the emergency room, I was not contacted when I had

privileges at Desert Valley Hospital.

come to me after follow-up and wonder why I didn't come

see them and that they were told by the ER doctor that I

had been paged and I never called back.

The patient would

And hopefully,

10

this, you know, is -- that's hearsay, nevertheless, but

11

this was something that prompted me to cancel my

12

privileges and not renew them through that hospital,

13

because this happened more than one time and these

14

patients were admitted through their hospital list

15

service, not to any knowledge of my own, and studies

16

were ordered and done that had been done elsewhere, and

17

only I had that information because I was the treating

18

physician, but was left out of the loop.

19

So if this is a way that this practice could

20

occur through Victor Valley Hospital, now I'm very

21

concerned about my patients, the utilization of

22

healthcare in general, not to mention the potential

23

problem with not contracting with the HMO or medical

24

groups that these HMO patients are -- are ensured by.

25

HEARING OFFICER:

Now, which HMO groups are

41
PUBLIC HEARING PROCEEDINGS

you talking about?

Can you just give me a couple names?

DR. ERIC HANSEN:

Well, there's -- I know even

some private PPOs.

But the HMO group through Choice

Medical Group, for instance.

HEARING OFFICER:

Okay.

Choice.

DR. ERIC HANSEN:

Yeah.

Which is a large

Okay.

medical group in the High Desert;

HEARING OFFICER:

Right.

DR. ERIC HANSEN:

And so these -- these

10

patients, if they're not seen at this hospital under a

11

contracted rate, there's essentially no limit on what

12

can be billed for services without a contracted rate.

13

So I know that the initial impact report

14

stated that most physicians agree, but I know I was not

15

asked.

16

directly impacted that have a high quantity of HMO

17

patients in their practice that would also be directly

18

impacted as far as where they would be able to go to do

19

surgical procedures as outpatients, things that are

20

negotiated basically on contracted rates.

21

would basically overburden St. Mary's Hospital,

22

potentially, because they would be, then, the only

23

hospital left in the High Desert that potentially is

24

contracted with that medical group, for instance.

25

I know probably 60 other doctors that would be

So this is a major issue.

And that

And yet, I

42
PUBLIC HEARING PROCEEDINGS

understand the emotional aspect of the hospital could

close.

with that entirely.

option unless there was some stipulation put in about

potentially contracting with all parties and not

necessarily having a monopoly and control over that

entire aspect of patients that are treated, because it's

a large population.

sure it can be found.

10

This is -- we can't lose the hospital.

But definitely, this isn't the only

I don't have the numbers, but I'm


So it's just an important aspect

you need to be aware of.

11
12

I agree

HEARING OFFICER:
very much.

13

Great.

Thank you

I appreciate it.
DR. ERIC HANSEN:

14

Okay.

Thank you.

COMMENTS BY GURPAL PHAGUDA

15

DR. GURPAL PHAGUDA:

Dr. Gurpal.

First name

16

is G-U-R-P-A-L; last name is Phaguda, P-H-A-G-U-D-A.

17

I'm also a family physician practicing in this area for

18

the last 18 years, and I want to support everything

19

Dr. Hansen has said.

20

physician, all the things he said, I do want to support

21

that.

22

Being a private-practice

As physicians, we don't want Victor Valley

23

Hospital to close.

That's why we supported, uh,

24

Dr. Kali Chaudhuri coming in nine months ago.

25

that hospital to stay open; no question about that.

43
PUBLIC HEARING PROCEEDINGS

We want

Our main request to the Attorney General's

office is that allow our HMO patients admission

opportunity to that hospital.

problem -- at least, I don't have a problem with

Dr. Prem Reddy or Prime Care.

when it's time for contracting that our HMO patients do

have an opportunity to come to that hospital.

8
9

We don't have a

I just want to make sure

The attorney who spoke for Prime Care mentions


that they'll accept, look into reasonable rates, but

10

that's a very open statement.

11

much.

12

think any HMO or IPA or a group is going to ask for

13

unreasonable rates, but it needs to be something that

14

the Attorney General needs to put some provisions that

15

would assist the groups to allow their HMO patients

16

access to that hospital.

17

It doesn't really say

And I think it needs to be reasonable.

I don't

So again, I want to stress as physicians,

18

there's no doctor in the High Desert who wants Victor

19

Valley Hospital to close.

20

in this community.

21

unfortunately, HMO is here to stay.

22

here, and we have a large HMO market in this community.

23

So our concern is that if you have a monopoly

Our patients -- we need beds

Our emphasis is fortunately, or


That market is

24

of a business practice -- I mean, Dr. Reddy's open to do

25

whatever he prefers.

It's his hospital at Prime Care

44
PUBLIC HEARING PROCEEDINGS

and -- but my request is that the kind of care and the

kind of business model that is practiced at Victor

Valley Hospital should be open to HMO patients and not

have restrictions where patients don't have access to

that Hospital.

6
7

HEARING OFFICER:

10

It looks like a Dr. Reddy, Mekala Reddy.


great, and if there's anybody else.

Oh,

Other than that,

I'm going to start with my list.

11

COMMENTS BY DR. MAKALA REDDY

12

DR. MAKALA REDDY:

13

HEARING OFFICER:

14

Thank you very much.

appreciate it.

8
9

Thank you.

I'm Dr. Makala Reddy.


Again, could you spell your

last name for the record, please.

15

DR. MAKALA REDDY:

Reddy, I don't need to

16

spell out; right?

Last name, Makala, M-A-K-A-L-A.

I've

17

been in this community almost 30 years.

18

for -- 30 years ago here when there was an air force

19

base.

20

this is a good place to settle down and practice, and

21

I've been practicing every since.

I started

And then, after I finished my term, I decided

22

I know Prime Care.

Before it was Prime Care,

23

it was Desert Valley Medical Group, Desert Valley

24

Hospital.

25

few other physicians who started the whole group, that

And, in fact, me and Dr. Reddy, along with a

45
PUBLIC HEARING PROCEEDINGS

was almost 28 years ago.

separated and we are in separate group, and I have my

own practice since then.

For various reasons, we got

What is happening right now is before, we had

three hospitals.

choice.

(Unintelligible.)

DEPOSITION OFFICER:

DR. MAKALA REDDY:

Patients have good

I'm sorry.

Parents also had a good

choice to go to various hospitals.

With the hospital

10

turmoil of Victor Valley Hospital, now it's being taken

11

over, possibly taken over by Prime Care.

12

a creating a lot of anxiety among the physicians.

13

reason being the model Desert Valley -- I'm sorry --

14

Prime Care that they've chosen has been a little bit of

15

problem for us.

16

That, kind of
The

We have another hospital that is Desert Valley

17

Hospital.

18

the contract, keep the emergency room open, and whoever

19

comes, uh, that has private insurance, you bill them at

20

full rate and make good profit.

21

who need elective procedures, because they don't have a

22

contract with that insurance, they cannot go there.

23

In town, what I hear is that they cancel all

HEARING OFFICER:

Whereas with patient

Sir, could you -- I'm sorry.

24

Could you just talk a little bit closer to the

25

microphone?

Why don't you just pull it down a little

46
PUBLIC HEARING PROCEEDINGS

bit closer to you.

she can hear you.

That way, everyone can hear you, and


Thank you.

DR. MAKALA REDDY:

Whereas Victor Valley

Hospital has been treating almost every possible

insurance, all the Medi-Cal, HMOs -- that is, IEHP

Advantage, Molina.

in town does not accept Medi-Cal [phonetic], Molina, or

Advantage.

providing the care for the poorest of the poor.

Even St. Mary Hospital that we have

10

So it's only hospital that has been

Patients -- I can speak about the surgical

11

aspect because I'm in that area.

12

cancers, colon cancers, they can't go any other place

13

with Advantage or Molina.

14

Valley Hospital.

15

People with the breast

They can only go to Victor

So with their track record of the Prime Care,

16

there's a huge concern.

What will happen with these

17

people?

18

Los Angeles, is 40, 50 miles.

19

even find a car to bring the patient to the hospital or

20

the doctor's office.

21

gasoline prices going up is a huge problem.

The nearest hospital down below, that is in

22

So many times, they can't

And driving that far down with the

So my opinion to you is if there's a third

23

player in the ballgame, you should consider it very

24

seriously.

25

Thank you.
HEARING OFFICER:

Thank you very much.

47
PUBLIC HEARING PROCEEDINGS

COMMENTS BY DR. RAKESH GROVER

RAKESH GROVER:

Good afternoon.

Rakesh Grover.

the last name is Grover, G-R-O-V-E-R.

I'll spell it.

My name is

It's R-A-K-E-S-H, and

I'm the chairperson of the Department of

Surgery at Victor Valley Hospital.

I am also a

chairperson of various committees functioning at base

levels.

Committee that's the highest branch in the hospital for

And I'm also part of the Medical Executive

10

conducting physician affairs.

I also had the privilege

11

of being the past president of the Indian American

12

Cultural Society in the High Desert.

13

practice of 15 years in the department of surgery in

14

this wonderful High Desert community.

And I have been in

15

I wish to thank you, allowing us to give this

16

opportunity and to be able to come here and express our

17

concerns.

18

It's a deep concern we have for the healthcare

19

delivery here in the High Desert.

20

to do good things.

21

have gone through tough times, and this is one such.

22

We all like good --

We all would want to, um -- we all

It is indeed a test of our prudence to

23

exercise non-biased judgement in a very cool manner for

24

the benefit of this community, that this community so

25

richly deserves.

We owe it to this community.

48
PUBLIC HEARING PROCEEDINGS

A decision that is made without exploring

other viable options that are available would not be

appropriate.

we owe it to them.

It is our general responsibility, and

I have been a member of this community.

I am

part of this community.

And it is a deep concern that I

have that the healthcare delivery not be disrupted or

all viable options be please be explored.

vital that this hospital stays open.

It is very

All my respectable

10

colleagues across the board have expressed those views

11

and agree with all of those, especially Eric Hanson, who

12

very ably spoke.

13

you very much for your attention.

14
15

Please, please listen to us.

HEARING OFFICER:

Thank you very much, Dr.

Grover.

16

So you're a doctor?

17

DR. VIJAY ARORA:

Yes.

18

HEARING OFFICER:

Okay.

19

other doctors?

20

last one.

21

we're gonna get to the list.

22

Okay.

Great.

Great.

Is there any

This is going to be our

We're going to take a short break, and then


Okay?

Okay.

Thank you.

COMMENTS BY DR. VIJAY ARORA

23

DR. VIJAY ARORA:

Doctor Vijay Arora.

24

HEARING OFFICER:

Yeah.

25

Thank

mic.

You need to move the

Thank you.

49
PUBLIC HEARING PROCEEDINGS

DR. VIJAY ARORA:

My name is Dr. Vijay Arora.

First name is Vijay, V as in Victor, I-J-A-Y; last name,

Arora, A-R-O-R-A.

I'm an OBGYN physician in private practice in

the High Desert for more than 25 years.

Dr. Tucker, consider Dr. Prem Reddy and several of the

senior members of his group to be very close friends.

8
9

I, just like

I would like to talk about the impact report


that you said at the very beginning was a very important

10

piece of evidence to consider.

11

doctors listed in that impact report, in a meeting with

12

you have basically expressed very serious reservations

13

about the possible disruption of care.

14

your office to take that seriously.

15

office to look at every and all other option that may be

16

available.

17

best care and the most accessible care to our patients.

18

The vast majority of

I would like

I would like your

Our goal as physicians is to provide the

It was stated by the consultant earlier that

19

recommendations could be made about keeping certain

20

departments open and mandating those -- that those

21

departments stay open.

22

alone does not allow access to the patients on an

23

elective basis.

24

the emergency room.

25

obligate hospitals to provide care, but at what cost?

Keeping the departments open

Patients can certainly come in through


There are federal laws that

50
PUBLIC HEARING PROCEEDINGS

Several of my colleagues have mentioned HMOs,

and I reiterate that fact very strongly, but we also

have to consider several PPOs.

Blue Cross of California.

California.

care to about 70 million people in the United States.

There is Aetna; the only hospital that has a contract in

the High Desert currently is Victor Valley Hospital.

Several of the state employees, school teachers, highway

Number one in those is

We have Blue Shield of

There is United Healthcare that renders

10

patrolmen, police officers -- a vast majority of those

11

people have these particular insurances that I just

12

listed.

13

It would be my humble request to you to look

14

at all, every option and, number two, require, make it

15

an absolute requirement of whoever acquires this

16

valuable asset for the community to continue to provide

17

the same level of care across the board, including PPOs,

18

including HMOs.

19

make contracts more competitive if they have to be,

20

because we certainly do not want the hospital to lose

21

any revenue.

Of course, in the process, trying to

Thank you very much.

22

HEARING OFFICER:

23

Okay.

Thank you very much.

We're going to just take a quick

24

five-minute break.

25

Thank you.

We're going to start back at 4:10.

51
PUBLIC HEARING PROCEEDINGS

(A recess was taken.)

HEARING OFFICER:

Okay.

First person we're

going to be calling today -- let me grab my list -- is

Dr. Gilbert.

heard from Dr. Sabo.

have you come up, and Lisa from UNAC, we're going to

have you come up.

And after Dr. Gilbert -- oh, we already


And then, Adam, we're going to

COMMENTS BY DR. BRADLEY GILBERT

DR. BRADLEY GILBERT:

Thank you.

My name is

10

Dr. Bradley Gilbert, B-R-A-D-L-E-Y-G-I-L-B-E-R-T, and I

11

am the CEO of Inland Empire Health Plan, or IEHP.

12

IEHP is a not-for-profit health plan that

13

serves over 515,000 individuals in our two counties,

14

including over 60,000 members in the High Desert.

15

of our members are low-income, vulnerable families,

16

adults, and children.

17

members that we serve.

18

All

Those are the only type of

Victor Valley, as clearly documented in the

19

MDS is report, is a critical hospital in the High Desert

20

and, in particular, is a critical hospital for

21

low-income, vulnerable families and children served by

22

IEHP.

23

We have had a 15-year relationship.

We are

24

coming up on our 15th anniversary on September 1st.

25

started on September 1st, 1996.

We

And that entire time,

52
PUBLIC HEARING PROCEEDINGS

we've had a relationship with Victor Valley Community

Hospital.

renovate their emergency department.

paid for three months in last year, when the budget

wasn't passed by the State, we continued to pay them

regardless of the fact that we were not being paid.

our relationship with them has been good, it's been

strong, and it's been ongoing.

We have supported them.

We helped them
When we weren't

So

I think people have said it very clearly, that

10

survival of this hospital is absolutely critical for the

11

community.

12

the MDS report that were previously included in the AG

13

conditions, that include the maintaining of services,

14

the critical services to Victor Valley provides, and,

15

most importantly for IEHP, the maintaining of a contract

16

with Inland Empire Health Plan so that our members can

17

get the service that they need.

18

We spongily support the recommendations in

We have reached an agreement as Mr. Strow

19

[phonetic] said.

We have reached an agreement with the

20

potential buyer, and we think that agreement will

21

support the hospital going forward.

22

continuing to work with the new buyer for our patients

23

and the doctors that serve them in the community.

24

HEARING OFFICER:

25

DR. BRADLEY GILBERT:

We look forward to

Great.
Thank you.

53
PUBLIC HEARING PROCEEDINGS

1
2
3

HEARING OFFICER:
Dr. Gilbert.

Adam, and then after Adam, Lisa, if you could

come up too.

it seems to go faster.

Thank you very much,

If we just have a couple people like that,

Again, I want to tell everyone, you know, try

to keep your comments three to five minutes.

appreciate it.

going to try to keep everyone at three to five because

10

we to have a whole lot of people not only on the list,

11

but as well on the sign-up sheets.

12
13
14

Adam may go a little longer, but I'm

Thank you.

Adam.
COMMENTS BY ADAM WEISBERG
ADAM WEISBERG:

I'm Adam Weisberg.

That's

15

W-E-I, S as in Sam, B as in boy, E-R-G.

16

analyst and researcher with Service Employees

17

International Union -- United Healthcare Workers West.

18

I want to address briefly -- and I've got quasi-prepared

19

remarks, so I'll have to try to e-mail you some of the

20

text if you miss anything.

21

And I am a data

I want to address briefly some of the issues

22

that were raised by the Seller and prospective buyer.

23

The first is around the CLIA license issue.

24

accept that as a serious question, the agreement that

25

the Hospital hammered out with CMS extending the

54
PUBLIC HEARING PROCEEDINGS

So while I

deadline to September 1st also requires CMS -- requires

CMS to extend the deadline further for cause.

Obviously, if the Attorney General were to deny this

sale, that would be cause.

Victor Valley Community Hospital, because, you know,

clearly, they've been doing what they're supposed to do

in trying to find a buyer for this hospital.

8
9

It wouldn't be any fault of

The second issue I want to address is


around -- that came up in the earlier remarks is around

10

the board of Prime Healthcare Services Foundation and

11

the decision making of that nonprofit organization to

12

invest in Victor Valley Community Hospital.

13

until very recently, did not have three independent

14

members or Dr. Reddy's daughter on -- on it.

15

does.

16

clearly came far, far before then.

17

decision -- it cannot be reasonably stated that decision

18

was made without -- you know, entirely by independent

19

individuals.

20

That board,

It now

But the decision to purchase Victor Valley


And so the

Certainly, Prime does stand to gain through

21

the purchase of Victor Valley Community Hospital.

22

will dominate the market.

23

ability to negotiate contracts should they decide to do

24

that.

25

They

They will have tremendous

So on to the prepared remarks.

55
PUBLIC HEARING PROCEEDINGS

In deciding

whether to let Prime buy Victor Valley, the Attorney

General must consider whether the sale is in the public

interest.

4
5

HEARING OFFICER:
going to read.

6
7

Thank you.

ADAM WEISBERG:

We believe it's not, and I

want to brief you on the reasons why not.

8
9

Adam, go slowly if you're

Prime's business practices are controversial


and they're damaging.

Prime's chairman has referred to

10

the emergency room as a gold mine according to sworn

11

testimony.

12

The company refuses to bargain contracts with

13

insurers.

14

patients facing an emergency by requiring their insurers

15

to pay out-of-network emergency rooms usual and

16

customary charges.

17

turned this law into a cynical business model to extract

18

as much profit as possible from an emergency when an

19

insured patient enters the emergency room.

20

Why is that?

Because California law protects

What Prime has done is they've

Once in the hospital, patients are billed for

21

extraordinarily serious conditions at extraordinary

22

rates.

23

life-threatening blood infection.

24

seniors who get it do not survive.

25

well under the Medicare system.

Septicemia is an example.

Septicemia is a
Around 20 percent of
It also pays very

Whatever the reason,

56
PUBLIC HEARING PROCEEDINGS

five of the six hospitals with the highest rates of

septicemia in the United States of America were operated

by Prime Healthcare in 2008.

operated 7 out of the top 12.

3,000 hospitals, and at the time Prime only operated 13

U.S. Hospitals.

In 2009, Prime again


This was out of around

California's Department of Public Health

recently looked at a sample of septicemia charts at

Prime hospitals, and some -- some of the septicemia

10

patients did not even have a fever or get antibiotics.

11

Others had urinary tract infections.

12

Another example is severe malnutrition.

We

13

just got 2010 numbers on this, and what you're looking

14

at here are the 12 highest hospitals with the highest --

15

are the 12 hospitals with the highest rates of severe

16

malnutrition in the state of California.

17

yellow are operated by Prime.

18

highest 12.

These are numbers that come from OSHBID

19

[phonetic].

Again, Medicare generally pays more for

20

people whose care is complicated by severe malnutrition.

21

It can mean thousands of dollars per hospital stay.

22

The ones in

That's 10 out of the

If you look at these numbers, we're talking

23

about a 31 percent rate of severe malnutrition at Shasta

24

Regional Medical Center; 17 percent, Huntington Beach

25

Hospital; 16 percent at West Anaheim Medical Center;

57
PUBLIC HEARING PROCEEDINGS

12.6 percent of seniors at Paradise Valley; 11 percent

of seniors at Centinella; 11 percent of seniors at

Desert Valley.

California, and they're all operated by Prime

Healthcare.

Those are the top six in the state of

They're just the numbers.

Even though Prime tells Medicare its patients

are extremely sick, managed care plans like Kaiser and

Heritage, as well as former employees and physicians

have alleged that Prime actually admits patients who do

10

not even need to be admitted.

11

allegedly admitting patients who could be treated in the

12

emergency room and then sent home.

13

back that up.

14

In other words, Prime is

The numbers seem to

We've got another chart here, and what this

15

chart shows is all 94 health systems in the United

16

States of America that had at least 10,000 general

17

medical claims that they billed Medicare for in 2009.

18

So each of those X's is a health system, plus the

19

circle.

20

it's Prime.

21

have are the number of stays, the number of hospital

22

stays that are very, very short, two days or less.

23

The circle is the same as the others except


On the Y axis, going up and down, what you

The green line is the national median.

24

can see that Prime is very far above the national

25

median.

You

They have, you know, a very large number of

58
PUBLIC HEARING PROCEEDINGS

short stays.

There's probably five or so health systems

in the U.S. out of 94 that had more short stays.

But then, on going from left to right there on

the X axis, what you're looking at is the severity level

that Prime is billing Medicare for for its general

medical care.

apples to -- compare hospitals apples to apples, what

we're looking at are not the surgeries, but the medical

care, and we're taking out burn centers, um, HIV, um,

So in order to compare apples, oranges --

10

cancer and other highly specialized areas that each

11

hospital doesn't have.

12

medical care.

13

years and did not create for this purpose.

That's all your just general

It's a metric that we've used for many

14

The -- if you look, Prime has -- while it has

15

a very large number of short stays, it's severity level

16

is where -- it would be off the chart if you drew the

17

chart, you know, without Prime, far, far higher than all

18

of those other systems in the United States.

19

Mayo Clinic, the Cleveland clinic.

20

severe patients than them according to their Medicare

21

bills.

22

is obtaining and draining out of the healthcare system.

23

That's the

Prime has a far more

So all this adds up to a lot of money that Prime

California Watch estimates that the extra

24

admissions from the emergency room may have cost

25

taxpayers over $200 million.

Then, there's what it --

59
PUBLIC HEARING PROCEEDINGS

then, there's the cost to insure patients.

don't -- to my knowledge, no one has been able to

calculate that number.

money that they're able to get by billing Medicare on

the inpatient side for such severe illnesses.

can get a sense of that amount from this chart.

And I

In addition, there's the extra

And you

So what you're looking at here are, again, the

same health systems, all 94 in the country that had at

least 10,000 qualifying inpatient stays, so general

10

medical care.

And Prime is four standard deviations

11

above the mean in what it gets paid per the case -- four

12

standard deviations above the mean.

13

higher than about two; again, Mayo Clinic, Cleveland

14

Clinic, all these folks.

15

when you add this up, we're talking about 50 million or

16

so dollars over two years.

17

concerning thing about this is in addition to the

18

potential for excess admissions, which you would expect

19

to reduce in -- result in lower community stays, we're

20

seeing higher community stays.

21

community stays when we look at the length of the stay.

22

And one of the things that would happen if, in fact,

23

Prime were saying that their patients are significantly

24

sicker than they really are is that their outcomes, the

25

patients' outcomes would be much better than Prime says

Nobody else is

That's for every case.

And

And, you know, the more

Now, we see the lower

60
PUBLIC HEARING PROCEEDINGS

they are, you know, than they would be.

So, for example, if you have septicemia,

you're a senior, there's about a 20 percent chance

you're going to die.

chance.

fantastic.

less likely to die.

know, a possible reason for the high scores under

Thompson Lawyers rating, so they have to rely, when they

Right?

At Prime, there's a 13 percent

So it makes your quality look

If you're not really that sick, you're much


And that is the -- that is, you

10

do their risk adjustment, on what people are billing

11

Medicare.

12

I just want to mention one more thing.

A new

13

issue was reported on the Riverside Press Enterprise

14

just yesterday, and that was fundamentally about the

15

governance of Prime Healthcare Services Foundation,

16

which is the nonprofit arm that's trying to buy Victor

17

Valley.

18

the iceberg and that issues at Prime's nonprofit may

19

extend well beyond this story.

20

We're concerned that this might be the tip of

For example, why does Prime want to put its

21

nonprofit direct -- why does Prime want to put its

22

nonprofits in direct competition with its for-profits?

23

Victor Valley is the nearest competitor to Prime's

24

for-profit Desert Valley Hospital, and this fits a

25

pattern.

Prime has two other nonprofits, and each is

61
PUBLIC HEARING PROCEEDINGS

located within five miles of a Prime-owned for-profit

hospital.

This would be the third.

setting themselves up as the nearest competitor to a

Prime for-profit hospital.

indication that Prime's nonprofit organization is being

used to benefit the for-profit operations in a

competitive environment for the for-profit, and that

would be a serious violation of public trust.

10

So they've got two nonprofits right now.


And in each case, they're

We think this is a strong

In closing, this sale is not in the public

11

interest.

12

protect patients in an emergency to maximize its

13

profits, it is not in the public interest to allow that

14

model to grow.

15

If a health system is abusing laws meant to

If a health system is falsely documenting or

16

coding care at the expense of taxpayers and seniors, it

17

is not in the public interest to reward that kind of

18

behavior.

19

If a health system is admitting patients who

20

do not need to be admitted, even making some of them

21

feel ted, which is what the report says -- it's not our

22

report -- it is not in the public interest to expand

23

that model.

24
25

And now, Prime's tax-exempt foundation may be


involved in, you know, this scheme that's in the paper

62
PUBLIC HEARING PROCEEDINGS

yesterday.

We're citizens and we're caregivers.

We're

union members.

Democrats, and every one of us is a human being and

human beings get sick.

We're taxpayers, Republicans and

You know, my brother's actually in the

hospital.

He's fine, but you remember that moment when

who's going to take care of the kids.

your family and you got to trust certain institutions,

You got to trust

10

and you've got to be able to trust the hospital that

11

your family member gets rushed to.

12

Prime.

13

the problem.

We can't.

14
15

And, you know, fundamentally that's

Please defend the public interests and block


the sale.

Thank you.

16

HEARING OFFICER:

17

Lisa.

18
19
20

And you can't trust

Thank you.

And then, after Lisa is going to be

Helen Bowman.
COMMENTS BY LISA DEMIDOVICH
LISA DEMIDOVICH:

Good afternoon.

My name is

21

Lisa Demidovich, D-E-M-I-D-O-V-I-C-H.

And I'm from

22

United Nurses Association of California, Union of

23

Healthcare Professionals.

24

AFSCME, and AFL-CIO.

25

speak here today.

We're affiliated with NUHHCE,

Thank you for the opportunity to

63
PUBLIC HEARING PROCEEDINGS

UNAC/UHCP is a labor organization that

represents more than 20,000 healthcare professionals

throughout Southern California, including the registered

nurses at the Prime-Healthcare-Services-owned facilities

Garden Grove Hospital and Chino Valley Medical center.

I have come to Victorville today to voice

UNAC/UHCP's opposition to the proposed sale.

Based on

our experience of Prime Healthcare Services in Garden

Grove and Chino, we strongly urge the Attorney General

10

to not approve the proposed sale of Victor Valley

11

Community Hospital because it is not in the public

12

interest for the healthcare professionals, patients, and

13

citizens of Victorville and the surrounding area.

14

UNAC/UHCP has represented the RNs of Garden

15

Grove since 1981 and has had collective bargaining

16

agreements, CBAs, with them since that time.

17

CBA expired on September 30th, 2010.

18

negotiations began well in advance of the expiration

19

date, a new contract was not reached until July of this

20

year because Prime's negotiators proposed massive cuts

21

for RNs in benefits and other packages, particularly for

22

the most experienced RNs who had served the hospital for

23

20 years or more.

24

given by income downturns, but, rather, to further

25

increase profits to grow the Prime empire at the expense

The last

And although

Such aggressive proposed cuts are not

64
PUBLIC HEARING PROCEEDINGS

of the Garden Grove community.

Garden Grove, will explain more about her experience

next.

Helen Bowman, an RN at

The Chino Valley RNs, in a secret-ballot

National-Labor-Relation-Board-conducted election in

April 2010, voted overwhelmingly for representation by

UNAC/UHCP, but Prime has ignored that decision and,

instead, has entered into a four-front legal battle in

an effort to avoid its legal obligation to bargain with

10
11

the registered nurses.


First, Prime filed meritless objections to the

12

election, which the National Labor Relations Board

13

rejected in January 2011 when it certified UNAC/UHCP as

14

a representative.

15
16

The NRLB's certification --

HEARING OFFICER:

Lisa, can I just get you to

talk a little bit slower?

17

LISA DEMIDOVICH:

Sure.

18

HEARING OFFICER:

Thanks.

19

LISA DEMIDOVICH:

The NLRB's certification is

20

attached to these comments as Exhibit 1, and the NRLB's

21

published decision finding that Chino Valley has

22

unlawfully refused to bargain with UNAC/UHCP is attached

23

as Exhibit 2.

24
25

Prime is now challenging the NRLB's unanimous


decision in the U.S. Court of Appeals for the D.C.

65
PUBLIC HEARING PROCEEDINGS

Circuit.

Second, shortly after the election, Prime

engaged in egregious unfair labor practices, including

termination of a lead organizer who's an RN at the

hospital for many years, widespread discipline, threats,

surveillance, and taking away benefits as it had

threatened to do during it's aggressive anti-union

campaign.

After a neutral investigation, the NRLB

10

decided to prosecute these violations, and a six-day

11

hearing occurred in June of 2011 where the NRLB

12

presented evidence of the violations.

13

favorable decision finding the unfair labor practices

14

were committed to be issued soon.

15

We expect a

Third, the National Labor Relations Board in

16

Washington, D.C., believed that these unfair labor

17

practices were so egregious that it sought the

18

extraordinary remedy of injunctive relief while the

19

underlying hearing and appeal occurred.

20

this in context, in 2010, of the more than 23,500

21

unfair-labor-practice charges that were filed in

22

America, the NRLB sought this remedy in only 23 of those

23

case.

24

immediate reinstatement of the terminated union

25

supporter and remediation of the other

Just to put

The issue of injunctive relief here requires

66
PUBLIC HEARING PROCEEDINGS

unfair-labor-practice violations and is currently before

the United States Court of Appeal for the Ninth Circuit.

The fourth front of this legal attack on

representation was in response to UNAC/UHCP's peaceful,

informational visits to the hospital lobby, where candle

and jewelry sales occurred.

remove our representatives, but the police sergeant

refused, stating that union representatives have a right

to be present.

Prime called the police to

Prime then filed a trespass lawsuit in

10

San Bernardino Superior Court.

11

currently stayed by the court.

12

That lawsuit is

These legal actions are expensive and divert

13

resources that could be spent on patient care to lawyers

14

located throughout the country.

15

confident that the law will prevail and Prime will be

16

forced to comply with its legal duties to negotiate with

17

the employees' chosen representative, but at what cost

18

to the community.

19

In the end, we're

If the Attorney General approves the sale of

20

Victor Valley Community Hospital to Prime Healthcare

21

Services Foundation, Prime will similarly fight the

22

wishes of its Victor Valley staff if they vote to

23

organize, taking hundreds of thousands of dollars,

24

possibly millions of dollars, away from Victorville to

25

pay for out-of-town lawyers to fight their right to

67
PUBLIC HEARING PROCEEDINGS

organize.

working conditions intolerable for the experienced staff

at Victor Valley so that Prime can bring in cheaper

replacements, thereby depriving the Victorville

community of the quality patient care on which it

depends and current employees of their income that is

spent at local businesses.

8
9

Without representation, Prime would also make

Notably, Prime Healthcare Services Foundation


has not committed to keeping all employees, but, rather,

10

substantially all, an unspecified amount, and that is

11

only at the time of purchase.

12

commitment for even a month later, two months later, or

13

a year down the road.

It's not an ongoing

14

Selling Victor Valley Community Hospital to

15

Prime is decidedly not in the public interest, and we

16

strongly urge the Attorney General to not approve the

17

prosed sale.

Thank you.

18

HEARING OFFICER:

19

Helen.

20
21
22

And then after Helen is going to be

the mayor and then Bill Thomas after that.


COMMENTS BY HELEN BOUMAN
HELEN BOUMAN:

Good afternoon.

23

Helen Bouman, B-O-U-M-A-N.

24

Garden Grove Hospital.

25

Thank you very much.

My name is

I'm a registered nurse at

I've been there 12 years.

Prime bought the hospital in July of 2008.

68
PUBLIC HEARING PROCEEDINGS

Excuse me.

the hospital, several physicians left, not wanting to be

associated with that facility for that -- for the reason

that Prime owned it.

And the day that he took over ownership of

Also, we have nurses that had come from other

hospitals that Prime had bought, particularly Huntington

Beach and west Anaheim.

They didn't want to work for him.

When he took over, they left.

In our recent round of negotiations, it was

10

earlier stated by Lisa that there was proposed cut that

11

would significantly impact nurses that had been there

12

for a long time, more than 20 years.

13

We've got multiple new hires which causes

14

concern with the skill mix on our units, and he's hiring

15

new grads at a significantly lower rate than what is in

16

the community.

17

then they leave as soon as they get their experience.

18

They don't want to stay.

19
20

HEARING OFFICER:
much for coming.

21
22
23
24
25

They stay there for about a year and

That's all I have.


All right.

Thank you very

I appreciate it.

And then, after the mayor is Bill Thomas and


Carl Tate?
COMMENTS BY MAYOR RYAN McEACHRON
MAYOR RYAN McEACHRON:
My name is Ryan McEachron.

Well, good afternoon.

That's M-C-E-A-C-H-R-O-N.

69
PUBLIC HEARING PROCEEDINGS

I'm the mayor of this great City of Victorville, and

welcome to you and your colleagues here.

You know, after hearing those recent comments,

it's almost as if you should not approve this and Cathy

Pelley should shut down the hospital.

mayor of this city, that is completely unacceptable.

That hospital needs to stay open, and the only way it

will stay open is if the Attorney General approves this

sale.

10

But to me, as the

We've been through this for the last eight

11

months, it seems like.

And the previous bidder was

12

given the opportunity to close; they did not.

13

know that Prime Healthcare will close, and they'll do it

14

quickly.

And we do

15

So my -- my two issues are this.

The jobs

16

that would be lost should you not approve this sale,

17

it's in excess of 500 and could possibly be more,

18

because I know with Prime Healthcare's commitment,

19

Dr. Reddy's commitment to this community, everyone in

20

this room knows that Dr. Reddy's committed to this

21

community.

22

he's -- and he's done a lot for this community and many

23

will speak to that here today.

24

500 higher and better-paying jobs in Victorville, so

25

that's number one.

He's been here for over 30 years, and

But we cannot lose over

70
PUBLIC HEARING PROCEEDINGS

Number two, we cannot be without this

facility, not just for Victorville.

It is our community

hospital.

half a century.

the entire Victor Valley would suffer at the loss of

beds here in the High Desert.

Valley Hospital is currently expanding and should see

their expansion come to a completion here in the very

near future, St. Mary Medical Center and the St. Joseph

It's been our community hospital for over


But if we were to lose that hospital,

And although Desert

10

Health System is looking to build a Victorville campus

11

and add another hundred-plus beds to the Victor Valley,

12

it's still not enough for what we need here in the High

13

Desert.

14

So I agree with Mr. Dalton and his report and

15

what -- what they're -- what he's asking the Attorney

16

General to consider as certain requirements set forth

17

for the purchase of the hospital.

18

Attorney General's approval of this purchase, the

19

hospital will shut down.

20

several years.

21

shut it down.

22

But without the

I've known Cathy Pelley for

She is a woman of her word.

She will

So that is unacceptable to me as the mayor of

23

this city.

I need that facility open.

I need the jobs.

24

I need the healthcare provided to the citizens of the

25

Victor Valley, the city of Victorville.

71
PUBLIC HEARING PROCEEDINGS

And, uh, I just

urge the Attorney General to approve the sale.

you.

HEARING OFFICER:

Bill and then Carl Tate after that.

Bill, if you can just come up too, so we don't

6
7
8
9

Great.

Thank

Thank you very much.

have any lull, I would appreciate it.


COMMENTS BY WILLIAM THOMAS
WILLIAM THOMAS:
Thomas, T-H-O-M-A-S.

Thank you, Wendi.

William

I'm the executive vice president

10

and general counsel of two organizations:

11

Hospital acquisition, Inc., and Victor Valley Hospital

12

Real Estate, LLC.

13

talk to them -- about them collectively as VVHA and see

14

if we can keep the acronym straight, because we also

15

have VVCH for Victor Valley Community Hospital.

16

Victor Valley

As I'm describing these, I'm going to

I've been listening to the proceedings here,

17

and listened to the honorable mayor and I -- but I

18

was -- and I've listened to Cathy Pelley.

19

what I was hearing loud and clear was if we don't sell

20

to Prime, the hospital will close.

And I thought

21

Phil, I think that was what you said, that it

22

was better to sell to Prime than to close the hospital.

23

That's the MDS conclusion in its report.

24
25

And then, the second thing I think that


Ms. Pelley said was, in a nice way, that Dr. Chaudhuri,

72
PUBLIC HEARING PROCEEDINGS

VVHA, you've had your opportunity to close and you

didn't, so we need to move on.

both of those subjects in my -- in my remarks.

So I'd like to address

First, let's talk about the hospital closing.

I heard Dr. Eric Hansen, Dr. Arora, Dr. Grover.

were raising what I thought was a very intelligent

remark, is -- is that the alternative, that if we don't

sell to Prime the hospital closes?

They

Uh, I would like the record to be very clear

10

that there is an alternative, probably more than one

11

alternative, but certainly the alternative of selling to

12

VVHA.

13

I've provided documents to counsel to -- to Victor

14

Valley Community Hospital.

15

virtually non-contingent offer.

16

so there's no execution risk.

17

respects to get Victor Valley Community Hospital out of

18

bankruptcy.

19

Prime transaction.

20

offer in -- in a minute, but I just want to be very

21

clear that we have put on the table for the Hospital's

22

consideration a alternative that is fully financed,

23

non-contingent, a done deal, essentially.

24

no reason to believe that we -- that if Prime is not

25

approved that this transaction cannot go down very

I've filed papers with the Attorney General.

The VVHA has made a


It is fully financed,
It is sufficient in all

So it is a viable alternative to, uh, the


I'll get into the details about that

73
PUBLIC HEARING PROCEEDINGS

So there is

quickly.

by the Attorney General, with conditions, and we're

prepared to accept those conditions for closing.

As you know, VVHA had previously been approved

So let's back up for just a moment.

As

everybody knows, VVHA was in contract to -- to buy these

assets.

did have Attorney General approval with conditions.

what happened?

didn't close by June 1st, which was the deadline set by

We did have a bankruptcy court approval.

We
So

That was back in November, and the deal

10

the Attorney General, and transaction never happened.

11

Well, was that because VVHA got cold feet, decided to

12

delay, didn't have the money?

13

all that?

14

What -- what was behind

We have a dispute with the Victor Valley

15

Hospital on the reasons why we didn't close.

However, I

16

would -- and I'm not going to sit here and debate in

17

this forum who's right or who's wrong about our dispute.

18

But what is undisputed -- what is undisputed with

19

respect to this -- this transaction is that after --

20

shortly after we went into contract, Medicare violations

21

came to light, which Victor Valley Community Hospital

22

took six months to -- to resolve.

23

not have met the closing conditions until the end of May

24

at the earliest.

25

was in any position to close this transaction before

They literally could

There was no way that Victor Valley

74
PUBLIC HEARING PROCEEDINGS

the -- the end of May.

There are other issues on the

table that we have between -- between ourselves.

should be very clear that the allegation that somehow

our -- our situation was a delay in the transaction is

simply not sported by the evidence.

of money, well over a million dollars in trying to close

this transaction; enormous effort trying to deal with

issues that arose post -- post closing that were

challenging to -- to both ourselves and -- and to the

But it

We have spent a ton

10

Seller.

We did everything possible to get this done.

11

We're still fighting to get this deal closed.

12

So the allegation that somehow these people

13

came in and just, you know, fell apart, didn't close,

14

that is obviously false and we're here to put our new

15

offer on the table.

16

It's -- they --

The Hospital's had it since August 2nd.

17

just heard a couple days ago from their counsel that

18

they will consider it at the end of the month.

19

like to see them consider it sooner.

20

in the world why it -- it shouldn't be in the best

21

interest of the Seller to lock in a -- a no-contingent

22

backup offer, fully financed, so that if Prime will not

23

or cannot close, they -- the Hospital can move on with a

24

successful transaction.

25

I would

There's no reason

Let me move on to the offer itself.

75
PUBLIC HEARING PROCEEDINGS

It's

$30 million.

that -- that Prime is asking for.

the same contract that has been previously approved by

the Attorney General in the bankruptcy court.

waiving all of the issues that were obstacles to closing

in -- in the past.

that were previously imposed upon us by the Attorney

General.

the cash necessary to close the transaction so there can

10
11

We're not asking for the $3 million credit


We've modeled it on

We're

We've accepted all the conditions

And most importantly, we've offered to escrow

be no doubt about the execution risk.

It's a done deal.

So we would like the Hospital to -- to

12

consider that -- that transaction.

13

their fiduciary duty to do so.

14

proceeding, we would like the Attorney General to be --

15

to have this on the record, because it's not in the --

16

to some degree, this offer developed after the impact

17

report, so I want -- I want to be fair to Phil and MDS.

18

But to frame the issue as you don't sell to Prime, the

19

hospital closes is -- is -- is just not fair.

20

unfair characterization of the situation.

21

We think it's in

But clearly, in this

It's an

Also, I would like to point out that if we

22

were to buy, we -- I'll just point out a few

23

large-picture things about the -- about us versus Prime.

24

When we were in contract, we had agreed to maintain and

25

improve the hospital.

We had agreed to open access.

76
PUBLIC HEARING PROCEEDINGS

We

had agreed to assume and maintain the managed care

contracts.

arrangement with IEHP.

overwhelming support of the medical staff.

physicians wrote letters of support of our -- of our

deal.

We worked out a mutually acceptable


And most importantly, we had the
Eighty-seven

So how do you make a hospital successful if

you don't have your doctors behind them?

We were the

ones that had the very strong support of the majority of

10

the medical staff in the -- and the medical groups.

11

Prime, in comparison, is under state and federal

12

investigation, has a record of canceling the managed

13

care contracts.

14

heard, in the area.

15

that it will tend to lessen competition.

16

moves to a monopoly or not, I don't know, but it will

17

certainly lessen competition, which is one of the

18

elements that the AG is supposed to take into

19

consideration.

20

opposed by most of the medical staff and most of the

21

medical groups.

22

It already owns a hospital, as you've


So it's obvious, it's common sense
Whether it

But again, most importantly, it is

You heard here today by several doctors that

23

have come forth to echo their opposition.

24

have in the Attorney General's files over 40 letters

25

from respected members, senior leadership of the -- of

77
PUBLIC HEARING PROCEEDINGS

I know you

Victor Valley Community Hospital medical staff opposing

the sale.

So the doctors do not want the Prime deal.


And let me finally make a mention about CLIA.

I love Cathy Pelley, but I respectfully disagree with

her about whether it's a red herring or not.

were in contract, this CLIA issue was clearly something

that the government was going to work with us.

many discussions with the government where the last

thing they wanted to do was close down the hospital.

When we

We had

10

They were always cooperative to try to work with a bona

11

fide buyer to make sure that this transitioned properly.

12

That's what the government attorneys told the bankruptcy

13

judge on July 12th.

14

General to pick up the phone, call Seth Shapiro

15

[phonetic] at the Department of Justice, just verify for

16

yourself whether or not they are willing to -- to be

17

cooperative.

18

that the government -- the last thing they want to do is

19

shut down a hospital.

20

That was certainly the way they dealt with us.

21

And I certainly invite the Attorney

I think that's -- you're going to find

They want to smooth transition.

And again, when we were in contract, the --

22

the backup plan was always to outsource.

23

I'm surprised to hear that outsourcing is not an option.

24
25

So, you know,

Well, again, we don't have to speculate.


Let's -- let's call, uh, Lab Corp. [phonetic].

78
PUBLIC HEARING PROCEEDINGS

Let's

call Quest to see if they can outsource the lab under

these circumstance.

So I think there's investigation that can be

done on both those points that make it not a matter of

debate, but the Attorney General can determine for

themselves with firsthand evidence from the Department

of Justice and from the independent lab corporations

whether or not there is a solution to the -- to the CLIA

situation.

I respectfully believe that that is a

10

absolute red herring.

11

that you don't have to consider Prime on the merits.

12

Don't do that for heaven sakes.

13

do is be panicked by the circumstance that we're going

14

to close if we don't take the Prime offer.

15

ridiculous.

16

There's $10 million in the bank for this hospital.

17

There is no absolute deadline here that we need to work

18

against.

19

It's just added pressure to say

What you really need to

It's

Take our offer, look at other alternatives.

So we would respectfully request that the --

20

after review of all these matters, that the Attorney

21

General deny the Prime application.

22

HEARING OFFICER:

23

Carl Tate.

24
25

Thank you.

Thank you very much.

And after Carl is going to be

Michelle Spears and then Mayor Blewett.


COMMENTS BY CARL TATE

79
PUBLIC HEARING PROCEEDINGS

CARL TATE:

Thank you, Ms. Horwitz.

My name

is Carl Tate, T-A-T-E.

Valley Crest Residential Care in Apple Valley.

I'm the executive director of

And before I continue with my prepared

remarks, I wasn't going to say anything personal, but I

was shocked beyond belief after hearing the gentleman

representing the union speak on many things medical.

spent my entire life since 1960 in the healthcare field.

I have run skilled nursing homes, acute psychiatric

10

hospitals, acute general hospitals on both local and

11

regional basis, and semi-retired when I decided to get

12

back into the healthcare field and take care of seniors

13

with Alzheimer's disease.

14

shocked me was when he was harping on malnutrition in an

15

acute hospital.

16

But one thing that really

I, unfortunately, but fortunately for me,

17

spent three days at Desert Valley Hospital about three

18

years ago with a kidney stone, and I can tell you the

19

food was good and you cannot become malnourished in two

20

or three days, which is the average length of stay.

21

have to be mal-nurtured -- malnourished at the time of

22

admission, because you can't gain wait, you can't lose

23

weight in two or three days.

24
25

Now, on with my prepared remarks.

You

I want to

thank you for giving me a few minutes to speak in favor

80
PUBLIC HEARING PROCEEDINGS

of Victor Valley Community Hospital being purchased by

Prime Healthcare Services Foundation.

facility I run, is a 64-bed residential care facility

licensed by the State of California, Department of

Social Services to care for 64 seniors who have suffered

from Alzheimer's disease or related dementia.

Valley Crest, the

Valley Crest has a longstanding relationship

with Victor Valley Community Hospital.

And since their

filing for bankruptcy last year, I've been very

10

concerned that due to their continuing financial

11

problems that they might have to close.

12

Mr. Horwitz, we cannot afford to lose the 101

13

licensed beds that Victor Valley Community Hospital

14

currently has.

15

have less than 50 percent of the recommended beds per

16

thousand residents that the federal health system's

17

agency uses for planning purposes, which is

18

approximately two beds per thousand residents.

19

close to 400,000 residents in the High Desert, we should

20

have around 800 beds, but yet we have less than 400

21

beds.

22

a devastating effect on our healthcare delivery system

23

and the ability of Valley Crest to obtain the type of

24

acute care our residents sometimes need.

25

Our High Desert communities currently

With

So the loss of 25 percent of the beds would have

After several failed attempts by -- excuse

81
PUBLIC HEARING PROCEEDINGS

me -- by Victor Valley Community Hospital's management

to find the qualifying buyer, they now have an accepted

offer from Prime Healthcare Services Foundation.

believe if this sale is approved by your office, it will

ensure that Victor Valley Community Hospital will be

able to provide Valley Crest with the level of care

we've long come to expect for our residents.

purchase will also be of great benefit to the growing

population to the Victor Valley as well as the dedicated

This

10

employees and medical staff at Victor Valley Community

11

Hospital.

12

Excuse me.

The pages are stuck.

During the past few years, Dr. Prem Reddy,

13

Prime Healthcare Services, and the Prime Healthcare

14

Foundation have developed a nationally recognized

15

reputation for being able to turn failing hospitals into

16

valuable community assets that provide a high level of

17

quality care.

18

the same thing for Victor Valley Community Hospital,

19

making it a win-win situation for all concerned.

20

you.

21
22
23
24
25

I see no reason why they cannot be -- do

HEARING OFFICER:
you mind leaving a copy.
Michelle Spears.

Thank you very much.

Thank

Would

Thank you.
And then after Michelle,

we'll have Mayor Blewett.


COMMENTS BY MICHELLE SPEARS

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PUBLIC HEARING PROCEEDINGS

MICHELLE SPEARS:

Hi, my name is Michelle

Spears, S-P-E-A-R-S.

Chamber recognizes the health education outreach that

Desert Valley Hospital and Dr. Prem Reddy and the

Foundation have provided to the community and is willing

to invest in an -- institutions that struggled in order

to enhance and expand those services.

The chamber, the Victorville

I've served as the president and CEO of the

Victorville Chamber of Commerce for over 21 and a half

10

years and have seen firsthand Desert Valley Hospital's

11

commitment to supporting local charities, providing

12

scholarships to students interested in medical careers,

13

financial support to our local community college in the

14

health sciences department, and much more.

15

residents and businesses have benefited from their

16

commitment to promote the well-being of our community.

17

Our

If Victor Valley Community Hospital closes, it

18

will adversely affect the local community because of

19

loss of jobs, which primarily are local residents.

20

it closes, it will cause -- place undue burden on our

21

overcrowded other two hospitals and the ERs in the High

22

Desert.

23

already underserved for our population.

24

much for your time.

25

If

The number of beds in the High Desert is

HEARING OFFICER:

Thank you very

Thank you very much.

83
PUBLIC HEARING PROCEEDINGS

Okay.

And after Mayor Blewett, then we're gonna have

Dr. Morris and Dr. (unintelligible).

COMMENTS BY MAYOR PRO TEM RUSS BLEWETT

MAYOR PRO TEM RUSS BLEWETT:

Hello, Russ

Blewett, B-L-E-W-E-T-T.

High Desert.

going to get a little bit pointed a little later,

because anybody that knows me knows that's my style.

I'm going to go after a couple people in a little bit.

10

First of all, welcome to the

We're grateful to have you here.

I'm

But first of all, I want to start off with

11

something nice.

12

from Hesperia High School, and I came up here.

13

live up here at the time; I lived down the hill.

14

went to the graduation at Hesperia High School, and the

15

man that paid for that graduation was Dr. Prem Reddy.

16

And I didn't know Prem Reddy.

17

a funny hat, and he's -- he paid $10,000 so those kids

18

could have a graduation.

19

having a tough time now, they were having a very tough

20

time then.

21

1992, I had a grandson that graduated


I didn't
And I

He was a little man with

Because as the schools are

This man, since that time, has put millions of

22

dollars into this desert, into helping people.

The word

23

Hesperia stands for star of the desert.

24

is a real star of this desert.

25

we could clone him and put it into a lot of other

Dr. Prem Reddy

I wish we had -- I wish

84
PUBLIC HEARING PROCEEDINGS

1
2

people's lives.
Hospitals -- I've been in many hospitals,

unfortunately, some for myself.

relatives that live up here in the High Desert, and I

had a wife that was ill for some time.

I've been in hospitals a long time.

I have over 30

So believe me,

There's two things that impress me in life:

Efficiency and effectiveness.

Valley Hospital, and by the way, I don't think anybody

10
11
12
13
14

I myself was in Desert

would say that I'm malnourished.


(Laughter and applause.)
Because I'm truly not.

And actually, the food

was pretty good there.


Let me address -- let me address this issue in

15

the hospitals of the infection rate.

2002, I was in a

16

unionized hospital, I might add, where I was given MRSA,

17

and I darn near died.

18

very fortunate to emerge alive.

19

going to, but I surprised everybody -- much to some

20

people's sadness.

I spent 90 days in ICU and was


They thought I was not

21

But let me tell you something.

When I was --

22

when I checked into Desert Valley Hospital for the

23

seven -- for my seven days that I stayed there -- I had

24

to -- believe it or not, I had a foot problem.

25

they checked me for MRSA.

They checked me.

85
PUBLIC HEARING PROCEEDINGS

Anyway,

But when I

went into that hospital and they found out that I had

had it and they put me -- and they quarantined me.

was literally quarantined for seven days, which was kind

of good, actually.

But the one thing it learned, because when I'm

in a place for any length of time, the one thing I do, I

get bored, and the one thing that I do is I start

looking at how well it's run.

a very, very well-run hospital.

Desert Valley Hospital is


I was very impressed

10

with how they run.

11

people in the audience know that I'm not exactly easy to

12

please.

13

And I'm a very -- some of these

But I want to talk about something that's very

14

important to this High Desert, and it's really

15

important.

16

not being used at Victor Valley Hospital.

17

Hospital is building, and I believe it's an additional

18

60 beds.

19

There's basically a 60-bed deficiency that's


Desert Valley

Well, let me tell you what's happened up here

20

and the reason why I want Dr. Reddy to keep this

21

hospital and get it going because I know he'll make it

22

operate and operate well.

23

city of Hesperia alone operates four paramedic

24

ambulances in our City at all times.

25

to a hospital with a patient, they -- our paramedics

We have a major problem.

The

Well, when they go

86
PUBLIC HEARING PROCEEDINGS

have to stay with that patient until they get a bed.

costs us hundreds of thousands of dollars in downtime

because they have to stay at the hospital because there

isn't adequate beds in the High Desert.

imperative -- and not only that, it puts my citizens in

my community at risk.

It

This is an

So I think it's in the best interest for

less -- let's make this thing happen.

Dr. Reddy in that hospital.

Let's get

10

And by the way, the way you solve an escrow --

11

this gentleman that just talked about it -- is you close

12

it on time.

I've done hundreds of millions of dollars

13

in escrows.

And when they don't close on time, there's

14

usually a reason, and the reason usually is the buyer.

15

The other thing is with Dr. Reddy, he will

16

bring unemployment in this desert down.

17

18 percent unemployment rate up here.

18

devastating to peoples and their lives.

19

Dr. Reddy, he will hire local people, as he's done, and

20

that will help this community, not just Hesperia, but

21

the entire Victor Valley.

22

us.

That is
And if we have

It is a real imperative to

And thank you for your time.

23

HEARING OFFICER:

24

Dr. Morris and Dr. Luther.

25

We have an

Okay.

Thank you very much.

Do we have Ardis Kulyas?

87
PUBLIC HEARING PROCEEDINGS

Okay.

Oh, sorry.

1
2

mispronounced that.
Oh, sorry.

3
4

Go ahead.

COMMENTS BY DR. JOSEPH MORRIS


DR. JOSEPH MORRIS:

Hi, I'm Dr. Morris,

Joseph, M-O-R-R-I-S.

College Nursing Program, and Allied Health chair -- I'm

sorry -- director.

8
9

And I represent Victor Valley

Over the past 30 years, Victor Valley Nursing


Program has maintained an excellent reputation in the

10

community and continues to produce skilled and qualified

11

registered nursing and healthcare providers throughout

12

the high desert and Inland Empire.

13

Victor Valley College Nursing Program has graduated and

14

produced more than 2500 registered nurses.

15

As of today, the

Desert Valley Hospital was first approved by

16

the Board of Registered Nursing on August 4th, 1995.

17

For the past 16 years, Victor Valley College has

18

fostered a close relationship with assigning student

19

nurses to Desert Valley Hospital for their clinical

20

experience.

21

In 2003, Dr. Prem Reddy's School of Health

22

Science was established due to the gracious

23

contributions of $1 million to the nursing and allied

24

health programs.

25

Dr. Reddy were used to provide equipment, staff,

The funds that were donated by

88
PUBLIC HEARING PROCEEDINGS

development, and remodeling of the nursing program and

paramedic, respiratory therapy, and other allied health

programs.

In fact, in May of this year, the school of

nursing was recently surveyed by the Board of Registered

Nursing for reaccreditation, and one of the Board of

Registered Nurses' recommendations were that we replace

old equipment with new equipment.

of Dr. Reddy, the school is scheduled to receive new

And with the support

10

medical equipment, including high fidelity simulation

11

mannequins, which were featured in the recent desert

12

valley -- I'm sorry -- Daily Press.

13

So throughout the years, the partnership with

14

Desert Valley Hospital and Prime are thankful for their

15

support and has been significant support in the students

16

at Victor Valley College and the college program of

17

nursing.

18

student enrollment and scholarships, including 68

19

students in the partnership weekend program in the

20

nursing program.

21

particularly the nursing program, also benefit from the

22

student workers program.

23

program, which is a co-op ed program, the student nurses

24

are paid a stipend which also allowed them have

25

increased clinical experience.

Their support has allowed for increased

Students enrolled in the college,

Through the student workers

89
PUBLIC HEARING PROCEEDINGS

In addition to the financial support, Victor

Valley College has maintained an excellent working

relationship with the staff at Desert Valley Hospital.

The nursing staff at the hospital also work as

instructors at the college, which provides a very

effective and positive advisory counsel relationship.

So with that being said, Victor Valley Nursing

Program and the Allied Health Program supports the

purchase of the Victor Valley Hospital which will allow

10

the college to continue to train nurses and future

11

allied health professionals.

Thank you.

12

HEARING OFFICER:

13

We've got Dr. Patricia Luther.

14
15
16
17

Great.

Thank you.

COMMENTS BY DR. PATRICIA LUTHER


DR. PATRICIA LUTHER:

Yes, your Honor,

Patricia Luther, L-U-T-H-E-R.


Thank you for the opportunities to speak today

18

on behalf of Victor Valley Community College.

19

been the -- I've been employed at the college for 21

20

years, 12 years as the director of the nursing and now

21

I'm the dean of Health Sciences/Public Safety.

22

And I've

I cannot say enough about the support that we

23

have been given by Dr. Prem Reddy over the last 16 years

24

since he has become a member of our advisory and is a

25

member of our clinical placement places.

90
PUBLIC HEARING PROCEEDINGS

We really

appreciate everything he has come forward with.

you know, your Honor, at this time, when the budgets for

the community colleges are being cut severely by the

state, I don't know what we would do without the kind of

support he has given us, mostly the sole support from

our community, to continue to increase the quality of

the registered nurses.

8
9

And as,

I want to just reiterate -- I don't want to


reiterate everything that Dr. Morris has said, but I

10

really, strongly support everything that he has put

11

forward on what we have seen from the support that he

12

has given us.

13

And just as an example of that, also, that I

14

truly believe that he'll continue to support this

15

community because he supported hundreds of our students

16

with hundreds of thousands of dollars.

17

the foster care program at Victor Valley was really

18

going to be discontinued, he stepped forward and

19

provided a place for these parents to learn how to

20

become foster parents.

21

outside of the health community where he has really led

22

the way for us.

23

And he's -- when

And that's just another example

I -- I just want to let you know that he has

24

lived up to his commitment after he committed a

25

hundred -- $1 million to the college, and we still bear

91
PUBLIC HEARING PROCEEDINGS

the name of Dr. Prem Reddy's School of Health Sciences,

and we look forward to continuing support --

gazuntite -- in the future.

Honor.

HEARING OFFICER:

Okay.

you.

Thank you, your

Thank you very much.

And why don't we have Mark come after

That would be fine.

COMMENTS BY ARDIS KULYAS

9
10

Okay.

ARDIS KULYAS:

Sure.

Hi, my name is Ardis

Kulyas, K-U-L-Y-A-S.

11

DEPOSITION OFFICER:

Spell your first name.

12

ARDIS KULYAS:

13

I'm totally new to this.

Oh, A-R-D-I-S.
First time I've ever

14

done it.

15

opposed to Prime Healthcare's purchasing another

16

hospital.

17

dollar and not for the patient.

18

there and charged a quarter of a million dollars for 12

19

days, a quarter of a million.

20

I just want to let everyone know I am totally

Their hospitals are you run for the almighty

Prime Healthcare will not contract with

21

insurance companies.

22

She was not an HMO.

23
24
25

My daughter was held

My daughter had Blue Cross PPO.

Prem Reddy is stated to be worth 300 million.


I can see why.
He also removes anything that is profitable

92
PUBLIC HEARING PROCEEDINGS

from his hospitals like chemotherapy because it does not

make him any money.

Prime Healthcare has been found guilty by the

Medical Board of misdiagnosing.

seen here today, they're also being checked for

malnutrition issue.

full that way, when you keep patients there for no

reasons.

And as you stated --

Well, you can keep your beds really

My daughter could have been diagnosed with

10

leukemia right away, but one -- by one simple test.

11

test was done after seven days they let her lay there.

12

Okay?

13

nothing to do that test.

14

in the bill $144,834, because they charge over $20,000 a

15

day for ICU.

16

That test was done right in the ICU room.

Okay.

The

Took

For seven days, that cost her

Then, they refused for a transfer to

17

get her out of there to go to a chemotherapy hospital to

18

get treatment for her cancer.

19

Okay.

Also, they state in the medical reports

20

that I've gotten from the hospital they checked with

21

seven hospitals to find a transfer for her.

22

all seven of those hospitals.

23

me they had no contact with them.

24

from the hospital, from Verdugo Hills, where they said

25

they had absolutely no call from Desert Hospital --

I contacted

Several of them have told


I have a paper here

93
PUBLIC HEARING PROCEEDINGS

Desert Valley Hospital, trying to get her a cancer room.

On my cell phone, I wasn't able to get it in writing,

but I have an answer from City of Hope.

Desert Valley Hospital never tried to contact them in

February to transfer my daughter.

day, it's probably more profitable to keep her there.

And do I have this paper if you'd like to have a copy of

it.

telephone if you'd like to listen to it.

Okay.

10
11

They said

At $20,000-plus a

It was the City of Hope that I have on the

HEARING OFFICER:

That's okay.

I'll take your

word for it, ma'am.

12

ARDIS KULYAS:

13

million dollars.

14

you, if I may.

They say pictures are worth a

I have pictures I'd like to present to

15

HEARING OFFICER:

16

ARDIS KULYAS:

Sure.

Okay.

As you can see in these

17

pictures, I've covered up my daughter's private areas.

18

The first pictures that are marked "A" are my daughter's

19

pictures after two days in a regular room at Desert

20

Valley Hospital.

21

found out that she had leukemia.

22

with no care.

23

there.

24

home, get clothes, because I was going to follow her to

25

the hospital where she was going to be transferred.

She was removed from an ICU after they


She laid in that room,

Her throat was closing up on her.

I was

I left the hospital for only three hours to go

94
PUBLIC HEARING PROCEEDINGS

I told them she needed to go back into ICU and

that her throat was closing up on her.

said I was wrong.

asked the nurse to call the doctor.

ushered out of the daughter's -- out of my daughter's

room by a security guards, told I could not stay in my

daughter's room.

8
9

The head nurse

Vickie kept getting worse, and I


I was un- --

The second set of pictures marked "B" were


taken at Scripps Hospital in La Jolla, where I finally

10

found a transfer for my daughter.

11

ICU at Desert Valley Hospital, this is what she still

12

looked like.

13

show that this was not their negligence, this was done

14

from the previous hospital, the abuse and neglect of my

15

daughter.

16

After three days in

Of course, Scripps took these pictures to

Dr. Nanda [phonetic] assured me that she had

17

75 to 80 percent chance of survival, but they let my

18

daughter die.

19

doctor that I asked her to call.

20

came to see her, but I can't prove that yet.

21

yet because they're withholding the documents from that

22

day.

23

the day they let my daughter's throat close up and put

24

her back in the ICU.

They can't coincidently find the

25

records of that day.

They're hiding this.

I don't believe the nurse ever called the


I don't think he ever
And I say

I have all the records from the hospital except

95
PUBLIC HEARING PROCEEDINGS

They're

1
2

hiding it to cover their guilt.


You -- if you allow Prime Healthcare to

purchase Victor Valley Hospital, then all ambulance as

well as most doctors will have to send their patients to

one of their hospitals where there is no insurance

contracts, where there is no value of human life, and no

one warns you what will happen when you go there.

are the only two hospitals in Victorville.

These

I hear the Mayor say that they've been through

10

this for months.

11

losing my daughter, and my suffering's just started, so

12

their few months doesn't mean a lot to me.

13

I have suffered six months after

I keep hearing everybody saying he gave this

14

money, he gave that money, he did this and he did that,

15

and he gave hundreds here and thousands there.

16

sounds to me like you're buying friends.

17

you've earned enemies.

18

someone gives away millions of dollars when their

19

hospitals do what they're doing to our loved ones?

20

Okay.

It

Oh, I think

Is this a compliment, that

I'm asking that you please stop the

21

sale, prevent others from suffering the loss of a child.

22

My daughter's death was caused by the doctors, the

23

nurses, and the staff.

24

ask you to please deny them to buy another hospital and

25

ruin more lives.

Her leukemia was curable.

Thank you.

96
PUBLIC HEARING PROCEEDINGS

And I

1
2

HEARING OFFICER:

Thank you very much.

appreciate it very much.

(Applause.)

COMMENTS BY MARK KULYAS

MARK KULYAS:

Hi, my name is Mark Kulyas, and

I'm here today because my sister was intentionally

murdered at Desert Valley Hospital for financial gain.

8
9

Everybody keeps talking about, you know, money


this, money this, I gave money here, he gave money

10

there.

Why -- if he's such a good doctor, Prem Reddy,

11

why isn't he taking the money to putting it into the

12

hospitals to save our loved one's life?

13

What he did is my sister was in ICU for seven

14

days.

They finally diagnosed with her with an acute

15

leukemia.

16

acute leukemia -- every doctor knows that the word acute

17

means severe, short course, and you need to get somebody

18

medical chemotherapy immediately.

19

They take her out of ICU the very day that they find out

20

she has an acute leukemia.

What doctor does that?

21

put her in a regular room.

My mom is begging Dr. Jose

22

Lewis Naranja [phonetic] that my sister's throat is

23

closing up, she can't breathe.

24

looks at my mother in the face and says, "What do you

25

want me to do, throw somebody else's daughter on the

The very day they find out that she has an

What do they do?

They

And Lewis Jose Naranja

97
PUBLIC HEARING PROCEEDINGS

floor so your daughter can have a bed," and then strolls

off down the hall.

here?

No.

That's the kind of hospital we have

What -The deciding factor you see here is money.

These people live in very rich houses and it's all about

money.

money, money, money.

all the evidence that they intentionally murdered my

sister for profit.

10

That's all we talked about in the beginning, is


I have a full book here showing

When Monday came, when -- when they had my mom

11

thrown out of the hospital by a security guard, when my

12

mom's asking for help, my sister's asking for help, that

13

her throat is closing up and she can't breathe, they

14

throw my mom out of the hospital by a security lard --

15

yard -- guard and let my -- let my sister suffocate for

16

seven hours, until they return her to ICU.

17

they call my mom on the phone down in the parking lot,

18

because that's where she was waiting after being thrown

19

out, and -- excuse me -- and then they -- then they call

20

her up and, say oh, you're daughter's asking for her.

21

Well, she goes up there.

22

lifeless and they have to intubate her to save her life.

23

And then

My daughter -- my sister is

And here's a real kicker.

She had a transfer

24

for UC Irvine for chemotherapy to save her life on

25

Monday.

You want to know what they did on Monday?

98
PUBLIC HEARING PROCEEDINGS

You

want to know what Ver Cumar Nanda [phonetic] did and

Lewis Jose Naranja did and Oliver Sabo, who spoke here

today did?

gain.

that's dying a transfer to a hospital, for financial

gain.

Thursday and they shipped her down to Scripps La Jolla

and refused a helicopter.

They refused her transfer for financial

You tell me what doctor refuses an acute patient

And then, they held her hostage in ICU until

This isn't a hospital.

What you're hearing

10

from these doctors -- they don't care about people's

11

lives.

12

All you're hearing is about money.


My sister's dead.

She lost her life.

She

13

paid for her own medical insurance, her own PPO.

14

submitted all this evidence to the California Medical

15

Board.

16

standard of care in your community.

17

talk to Camilla D. Harris and explain to her that this

18

is a corrupt organization with money.

19

Medical Board is a corrupt organization.

20

money.

21

being protected.

22

for.

23

ones?

24

about money -- oh, it's going to give jobs here and jobs

25

here and jobs here.

You know what they told me?

Oh, that's the


So I need you to

The California
It's all about

The evidence you submit -- our citizens are not


They're not -- they're not being cared

Do you have family members?

Do you have loved

Do you have brothers and sisters?

All this talk

How about the death of somebody for

99
PUBLIC HEARING PROCEEDINGS

money?

Healthcare is about.

money.

That's what it's about.

That's what Prime

That's what Prem Reddy is about --

You can't deny refusing somebody's transfer to

hold them hostage in ICU.

none whatsoever.

There's no medical excuse,

And I would like you to sit down with

Camilla D. Harris and read this book with her and ask if

this is how your loved one would want to be treated, and

10

then maybe you can form some type of organization that's

11

beyond the California Medical Board.

12

Medical Board is a bunch of doctors overseeing doctors.

13

They all admit here that they're all friends.

14

course, they're all friends, because they all live in

15

rich mansions -- that's why -- over the blood of our

16

loved ones.

17

The California

Well, of

That's how they're doing it.

So I beg you, do not sell this hospital,

18

because these are death camps.

These are not -- these

19

are not doctors that are trying to save lives, when you

20

have a doctor that says I don't care and walks down the

21

hall.

22

of paper that says help me, help me, please help me.

23

Somebody's thrown my mom out of the hospital with a

24

security guard, let me sister lie in her own urine, and

25

suffocate for seven hours.

My sister had to sit and write a note on a piece

I can just imagine the

100
PUBLIC HEARING PROCEEDINGS

horror that she felt while she layed there.

Prem Reddy is corrupt and these doctors are

corrupt.

please, would you take this to Camilla D. Harris and set

up some type of overseeing agent that's not doctors

overseeing doctors?

And I beg of you not to let this happen.

8
9

Sure.

Do you have anything

Mark, is there anything else?

MARK KULYAS:

10
11

Would you please do that for us?

HEARING OFFICER:
else to say?

No, thank you.

HEARING OFFICER:

Okay.

Great.

to take a break right now for ten minutes.

12

(A recess was taken.)

13

HEARING OFFICER:

Okay.

We're going
Thank you.

We're going to go

14

back on the record.

15

we're going to have Lionel Dew and Joseph Brady.

16

And

We've got Thurston Smith, and then

COMMENTS BY HESPERIA COUNCIL MEMBER THURSTON SMITH

17

HESPERIA COUNCIL MEMBER THURSTON SMITH:

18

afternoon.

19

Hesperia City Council member.

20

the governing board for Desert Valley Hospital.

21

lived in a High Desert for over 22 years, and I've seen

22

the growth and the economic shift over the years in the

23

High Desert.

24
25

My name is Thurston Smith, S-M-I-T-H.

Good
I'm a

I am -- currently sit on
I've

If Victor Valley Community Hospital were to


close, it would be detrimental as to -- as to the

101
PUBLIC HEARING PROCEEDINGS

economy and to the construction industry that pretty

much goes with the High Desert, almost as bad as George

Air Force Base in the '90s to this economy.

would severely impact the service sector of the service

products that the hospitals buy in the local community,

not to mention the employees and their families.

The closure

As a business owner myself, I feel that it

would be a benefit for Victor Valley Community Hospital

to have a local owner that understands the need of our

10

community.

11

in turning around bankrupt and distressed hospitals, and

12

the Victor Valley certainly has had its challenges in

13

need and infusion of both experience and investment that

14

they would bring to the table.

15

shot in the arm that this hospital needs to be viable

16

and support the growing needs of the Victor Valley.

17

Prime Healthcare has a proven track record

Basically, it would be a

Having served on the board of Victor Valley

18

Hospital for over three years, I have witnessed

19

firsthand the commitment to quality and health

20

education, the outreach services that they provide to

21

our community.

22

donations to charitable causes, but resources that give

23

back and help our community's health.

24

much.

25

This is extended only through the

HEARING OFFICER:

Thank you very

Thank you.

102
PUBLIC HEARING PROCEEDINGS

Okay.

Next we're going to have Lionel Dew.


COMMENTS BY LIONEL DEW

LIONEL DEW:

having this hearing.

D-E-W.

Good evening.

Thank you for

My name is Lionel Dew.

That's

As a civic leader of the Victor Valley, I'm in

favor of the purchase of the Victor Valley Community

Hospital by Prem -- by Prime Healthcare Services for the

following reasons.

It is essential that the Victor

10

Valley maintain three viable, vibrant inpatient medical

11

facilities.

12

record of success.

13

and is noted for high-quality care and services.

14

Healthcare provides opportunities for employment and is

15

considerably generous in charities.

16

Victor Valley Community Hospital remains local.

17

opportunity to preserve the rich history of both

18

intuition is important.

19

Prime Healthcare has a tremendous track


Prime Healthcare is viable, stable,
Prime

Ownership for
The

My view of the transaction between Prime

20

Healthcare Services and Victor Valley, it's less than an

21

acquisition but is more of a partnership that has the

22

confidence of the community and the confidence of

23

patients.

Thank you.

24

HEARING OFFICER:

Thank you.

25

And next we're going to have Joe Brady, and

103
PUBLIC HEARING PROCEEDINGS

then would Carol Koelle -- Koelle come up also.

you.

COMMENTS BY JOSEPH BRADY

JOSEPH BRADY:

Joseph Brady.

Companies.

7
8

My name is

I'm the president of the BRADCO

Could you spell your last

name, sir?
JOSEPH BRADY:

Oh, Brady, just like "The Brady

Bunch."

11
12

Good evening.

HEARING OFFICER:

9
10

Thank

HEARING OFFICER:

Thank you.

Yes, I am hold

enough to know about "The Brady Bunch."

13

JOSEPH BRADY:

Some in here are not hold

14

enough to remember those days.

15

he's left -- or I don't know if Ryan got a chance to

16

watch that show.

17

I think our mayor --

I also publish the BRADCO High Desert Report.

18

I'm president of the Brad- -- the Barstow Real Estate

19

Group and Alliance Management.

20

I'm pleased to stand before you tonight,

21

endorsing the efforts of Prime Healthcare Services

22

Foundation and PHSF in their acquisition of the

23

hospital.

24

May 13th of 1988, and only during a short period of my

25

tenure was Victor Valley Hospital a viable hospital.

I've been in the High Desert since

104
PUBLIC HEARING PROCEEDINGS

Since Dr. Benjamin Nepomuceno retired, Victor Valley

Hospital's continued to struggle not only financially,

but, I believe, overwhelmed with an increased amount of

social problems that the High Desert has seen, as

evidenced by our high unemployment.

to stand and correct my good friend and Mayor Pro Tem

Russ Blewett.

actually he about 25.7 percent.

favorite paper, The Daily Press, evidenced that our

He says 18 percent.

I stand to -- wish

We believe it's

And last week, our

10

welfare and food stamp rate is now about 35 percent per

11

capita for the High Desert region.

12

It is unfortunate after -- after the

13

bankruptcy court approved an auction on November 5th,

14

2010, (unintelligible) medical group -- and I know a

15

good group -- for profit, was selected for the proposed

16

purchase of the hospital but was not able to close.

17

my business, because I'm in the real estate business, I

18

understand deposits and I understand when you're

19

supposed to close, and if you don't close, unfortunately

20

you don't close.

21

you have a refundable or nonrefundable deposit up, when

22

it's nonrefundable, if you don't close, you don't close

23

and usually in our instances you lose those deposits,

24

and those are unfortunate.

25

In

And unfortunately in my business, when

I've been a resident and a business leader in

105
PUBLIC HEARING PROCEEDINGS

the High Desert for a long period, long before Prime --

Prime Healthcare Services was created under the

leadership of Dr. Reddy and his family.

Dr. Reddy.

issues to improve the High Desert economy.

of the day, there's not one person in the medical

industry that has done more for the High Desert region

in trying to improve the economy in a way of grand

scholarships, donations, forward thinking as Dr. Prem

10

I've known

I've worked with Dr. Reddy on multiple


At the end

Reddy and his team have done.

11

Victor Valley Community Hospital needs a local

12

owner who will make Victor Valley Community Hospital his

13

ultimate legacy, not only in a local owner, but a

14

committed owner.

15

a business person that understands the community and its

16

finances.

17

this hospital to make a return on his investment.

18

local businessman, recognizing the long history of

19

Victor Valley Hospital's financial problems, investing

20

the type of money that will be required to bring this

21

facility to the standards that Dr. Prem Reddy and his

22

associates require will never yield any type of return.

23

I basically think it's a bad investment if you're

24

looking at it from a monetary standpoint.

25

business standpoint, it's a bad deal for Dr. Reddy to

Victor Valley Community Hospital needs

I can assure you that he is not purchasing

106
PUBLIC HEARING PROCEEDINGS

As a

From a

invest, and Dr. Reddy's not investing in this facility

to make a quick buck.

legacy.

I believe this will be his

While I believe that Dr. Reddy and his family

are extremely proud of what they've attained in the

creation of Prime Healthcare Services Foundation, and

Victor Valley Community Hospital's close to his home, it

will ultimately be the biggest challenge that he will

face as chairman of Prime Healthcare Services and Prime

10

Healthcare Services Foundation.

11

It's hard for me to believe as a High Desert

12

businessman that there will be any groups that would

13

oppose a financial injection of money, time, energy, and

14

dedication to improving Victor Valley Community

15

Hospital.

16

those unions that would like to become a part of Reddy's

17

hospitals.

18

it is from the Attorney General to independently make

19

decisions out of the political realm, not to look at

20

those who have made political contributions to the

21

Attorney General's office, but to do what the citizens

22

of the Victor Valley need -- a doctor, a philanthropist,

23

a businessman, and a visionary that wants to make Victor

24

Valley Community Hospital the Victor Valley's hospital.

25

The issues should not be about Dr. Reddy or

It should be about the right and what right

I'd like to close and say this.

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PUBLIC HEARING PROCEEDINGS

I've seen a

lot of old friends from the medical industry here

tonight, and some of them we've done business with and

some we haven't.

a -- have a profound hit to possibly our bottom line for

making this endorsement.

of the day that our hospital, that the medical industry

come together, because at the end of the day, we are one

and what we do sends, I think, a strong message to

everybody in this valley.

And I'm sure my comments will have

I would hope that at the end

Thank you.

10

HEARING OFFICER:

11

Okay.

12

And then, after Carol is going

to be Loise Sanders and then Ken Anderson.

13

COMMENTS BY CAROL KOELLE

14
15

Carol.

Thank you very much.

CAROL KOELLE:

Good evening.

I was going to

say good afternoon, but it's a little late now.

16

DEPOSITION OFFICER:

17

CAROL KOELLE:

Move the microphone down.

My name is Carol Koelle; last

18

name, K-O-E-L-L-E.

I am a registered nurse of 17 years

19

and a charge nurse on an 81-bed cardiac unit at

20

St. Bernardine's Hospital in San Bernardino.

21

on the board of directors for the California Nurses

22

Association, National Nurses United, and affiliated with

23

the AFL-CIO, who represent 180,000 nurses across our

24

nation.

25

is where I receive my medical care.

I am also

However, I live here in the High Desert.

This

I'm very, very

108
PUBLIC HEARING PROCEEDINGS

concerned about the quality of medical care that we have

locally.

Twelve years ago in Long Beach, I lost my

father to a staff infection at the hands of medicine and

a lack of services provide for him.

despite my pleading and protesting to those directly

responsible for his well-being.

hospital to Prem Reddy, while he is under investigation

for Medicare and Medi-Cal fraud, whether it's true or

This happened

I believe selling the

10

it's not, and with the incidents of cited infections

11

that he has in these hospitals, would put the community

12

in the same peril that my dad -- my dad faced.

13

this hospital gives Mr. Reddy a near monopoly, leaving

14

St. Mary's as the only other choice, which already has

15

its ER overcrowded, in large part due to local -- locals

16

avoiding Desert Valley Hospital, with its poor

17

reputation.

18

Selling

As a patient advocate, I have spoken to dozen

19

of Desert Valley nurses regarding patient safety

20

conditions and their facility.

21
22

HEARING OFFICER:

Carol, can I just have you

slow down --

23

CAROL KOELLE:

24

HEARING OFFICER:

25

Their hands --

Oh, sorry.
-- because you're reading,

and the court reporter's trying to take it all down.

109
PUBLIC HEARING PROCEEDINGS

CAROL KOELLE:

HEARING OFFICER:

passion.

slower.

That's good.

I'll give it to you.

Okay.

And I know you have a lot of

I like that.

Just a little bit

So --

CAROL KOELLE:

Anyway, let's go back.

Spoken to dozens of these nurses.

Their hands

are tied, their voices silenced by the intimidation if

they attempt to suggest improvements.

friendly or cooperative work environment.

This is not a
I personally

10

know three nurses who have been fired for being vocal.

11

I would much rather know that the new potential owner of

12

Victor Valley Hospital puts patients ahead of profit.

13

believe that Victor Valley Hospital must stay open, but

14

there must be choices in the High Desert.

15

(Applause.)

16

HEARING OFFICER:

17

Okay.

18

going to have Joe Range.

19
20

Okay.

How about Ken Anderson.

Loise, are you here?

And after Ken, we're

COMMENTS BY KEN ANDERSON


KEN ANDERSON:

Good afternoon.

My name is Ken

21

Anderson, A-N-D-E-R-S-O-N.

I'm a district

22

representative for California Senator Sharon Runner.

23

have a letter in her behalf, dated August 16th,

24

addressed to the Attorney General, and it's addressed to

25

the Attorney General Harris.

It says:

110
PUBLIC HEARING PROCEEDINGS

"As you are aware, on July 5th, 2011,

the Victor Valley Community Hospital and

Prime Healthcare Services Foundation

entered into an agreement to allow the

Foundation to acquire Victor Valley

Community Hospital and to continue to

operate as a nonprofit hospital.

"The Foundation, a nonprofit public

charity founded by High Desert residents

10

Dr. Prem Reddy, owns and operates two

11

other nonprofit hospitals, Encino Hospital

12

Medical Center and Montclair Hospital

13

Medical Center, a Top 100 Hospital in the

14

Nation in 2009, and is governed by an

15

independent board of directors.

16

Healthcare services, Inc., Desert Valley

17

Hospital, and Dr. Prem Reddy have no

18

ownership interest in the Foundation.

19

Prime

"I fully support this agreement

20

be- -- because as one of the Victor

21

Valley's two nonprofit hospitals, Victor

22

Valley Community Hospital provides

23

much-needed emergency, surgical, obst- --"

24

I knew I was gonna do that.

25

HEARING OFFICER:

Obstetrical?

111
PUBLIC HEARING PROCEEDINGS

-- "obstetrical" -- thank you -- "and

pediatric services to the area residents.

Unfortunately, the growing Victor Valley

has an alarming low 1:1 ratio of beds per

thousand people within its service area

compared with the state average of 2:1.

In real numbers, the Victor Valley has

three hospitals with a combined of 378

beds.

Victor Valley Community Hospital

10

represents 27 percent of the region's beds

11

and accepts patients from all income

12

levels.

13

insufficient medical access and a high

14

unemployment rate, it is critically

15

important that this hospital remain in

16

full operation.

17

In a community suffering from

"As the state senator representing

18

the Victor Valley, I urge you to approve

19

the sale of Victor Valley Community

20

Hospital to the Foundation on

21

August 17th because the Foundation has

22

proven it has successfully run other

23

nonprofit hospitals in accordance with

24

conditions imposed by the Attorney

25

General.

I must also point out that the

112
PUBLIC HEARING PROCEEDINGS

opponents have put out inac- -- inad- --

inaccurate and misleading information

regarding Prime Healthcare Services and

Prime Healthcare Services Foundation that

has created concern over this sale.

However, not approving the sale of Victor

Valley Community Hospital will do great

disservice to the residents of the Victor

Valley who rely heavily on the services

10

provided by this hospital.

11

"Sincerely, Sharon Runner, Senator,

12

17th district."

13

HEARING OFFICER:

14

Great.

Thank you.

you leave us a copy of that letter, please?

15

KEN ANDERSON:

16

HEARING OFFICER:

17

after Joe is going to be Dawn Sikes.

18

Yes, I did.

JOE RANGE:

20

HEARING OFFICER:

22

Okay.

Joe Range, and then

COMMENTS BY JOE RANGE

19

21

Could

sir.

I don't have any prepared remarks.


No worries on that account,

Speak your heart.


JOE RANGE:

That's what I'm going to do.

23

a businessman.

24

October 17th -- October 21st of 1989.

25

in its 40th year.

I'm

I've been in the valley here since


My corporation's

That's not important here, but that

113
PUBLIC HEARING PROCEEDINGS

just means I have access to a lot of people, a lot of

people have access to me.

folks that need -- that have needs, and they have used

the facilities that are here in the valley.

that you run into many times, and in my own case, myself

and my wife have ended up staying in the aisles on a

bed, on a gurney, waiting for a room.

an overriding need for these beds, and I think that

the -- the problems that have been brought up today can

We have employees.

We have

The problem

I think there's

10

be mitigated, that those are things that are operational

11

things that can make things better.

12

What we're talking about is people.

We're not

13

talking about machines.

14

businesses.

15

talking about is people.

16

need to be able to address those needs, and hospitals

17

have a large responsibility in making that happen.

18

We're not talking about

We're not talking about -- what we're


And people have the needs and

Now, this takes me to the next point.

I am

19

currently vice president of the governing board of

20

Victor Valley College.

21

speak here earlier about our current students in our

22

nursing program.

23

and you'll forgive me for bragging.

24

generally graduate in the top -- top of the class.

25

deliver between 40 and 60 a year.

You heard some of our folks

We have a fantastic nursing program,


Our nurses
We

That's not a lot, but

114
PUBLIC HEARING PROCEEDINGS

those 40 and 60 are -- are vitally needed.

responsibility for our school, our Victor Valley

College, our medical component, which -- which is

nursing, we have to draw on the staffs of the hospitals.

And so we do have contracts with all of the hospitals to

provide employees that are going to go to school and

come out with their degree for nursing.

an interworking relationship with all the hospitals and,

in particular, Dr. Prem Reddy.

10

And the

And so we have

Dr. Prem Reddy has given our school

11

$1 million.

I was there when it happened.

I was

12

serving on the Foundation board at the time as president

13

of that board at that time.

14

board.

15

governing board member as vice president.

I'm now emeritus on that

I'm currently serving, as I said, as a trustee,

16

It's very important that we keep in mind that

17

these students need to get this education, need to get

18

this training, and then they need to be able to go

19

someplace.

20

begin to apply their trade.

21

important component, and that's what I say, when we talk

22

about people, we're talking about young people entering

23

the profession.

24
25

They need to be able to go to a hospital and


And that is the most

I've heard all kind of comments about


administrative problems and other folks who have special

115
PUBLIC HEARING PROCEEDINGS

interests in -- in -- in the programs and the way things

are administered and that sort of thing.

like to remind people it's all about people and that

when you go to a hospital, you have only one concern and

that is you want to be taken care of.

doesn't happen, and that's really unfortunate.

need to redouble our efforts and produce the kinds of

nurses from our school that will do better in the future

based on the learning and the experience they're going

I would just

And sometimes it
But we

10

to get from these hospitals and, in particular, Dr. Prem

11

Reddy's Victor Valley Hospital.

12

So with that, I can go on about other things.

13

But I think it's most important that we have 15,000

14

students at our school and us, like everybody else, is

15

faced with these money problems, but we have to go on.

16

And by the same token, this hospital needs to stay open.

17

It can not lapse.

18

to go.

19

that it must stay open.

20

a governing board member of the college, we need a place

21

for our students to go.

22

and thank you for listening.

23
24
25

There needs to be a place for people

And we want to -- well, my personal feeling is


From the -- from my position as

And so with that, I'll close

HEARING OFFICER:

Thank you very much.

Appreciate it.
COMMENTS BY DAWN SIKES

116
PUBLIC HEARING PROCEEDINGS

DAWN SIKES:

Good evening.

My name is Dawn

Sikes, D-A-W-N-S-I-K-E-S.

County Supervisor Brad Mitzelfelt, and I'll be reading a

letter prepared by the Supervisor.

I'm district director for

"As First District Supervisor, I am

writing to express my support for the

Office of the Attorney General in its

process to find a qualified buyer for

Victor Valley Community Hospital in order

10

to keep this critical medical facility

11

operating.

12

"The impact of closing Victor Valley

13

Community Hospital would be catastrophic

14

for the community's economic and medical

15

health.

16

"Closure of the hospital would cause

17

a severe economic impact on the High

18

Desert, which has already been hard hit by

19

the recession.

20

San Bernardino County suffers from an

21

unemployment rate of more than 17 percent,

22

with one local city at 21.3 percent, which

23

is almost twice the state average.

24
25

The High Desert of

"Victor Valley Community Hospital is


one of the area's largest employers.

117
PUBLIC HEARING PROCEEDINGS

Closure would put 400 employees out of

work, leaving them without a stable source

of income.

suffer from the loss in business generated

by the hospital.

Many local vendors would also

"As widespread as the negative

economic impacts of the closure would be,

the medical impacts are of even greater

concern.

The High Desert is already a

10

community underserved by medical

11

facilities.

12

Valley Community Hospital includes a large

13

uninsured and underinsured population.

14

Many of these citizens rely solely on the

15

services provide by Victor Valley

16

Community Hospital.

17

to close, other regional hospitals would

18

be overburdened with the resulting influx

19

of patients.

20

have to travel down the Cajon Pass to the

21

already overcrowded county hospital in

22

Colton, Arrowhead Regional Medical Center.

23

The result would be more people with less

24

access to quality medical care.

25

The region served by Victor

If the hospital were

Some of these patients would

"I do not want to see anyone in our

118
PUBLIC HEARING PROCEEDINGS

community, from seniors to expectant

mothers, suffer simply because we allow

this vital facility to close.

"Signed, Brad Mitzelfelt,

Vice-Chairman, Board of Supervisors,

San Bernardino County."

HEARING OFFICER:

DAWN SIKES:

HEARING OFFICER:

10

Thank you.

Thank you.
After Val, we're going to

have Rebecca Tennison and then Blair Bryson.

11
12

All right.

COMMENTS BY VAL CHRISTENSEN


VAL CHRISTENSEN:

Thank you.

My name is Val,

13

V-A-L, Christensen, C-H-R-I-S-T-E-N-S-E-N.

14

have the honor of the serving as president of the Victor

15

Valley College Foundation.

16

I'm sorry.

Currently, I

I have some notes, but I can't

17

imagine what it would be like to lose your child.

18

really didn't mean to be emotional.

19

my notes, you know.

20

And I

I must deviate from

And in May of 2009, my daughter, a mature

21

mother with two children, was in the hospital in

22

question here.

23

"Mr. Christensen, you need to make plans because your

24

daughter's probably not going to live the week."

25

forgotten about that until just a few minutes ago, and I

And the doctor came to us and said,

119
PUBLIC HEARING PROCEEDINGS

I had

feel myself trembling and shaking.

I just --

HEARING OFFICER:

Take your time.

Okay?

VAL CHRISTENSEN:

I just can't tell you how

that affected me.

The doctor went away that day, and I

know he spent the rest of the studying and learning

about diabetes.

told me my daughter was a brittle diabetic and that her

chances of survival were very slim.

hours, he learned something that I -- I don't know what

He came back six hours later, and he

But after those six

10

he did, but I know he changed her treatment.

11

weighed 90 pounds that day.

12

she weighs 130 pounds, and she's 37-year-old mother of

13

two.

14

you don't.

I will tell that you today

I'm thankful that I have my daughter.

15

She

I'm sorry

I've known Prem Reddy for maybe 30 years.

16

I've been in Apple Valley and Victorville area since

17

1962, probably longer than anyone in the room, I

18

suspect, probably older than anyone in the room.

19

my walker aside to talk to you.

20

I put

And I apologize for being emotional, but I --

21

thinking about my daughter and that day, it was a hard

22

day for our family.

23

party with her Monday night.

24
25

It's not today.

We had a birthday

How great it was.

I say I've known Dr. Reddy for a long time and


I have.

And I know that in his heart, I know that he

120
PUBLIC HEARING PROCEEDINGS

does not serve our community for capital gain.

that he cares about people.

I know that to be true.

loss, you feel that something's different than that.

You want to think that maybe money is the motivator.

honestly can't say, and I believe in my heart that

that's not the case with the Dr. Prem Reddy that I know.

I've been to his home.

gracious and kind people that think about serving our

10
11

I know

I know him personally, and

I know that when there's a

I've met his family.

Very

community.
I know that if you're a graduate of Victor

12

Valley College Nursing, you go to the head of the class

13

when it comes time to get a job.

14

that program and, yes, we've talked about money a lot

15

here today and a lot of that money has come from

16

Dr. Prem Reddy.

17

scholarships; a great many of them are.

18

facilities they use, somebody paid for, and that money,

19

a lot of that money came from Dr. Prem Reddy and I'm

20

thankful for that.

21

Victor Valley College and you ask anybody what are we

22

famous for, we're famous for graduating top nurses.

23

as I say, they go to the head of the class when it comes

24

time to get a job anyplace.

25

It takes money to run

Those nurses that graduate are on


But the

I'm thankful that when you say

And

I know that Dr. Reddy has employed hundreds of

121
PUBLIC HEARING PROCEEDINGS

people locally; and across the nation, I have no idea,

but many.

statistics in our town.

beds.

stay open.

And I know and you've heard the unemployment


You know that we can't lose the

You know that Victor Valley Hospital needs to

I once served as a -- on an advisory counsel

to Victor Valley Hospital several years ago, when

Dr. Nepomuceno owned the hospital or operated the

hospital.

I was here before the hospital was built,

10

when it was the Presbyterian hospital and that hospital

11

failed and closed for several months before a group of

12

doctors bought it and put it back into operation.

13

seen a lot happen to Victor Valley Hospital over the

14

years, for sure.

15

I've

You know, there seems to be in our nation

16

today, unfortunately, a feeling that we need to penalize

17

success, as though someone that has achieved success

18

have done it off the backs of the poor and the

19

downtrodden and their employees and that sort of thing.

20

And I say that is a lot of bunk.

21

successful in the medical field or in the real estate

22

business or in the motor home business or any business

23

you're in -- you become successful by serving people.

24

That's how you become successful, by performing great

25

service to people.

I believe you become

I say you become successful by

122
PUBLIC HEARING PROCEEDINGS

employing the top people you can get your hands on.

If

you're going to expand your business and expand your

hospitals or whatever business you're in, you need top

people or you can't grow your business.

again, associated with some of the professionals at some

of these hospitals, and I believe they are some of the

top people in our area, and I think that's the goal of

the people here, Prime Healthcare.

exact name.

I've been,

I don't know the

I'm sorry.

10

HEARING OFFICER:

That's all right.

11

VAL CHRISTENSEN:

That they try to have the

12

top people.

13

years, certainly more than thousands.

14

ex-employees don't think the best of me.

15

customers really like me, and I think that's because I

16

expect my employees to be the very best they can be at

17

all times.

18

incomp- -- employees that are incompetent.

19

sometimes, those kinds of employees can leave and have

20

something negative to say about you.

21

question of that.

22

And I've employed a lot of people over the


I know some of my
But my

I will not tolerate mediocre performance or


And

There's no

Prem Reddy lives in the community, invests in

23

the community, employs people in the community, trains

24

people in the community, donates to charities in the

25

community, and contributes to the community.

123
PUBLIC HEARING PROCEEDINGS

I think

that it would be a great thing to have our hospital

owned by a local instead of somebody from out of town.

3
4

And I would give you these, but they're not


what I said.

Thank you.

HEARING OFFICER:

Okay.

Thank you very much.

Rebecca Tennison.

And after remember

Rebecca is going to be Blair Bryson and then Michael

(unintelligible).

just hang on.

10

We're going to get to you too, so

COMMENTS BY REBECCA TENNISON

11

REBECCA TENNISON:

Good evening.

My name is

12

Rebecca Tennison, T-E-N-N-I-S-O-N.

13

Valley field representative for State Assemblyman Steve

14

Knight.

15

the Attorney General.

16

I'm the Victor

I will read a letter from the Assemblyman to

"As the Assemblyman of the Victor

17

Valley, I have been following events

18

relative to Victor Valley Community

19

Hospital with great interest as many of my

20

constituents rely on Victor Valley

21

Community Hospital for healthcare

22

services.

23

"The Victor Valley residents need

24

reliable healthcare facilities, and

25

without Victor Valley Community Hospital

124
PUBLIC HEARING PROCEEDINGS

the options become increasingly scarce.

"Prime Healthcare has rescued many

hospitals in financial distress, in

bankruptcy, and on the verge of closure

and turned them into successful community

hospitals.

intervention, most of these hospitals

would have closed.

Without Prime Healthcare's

"In these times of high unemployment

10

and uncertainty in healthcare, the High

11

Desert needs to maintain good-paying jobs

12

and quality health facilities.

13

marketplace, we need to support those who

14

are willing to take on risks and invest in

15

their community.

16

administration of the hospital would be a

17

welcome addition to the Victor Valley.

18

In this

The stable

"I support ensuring that my

19

constituents have access to their

20

healthcare needs, which includes Victor

21

Valley Community Hospital.

22

Healthcare seems to hold the most promise

23

in keeping the facility open and

24

functioning to meet the needs of our

25

communities."

Prime

125
PUBLIC HEARING PROCEEDINGS

Thank you.

HEARING OFFICER:

you give a copy to my court reporter?

4
5

Thank you very much.

Okay.

Blair.

Did

Thank you.

And then after Blair is going

to be Michael Fermin and Vicky Cabriales.

COMMENTS BY BLAIR BRYSON

BLAIR BRYSON:

B-R-Y-S-O-N.

Group.

Hello.

I'm Blair Bryson,

I'm the administrator for Choice Medical

As I stand here today, I've got to say Choice

10

Medical Group has been a long time supporter of Victor

11

Valley Hospital, charitable -- and the charitable

12

contributions in patients that are submitted -- admitted

13

to the hospital, services that are performed at the

14

hospital, in many ways Choice Medical Group has

15

supported Victor Valley Hospital over the years.

16

But today, I think I'm really representing not

17

Choice Medical Group.

I'm representing 23,000 of our

18

fellow citizens here in the High Desert.

19

one element that I haven't heard much about.

20

heard about all the access that's important to the

21

underserved class, which certainly is important.

22

the 23,000 patients that we have, we are dictated by the

23

health plan where those patients will go.

24

plans tell us where they have contracts for those

25

patients to go to the hospital, and that's where those

126
PUBLIC HEARING PROCEEDINGS

They're the
We've

But

So the health

1
2

patients have to go.


We've talked about the fact that if Victor

Valley Hospital were to close, it eliminates 25 percent

of the beds in the valley.

no contracts for the HMOs, then there are -- there's a

de facto elimination of 25 percent of the beds for the

commercial members, for these HMO members.

8
9

Well, de facto, if there are

I know HMO does not have a positive


connotation, so we're not really talking about HMOs.

10

Who are the member of the HMOs?

11

through their employer, sign up for the insurance that

12

they can best afford through their employer, and they've

13

chosen the various health plans in the HMO industry.

14

They are people who,

We've already been contacted by HMOs asking us

15

where are we going to send our patients if -- if this

16

deal goes through as it's currently instituted.

17

answer is, well, I heard from MDS the answer is they can

18

go to St. Mary's because St. Mary's has the contracts.

19

But we've already heard that St. Mary's does not have

20

capacity for additional members, to see that many

21

additional patients.

22

go down the hill.

23

So where will they go?

And the

They will

We have almost 5,000 senior patients.

Will we

24

send them down the hill, in a car.

When their family

25

members are in the hospital, will they have to go down

127
PUBLIC HEARING PROCEEDINGS

the hill to visit their members -- their patients in the

hospital?

contracts to us our extended or made available.

So it's a vital concern that the HMO

I understand that there's concern about rates.

I heard that it was implied by Mr. Strow [phonetic] that

these health -- these HMO contracts were causing

millions of dollars in losses to the hospital.

an accountant, and when I see in the MDS report that

90 percent of the admissions are for Medi-Cal and

But I'm

10

indigent, I don't -- I'm not sure how I can understand

11

how 10 percent of the admissions could be costing the

12

millions of dollars of losses.

13
14

In the -- in the MDS report, under one of the


conditions, potential conditions, Number 7, it says:

15

"Purchaser should negotiate a

16

contract with IEHP effective at the time

17

of closing date and maintain said contract

18

least for five years on similar terms and

19

conditions as other similarly situated

20

hospitals."

21

Well, we know why that's important, because so

22

many members go to -- IEHP members go to the Victor

23

Valley Hospital.

24

accomplished.

25

have that -- the new buyer be mandated to follow similar

And I applaud that that's been

I'm very happy about that.

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PUBLIC HEARING PROCEEDINGS

But why not

language where they would have to affect contracts with

the HMO contracts at terms and conditions as other

similarly situated hospitals?

of the hospitals in southern California have contracts

with the HMOs?

are considered to be fair.

has rates with most of the commercial contracts, HMO

contracts, so it must be possible.

How can it be that most

So it must be possible to get rates that


Our own St. Mary's Hospital

If we don't, we put our members at risk.

Yes,

10

there is access for emergency services.

11

access without any idea or control of what the price of

12

that access would be, it is not really access.

13

without commercial contracts, we know where the health

14

plans will tell us that we have to send our patients,

15

and many times that will be down the hill.

16

But if there's

So

We've heard a lot of people here talk about

17

how important it is to keep services, keep business,

18

keep jobs up here.

19

Hospital does not have HMO contracts, many of tho- --

20

many of that business-related -- that relates to the

21

care of those members will be done down the hill, and

22

those dollars and services will happen down in

23

San Bernardino County or Los Angeles.

24
25

We agree.

But if Victor Valley

So in short, I ask you that you will consider


the fact that there is a need for our commercial

129
PUBLIC HEARING PROCEEDINGS

members.

have representation, need to be -- have access to

services in this valley just like the other people who

currently access Victor Valley Hospital.

buyer -- they agreed to that stipulation, that the HMO

contracts can be extended.

a condition also for the sale of the hospital, that the

new buyer will seek to negotiate HMO contracts at rates

similar to other hospitals in this area.

10
11
12
13

They're not nameless.

HEARING OFFICER:

The other

So I ask that you make that

Thank you.

Thank you very much.

Appreciate it.
Michael Feldman.

And after Michael is going

to be Vicky Cabriales and then Peter Moore.

14
15

Our HMO members need to

COMMENTS BY MICHAEL FELDMAN


MICHAEL FELDMAN:

I'll move that microphone a

16

lot further down.

17

now evening, Ms. Horwitz, Ms. Cantoni, Mr. Dalton, and

18

Special Assistant Attorney General La Blanc, if you're

19

still with us.

20

My apologizes.

Good evening.

It is

And I assume he is.

Last, I should actually say hello to my high

21

school American history professor or teacher, Terry

22

Kurtz, who's actually manning a camera.

23

me -- tell you what roots I have in this community, too.

24

My name is Michael Fermin, and I'm a

25

It should tell

Supervising Deputy District Attorney for the County of

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PUBLIC HEARING PROCEEDINGS

San Bernardino.

I'm the supervisor over the special

units division of the county, handling matters like

consumer protection, environmental crime, major fraud

prosecutions.

Tell me if I'm going too fast.

DEPOSITION OFFICER:

there you go.

8
9
10

Just keep that mic --

MICHAEL FELDMAN:

Okay.

Child abduction, cold

case homicide, and asset forfeiture (inaudible) among


others.

11

I've been a board member of Victor Valley

12

Community Hospital on and off since 1997, and I was

13

actually present and on the board of directors back in

14

1998, very much like the situation we have today, when

15

there was an asset purchase sale agreement between

16

Victor Valley Community Hospital and Community Health

17

Systems.

18

$53 million and went to $40 million.

19

February of 1999.

20

Cathy Pelley was there too, then at St. Mary's.

21

like this one, I endorse that transaction.

22

And it was initially negotiated for


And this was in

And at that public hearing, actually,


Much

Many things have returned from those days.

23

Mr. Dalton, then, I think, with the Camden Group,

24

actually wrote the health impact statement back in 1998.

25

At the time, it was not you, Ms. Horwitz.

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PUBLIC HEARING PROCEEDINGS

And I'll say

it's Horwitz because I've heard people mispronouncing it

and it bothers me.

3
4

I appreciate

MICHAEL FELDMAN:

It's H-O-R-W-I-T-Z, and I

get that.

7
8

Thank you.

that.

5
6

HEARING OFFICER:

It was actually, then, Attorney -- Deputy


Attorney General Chester --

HEARING OFFICER:

Ed Horn, yeah.

10

MICHAEL FELDMAN:

-- who is now a

11

Los Angeles Superior Court judge.

12

At that time, the Attorney General's office

13

placed a condition on the sale and that condition was to

14

have $5 million in charity care as a requirement in

15

perpetuity.

16

don't have that, in large part because those are the

17

nearly impossible for people to buy on -- buy into.

18

We've noticed that transactions since then

Now, I bring that up not because I'm critical

19

of what Chet did, what the Attorney General's office

20

did, not at all.

21

permits that, especially in situations like that one.

22

It was a transfer from a not-for-profit to a profit

23

hospital.

24

healthcare deserve such oversight.

25

that it was for the best of the community that you did

Certainly, your authority by law

And their obligation to the community and its


In fact, I thought

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PUBLIC HEARING PROCEEDINGS

that, and I don't have a problem with it.

bring it up is because it gives some context to where we

are today.

But why I

While I wasn't interviewed for its most -- his

most recent health impact report, I was one who served

the community's interests back then.

chairman who was selected after it was aborted to try to

pick up the pieces, and then, again, I was brought back

on the board sometime later.

10

And I was the

But through those processes, there are several

11

observations I needed to make that I think will be

12

helpful to explain why I do support the sale as I did --

13

deja vu all over again.

14

this year.

15

I think it was in February of

Back in 1998, Mr. Dalton pointed out several

16

key factors, and I quote actually from that report.

17

One, the hospital needs to increase census.

18

needs to increase patient flow within the hospital.

19

Three, it has to acquire modernized equipment.

20

has to get physician support.

21

historical mistakes.

22

Two, it

Four, it

Five, it can't repeat

Very telling statements from 1998.

It was a

23

hospital at the time that just got out of bankruptcy,

24

involved with litigation with, ironically enough,

25

Dr. Reddy.

It was a hospital that had a lot of

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PUBLIC HEARING PROCEEDINGS

regulatory issues involving the Attorney General's

office, concerns that -- that were brought to light.

And I thought that those key factors are important

because it gives context to some of the things that we

are trying to do not to make historical mistakes in the

past.

I come not just as someone who sat on the

board.

My mother is a physician who still practices.

And I don't think there's any other physician in this

10

room that you've heard to or any other that you will

11

hear from that is exclusively and has always been

12

exclusively a medical staff member of Victor Valley

13

Community Hospital alone.

14

last remaining family members who actually gives a care

15

about the community.

16

hospital.

17

my mom to finish rounds.

18

there as a short order cook and I sat on its board.

19

I am one of Dr. Nepomuceno's

I am someone who grew up in that

I played ball at its front while waiting for


I volunteered there.

I worked

And many problems that Mr. Dalton saw back in

20

1998 exist today, and a lot of the comments that we

21

heard don't necessarily address those things.

22

about payer-mix concerns.

23

Mr. Dalton pointed out in his report.

24

the fact that now, some 13 years later, it is now a

25

45-year-old plant that is in need of repair, that

We heard

It's one of the things


He talked about

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PUBLIC HEARING PROCEEDINGS

there's reductions in reimbursement rates.

Reimbursement rates from HMOs, I might add.

I must at this moment at least take some

exception to Mr. Bryson's -- the prior speaker's

comments.

that to be an intriguing argument when he quoted from

Mr. Dalton's report that in reviewing the hospital

financials, you saw that 90 percent was Medi-Cal or

Medicare only -- at least that's what he said -- and

He talked about access to healthcare.

I find

10

10 percent were HMO.

11

as true, and we know that the hospital isn't at full

12

capacity and St. Mary's is, then why is the hospital

13

only having 10 percent of its population, if we believe

14

that to be the case, simply HMO?

Is there really an

15

access problem in that instance?

I don't think so.

16

They made a choice to go to other places.

17

Well, if we were at to take that

In his most recent evaluation, Mr. Dalton has

18

done an exceptional job pointing out some of the

19

advantages and some significant concerns.

20

today to urge approval of this sale for three reasons.

21

First and most directly, without that sale, the hospital

22

will lose its CLIA license -- and by CLIA, I'm referring

23

to the Clinical Laboratory Improvement Amendments

24

certificate -- and it will no longer be able to

25

participate in the Medicare or Medi-Cal program.

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PUBLIC HEARING PROCEEDINGS

But I do come

That's

what losing that license means.

out on page 54 of his report, the hospital will be

forced to close.

As Mr. Dalton pointed

We heard that from Ms. Pelley.

I don't believe that it would be time.

As a

board member making -- being part of the body that

endorsed this decision, I don't think it would be a time

to find a proposed buyer anywhere near the price that

the Attorney General's office, that the bankruptcy court

has authorized.

If you remember, the last time we did

10

this dance it took ten months and it didn't complete

11

until Mr. Thomas.

12

loquitur, it speaks for itself.

13

But unlike that prior transaction, Prime Care has

14

stepped in very quickly.

15

disaster from happening.

16

My comment to simply res ipsa


It didn't complete.

It has tried to prevent this

And I think you, Deputy Attorney General

17

Horwitz -- as a board member, I know you're familiar

18

with the steps that are required to complete this

19

transaction.

20

considerations when we were to doing this earlier in the

21

year.

22

work the first time, and it didn't.

23

blame on you.

24

there.

25

You made a lot of concessions and

You made a lot of great steps to try to make it


And I don't put

We know you worked hard at it.

We were

We were part of that negotiation team.


I take exception to Mr. Thomas characterizing

136
PUBLIC HEARING PROCEEDINGS

it as the Hospital's fault.

I sat there month after

month after November, listening to being nickel and

dimed about every little thing, and I think you know

that.

it went.

contracts with the other HMOs.

things that the bankruptcy court wanted.

inaccurate to imply that they were ready it close,

because the fact of the matter is, Deputy Attorney

I know the bankruptcy court knows that's the way


They weren't prepared.

They didn't have


They didn't have the

10

General Horwitz, that's what you wanted.

11

wanted as a board.

12

wanted.

13

That is

That's what we

That's what we thought the community

It didn't happen.
What they say is let's challenge CLIA.

14

Perhaps, like other deadlines that we're supposed to

15

happen on June 1st, let's not take the government

16

seriously when they make deadlines.

17

Mr. Thomas was getting at.

18

he can do that.

19

that.

20

certainly, as a board member of that hospital, I am not

21

inclined to challenge CMS and question if, when they say

22

you will close, you will close.

23

greatest breach of fiduciary duty.

24

that should I do that is difficult.

25

And that would only require additional investigation by

I think that's what

In his position, I -- maybe

As a prosecutor, I'm not inclined to do

I know you're not as a government official.

And

That would be the


And for him to imply
It's impossible.

137
PUBLIC HEARING PROCEEDINGS

your office for my breach of fiduciary duty, and I chose

not to do that.

Since 1998, when the emergence of hospitals

from bank- -- the emergence of this hospital from

bankruptcy in the mid-1990s, we have struggled to exist.

You heard Doctor -- or Mr. Brady tell you about that.

Long-term viability of stand-alone hospitals

like Victor Valley Community Hospital's seriously in

doubt.

Not just Mr. Dalton knows the reality, economic

10

reality as an expert in that field.

11

Magazine, in September of 2007, Ryan Gish -- that's

12

G-I-S-H -- and Kit Kamholz -- and that's

13

K-A-M-H-O-L-Z -- forecasted the viability of stand-alone

14

hospitals in the future.

15

hospitals -- that 45 percent of the hospitals in 2004

16

were part of a larger organization.

17

it grew to 55 percent.

18

But in Trustee

They noted that stand-alone

And the next year,

And it's even greater today.

In 2009, 85 percent of the hospital mergers

19

around the United States involved the consolidation of a

20

stand-alone hospital into a larger entity.

21

expert after expert have cautioned board members of

22

stand-alone hospitals that their days are numbered.

23

Why?

24

unresolved regulatory issues from the 1980s, reductions

25

in reimbursement rates, as Mr. Dalton has pointed out,

Expert after

For us as Victor Valley Community Hospital,

138
PUBLIC HEARING PROCEEDINGS

compliance issues not just with the lab, but medical

staff, nursing ratios, pyramids.

about the economy.

regulations, have made it difficult, if not impossible,

for any stand-alone hospital to survive.

addressed that.

something that concerned me and I know many of my

colleagues who voted in favor of this sale.

Poors released a report last year showing the very bleak

Others have commented

All of those, and increasing

No one has

And that, as a board member, is

Standard &

10

economic picture for a stand-alone institution.

11

By approving this sale, Victor Valley

12

Community Hospital will be part of a large and

13

financially strong healthcare system.

14

commitment by the purchaser to enhance the facility.

15

You've discussed it yourself.

16

conditions, to modernize it and to keep jobs.

17

addition to that, they have promised $25 million

18

separate from the purchase price to make improvements to

19

the facility.

20

date.

21

available, I think you know the truth about that, Deputy

22

Attorney General Horwitz.

23

There's a

You've put it in your


In

Not a single suitor has done that to

And to say that there are other options

We were not silent when we declared

24

bankruptcy.

25

public.

We did not keep it under the rug.

It was

You have been present at those discussions.

139
PUBLIC HEARING PROCEEDINGS

We

have made all of our financials available to anyone of

interest.

incredible.

community, and that's what the board is discharged with

a duty to do.

To say that we limited it to anyone is


We were looking for what's best for the

Through this sale, modernization will bring

more confidence to this hospital.

There will be

opportunities for economies of scale with a larger

organization and opportunities to provide more services

10

to the community.

11

Desert Valley doesn't do as well as us.

12

things that we don't do as well as Desert Valley does.

13

Our hope is to create, I think -- at least I should say

14

not ours.

15

excellence, to provide more services so that we can have

16

enhancement of services.

17

good synergy and that makes economic sense in this

18

economically depressed community.

19

There are things that we do that


There are

Theirs, I think, is to create centers of

And I think that that is a

Finally, I would be remiss if I didn't mention

20

Prime Care itself.

Their principal, Dr. Reddy, is

21

himself a community member and you've heard the

22

extensive history of altruism.

23

bold enough to step into this breach with Victor Valley

24

Community Hospital, he has done so under your scrutiny

25

in other transactions that were reviewed by your office.

But not only has he been

140
PUBLIC HEARING PROCEEDINGS

Paradise Valley in Sherman Oaks come to mind, hospitals

that were steeped in a tradition altruistic caring and

community involvement.

they were on the verge of collapse.

were reviewed and authorized by you and your office.

And, Ms. Horwitz, how did they perform?

grade then?

keeping the promises they made to you and to their

employees and the community.

And also, before Prime Care,


Their accusations

What was their

They have a record with those hospitals of

That is something they

10

have to document with you, and you have that before you.

11

And not only did they do it in the time frame that you

12

had requested, they had done it beforehand.

13

you have experienced that personally.

14

restrictions and regulations, and I know that they've

15

met them.

16

had to come to the difficult decision in late June.

17

I hope it's not lost on you, and I hope that that has

18

some impact on your decision.

19

21

time, a mortal enemy of my family.

22

inheritance went his way.

25

And

I don't speak here because of some closeness I


have with Dr. Reddy.

24

You have placed

And this was not lost on the board when we

20

23

I know that

We're colleagues.

He was, at one

$5 million of my

(Laughter.)
If there was someone who would have a reason
and an ax to grind, I guess it would be me.

141
PUBLIC HEARING PROCEEDINGS

But I have

a greater duty.

As I do as an officer for the State of

California, the County of San Bernardino, and as an

elected board member, I have a duty to this community

and I feel good about that transaction.

the right thing.

consideration in that.

opportunity to speak to you.

And I hope that you take serious


And I thank you for the

HEARING OFFICER:

Okay.

Thank you.

We have Vicky Cabriales.

10

Vicky?

11

Peter is Eric Jenson.

12

No.

I think it's

How about Peter Mort.

Are you here,

And then, after

COMMENTS BY PETER MORT

13

PETER MORT:

Good evening.

Yes, my name is

14

Peter Mort, spelled M-O-R-T.

15

behalf of Victor Valley Hospital Acquisition, as you

16

know now, an alternative bidder to this transaction.

17

I appear this evening on

The notice and impact report prepared by

18

Medical Development Specialists are both designed to

19

inform the Attorney General and the public of the

20

possible effects that the proposed transaction may have

21

on the delivery, accessibility, availability, and

22

availability of healthcare services in this service

23

area.

24

Attorney General to decide whether this transaction is

25

in the public interest.

Using that information, it is incumbent upon the

Before making that decision,

142
PUBLIC HEARING PROCEEDINGS

the Attorney General is required to consider whether

sufficient information or data has been provided by the

applicant to evaluate adequately the agreement or

transaction or the effects hereon -- herein -- here of

public.

Regulations.

authority to request at any time additional information

that it might need to render its decision.

That is Section 995, subsection F7 of Code of

In fact, the Attorney General has the

And my point this evening will be that indeed

10

you need additional information.

11

impact report failed to provide the Attorney General

12

with information which will enable you to conclude that

13

this transaction is indeed in the best interest of the

14

public.

15

The notice in the

The notice and impact report failed to

16

adequately address at least three issues.

First, it

17

failed to directly address how the relationship between

18

Prime Healthcare Services, Inc., and Prime Healthcare

19

Services Foundation might impact the delivery and

20

availability of the medical services to the Victorville

21

community.

22

how PHS's control of two of the three hospitals in the

23

community will impact competition.

24

to address how PHS Foundation likely cancellation of

25

both managed care contracts and other insurance

Secondly, the application fails to explain

Third, they failed

143
PUBLIC HEARING PROCEEDINGS

contracts will impact the citizens of this community.

Stated otherwise, the issue that has been

discussed here this evening again and again is that the

hospital should not close.

adequately addressed is whether or not the hospital

should be closed to some.

of the cancellation of these contracts, you are

acknowledging that there will be the closure of this

hospital to some people, just not to others.

10

But what has never been

Without added consideration

That has

not been evaluated.

11

Let me address these issues.

Of critical

12

importance to the Attorney General's evaluation of this

13

transaction is the understanding of who the buyer really

14

is.

15

the fact of kind of the history and the goodwill and all

16

these things going on with PHS and that the Attorney

17

General has already had the opportunity to it review

18

transactions concerning Prime Healthcare Services.

19

in fact, it's not Prime Healthcare Services that is the

20

buyer.

21

before the Attorney General.

22

currently owns did not come before the Attorney General

23

for approval, because they were donated by a for-profit

24

entity to a not-for-profit entity and were not reviewed

25

and ruled upon.

Now, it has been, just a moment ago, addressed to

It is the Foundation.

But,

And that has never been


The two hospitals that it

This is actually the first opportunity

144
PUBLIC HEARING PROCEEDINGS

that you have to address PHS Foundation -- that is, this

particular buyer.

unintentionally, a blurring of the lines between what is

PHS and what is PHS Foundation.

And their has been, perhaps

The impact report and other available

information reveal that PHS Foundation is run as part of

an overall network of PHS.

Website for PHS, you'll see all these hospitals listed

without distinction.

Indeed, if you look at the

If you look at the section

10

required under 995D9 of the notice, Prem Reddy is listed

11

as the sole director of the Foundation, and we know he

12

is the director of the PHS.

13

president, and Michael Sarrao, the secretary and

14

treasury of both the Foundation and of PHS.

15

Likewise, Dr. Reddy is the

We've heard recently that a new board has been

16

proposed and is being added to the Foundation.

17

not disclosed is that if you look at the bylaws of the

18

Foundation under Section 2.2, you will find that

19

notwithstanding any other members being appointed, no

20

decision may be made unless Dr. Reddy is personally in

21

the majority of that decision.

22

So this board which has recently been added nonetheless

23

will be powerless in the face of Dr. Reddy's discretion

24

and what he wishes to do.

25

What was

He controls the vote.

The recent addition of this board also gives

145
PUBLIC HEARING PROCEEDINGS

rise to another issue.

Under the statute, the Attorney

General's required to take a look at the issue of both

inuring and self-dealing, and that has been done with

respect to the nonprofit seller.

application nor in the report has there been any

discussion of the nonprofit buyer.

General, indeed, has both authority and responsibility

for reviewing that entity and whether or not this

transaction is in the best interest and could, in fact,

10

inure to the benefit or self-dealing as between PHS and

11

the PHS Foundation, the nonprofit.

But neither in the

The Attorney

12

This confusion between PHS and PHS Foundation

13

is also contained within the report, the impact report.

14

For example, the blurring of these lines creates some

15

issues on the financials.

16

under the key statistics regarding PHS Foundation, MDS

17

suggests that the PHS Foundation had a net income last

18

year of 10.6 million based upon financials from the

19

hospitals in Encino and Montclair.

20

states that the income for these two hospitals was,

21

quote, up 104 percent from 2009.

22

incorrect.

23

hospitals, but the data that is being provided is for

24

four years -- two years for Encino, two years Montclair.

25

The two years for Montclair, during that period of time,

When I look at the report

The report then

But these numbers are

At the end of 2010, they may have owned two

146
PUBLIC HEARING PROCEEDINGS

the Foundation didn't own those hospitals.

The Encino

Hospital is only owned for one of those two years.

three of the four years for financial data being

referenced as being the financial data of PHS Foundation

are, in fact, financial data for PHS.

needs to be straightened out and evaluated.

one backs out those other years, it is not that they had

a 10-million-dollar profit; but, in fact, you look at

Encino's performance in that one period, and you find

So

This confusion
In fact, if

10

that their income -- net income went down from

11

4.6 million to a little under 3 million, for a reduction

12

of about 35 percent.

13

The issue here is not whether this is good

14

business for PHS, whether or not their financials are

15

good.

16

properly evaluated for this buyer, the Foundation.

17

The issue is whether or not this is being

In California Code of Regulations Section

18

99E3, requires the notice to address that possible

19

(unintelligible) and self-dealing.

20

specifically says as for any nonprofit corporation

21

involved in the transaction.

22

you to review that regulation.

23

about the applicant or it will talk about the transferee

24

to distinguish between those parties.

25

doesn't do that.

And the section

I would -- I would invite


Elsewhere, it will talk

But here, it

It speaks only to the issue of any

147
PUBLIC HEARING PROCEEDINGS

nonprofit.

anywhere with respect to Foundation.

There has been no analysis whatsoever

I think it's particularly important here where

this relationship between the Buyer and PHS, a

for-profit and a not-for-profit are so intertwined.

example, we know that there has been a positive issue

that has been presented that, quote, the Buyer here is

going to make contributions in the future of $25 million

for improvements to this facility, an honorable thing

For

10

indeed.

But what is not revealed is how this is it

11

going to incur -- or occur, pardon me.

12

in fact, additional funding coming from PHS, recognizing

13

that in the past all funds to PHS Foundation has come

14

from either PHS or Dr. Reddy?

15

this additional funding to flow?

16

are going to be occurring?

17

between these two entities and agreements between the

18

two which need to be disclosed, which need to be

19

evaluated for you to have a proper evaluation of whether

20

or not this is in the public interest.

21

will, that there are such agreements.

22

this point because nothing's been disclosed.

23

there are, the ability for PHS, given its

24

cross-directorship, cross-officership, and any financial

25

arrangements between PHS and PHS Foundation really means

Will there be,

Are there agreements for


Are there loans that

Are there relationships

Imagine, if you
We don't know at

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PUBLIC HEARING PROCEEDINGS

But if

that this Foundation will be directly controlled by not

its board, but by PHS, something which needs to be

evaluated.

If, in fact, there is this control, then a

second issue is presented, about whether or not it is in

the public's interest that two of the three hospitals in

this community are, in fact, under the control of one

board, one set of officers.

In the Attorney General's requirement to

10

consider, it says that the Attorney General shall

11

consider whether the effect of the agreement or

12

transaction may be substantially -- or could be

13

substantially to lessen competition or tend to create a

14

monopoly.

15

evaluation by the impact report nor in the notice

16

application which has addressed the issue of that

17

section, except on behalf of the seller -- pardon me,

18

except on behalf of the following comment that, quote,

19

there's no Hard Scott Rodino [phonetic] filing.

20

the beginning and the end of the analysis of

21

competition.

22

for this transaction.

There's actually been nothing in either the

That's

No Hard Scott Radino filing is required

23

So we do not have the information available to

24

the Attorney General, to the public to evaluate what the

25

real impact on competition will be, because no analysis

149
PUBLIC HEARING PROCEEDINGS

has been done, no information has been forthcoming.

The last issue, I touched on briefly already,

but let me just mention it again and that is the

cancellation of contracts.

to whether it is the practice of PHS to cancel

contracts.

others, particularly the Nursing Association, they refer

to one of the other hospitals that they were involved

in, which was Garden Grove.

It's no longer an issue as

10

As I was listening to the comments of

So I looked up the counter-data for Garden

11

Grove.

12

acquisition of that hospital by PHS, the encounter data

13

for the emergency room show that 54.18 percent of those

14

people entering the emergency room were under HMO

15

contracts.

16

2.82 percent of those people were now HMO admittees.

17

vast number of people were simply no longer going to

18

that hospital.

19

essentially, when they have this business plan of going

20

into the emergency room, people learned to go elsewhere

21

or they go without services.

22

In 2005, the period of time prior to the

Following the acquisition by PHS,

HMOs had been locked out.

And even

Centinella Hospital is the another one where

23

these contracts were canceled.

It started in '05.

24

Before the acquisition by PHS, over 30 percent were

25

HMOs.

After the acquisition by PHS, less than

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PUBLIC HEARING PROCEEDINGS

7 percent.

So there's not a question here of whether

there is a practice of canceling the contracts.

And in

this particular instance, at the time that the report

was done, it was noted that they would have the

opportunity to be using the bankruptcy system whereby it

would be the rejection of the contracts.

happen.

contracts were canceled.

That could

We now know that, in fact, all of those


They've been rejected by the

10

debtor to free up the buyer to negotiate whatever new

11

contract it wants to.

12

they recently concluded one with IEHP.

13

not with Choice.

14

is, in fact, a pattern and practice which will show that

15

there will be a significant number of people who will

16

not receive services from this hospital if, in fact, you

17

allow this transaction to go forward.

18

Now, it his good to hear that


But they have

They have not with others.

So there

So let me just conclude by saying again there

19

is no one in this room who wants this hospital to close.

20

But there is a group in this hospital -- in this

21

auditorium today that would close this hospital to a

22

significant number of the members of this community.

23

There is an alternative plan.

24

buyer which has not been considered, that would, in

25

fact, allow for service to all of its community.

There is an alternative

151
PUBLIC HEARING PROCEEDINGS

would endorse what everybody said.

hospital.

Don't close the

Don't close it to anyone.

HEARING OFFICER:

Eric Jenson, are you here?

Diana, do you need a break?

We'll, okay.

that signed up.

Thank you.

Thank you.

I'm going to call from folks

Is John Petty here?


COMMENTS BY JOHN PETTY

JOHN PETTY:

Thank you, Ms. Horwitz.

John

10

Petty, J-O-H-N-P-E-T-T-Y.

11

I've sat here today, listening to this testimony, that

12

as someone who purports to be a committed member of this

13

community is not here.

14

I think it's interesting as

Where is Dr. Prem Reddy today?

In full disclosure, I represent Dr. Kali

15

Chaudhuri.

16

drove a hundred miles to be here.

17

cut short a trip to India to come back to be here today.

18

Dr. Chaudhuri was here for three hours.

He

In fact, he actually

And my colleagues, Mr. Mort and Mr. Thomas,

19

have indicated that there is an alternative on the

20

table.

21

over the County of San Bernardino, and there's a cloud

22

with this hospital.

23

that the last thing that this community needs is a

24

furthering, a darkening of that cloud.

25

It's no secret that there is a cloud hanging

It's a dark cloud.

I would suggest

One the things that has been discussed here

152
PUBLIC HEARING PROCEEDINGS

today has been information provided by a periodical

called "California Watch."

record, if I may approach, a series of -- a series of

five articles that have been developed over the last

several months.

investigative journalism that I've seen in quite some

time.

else that you've heard here today, because I suppose you

could say that we all have, you know, dogs in this

I'd like to submit for the

In my opinion, it's some of the best

Don't believe the SCIU.

Don't believe anybody

10

fight.

11

actually, more than one, actually, more than two -- have

12

taken a look at this, taken a look at this transaction,

13

taken a look at Dr. Reddy, and developed a series of

14

articles that, I think, are fairly irrefutable.

15
16
17

But an independent investigative journalist --

If the question is what is motivation of Prime


Healthcare in acquiring this hospital, I think -And, Ms. Horwitz, you -- you indicated before

18

to another speaker, you know, come up here and speak

19

your heart.

20

watching you here today, this is not a fait accompli.

21

This is not a proforma exercise.

22

hear from this community and want to here other

23

viewpoints.

24
25

And I appreciated that.

I can tell from

You genuinely want to

I was most struck by the series of articles,


and I'm sure you've read this before; but if you

153
PUBLIC HEARING PROCEEDINGS

haven't, I want to repeat it.

Where it's not somebody

that's having hearsay evidence, it's a quote from

Dr. Reddy, who is on the stand.

attorney in a case in San Bernardino Superior Court,

during the period of time when he was actually in the

emergency room at one of the hospitals that he acquired,

did he not say, "This is a gold mine," while holding up

a series of patient files, indicating higher Medicare

reimbursements.

When asked by an

"This is a gold mine," an impromptu

10

statement by someone who owned the hospital, actually

11

shuffling patients in and out of an emergency room.

12

What does that tell you about how this

13

hospital's going to be run?

14

indicated that competition something -- or lack thereof

15

is something that has not been properly addressed.

16

My colleague, Mr. Mort,

Mr. Dalton, I -- I went through your report.

17

With all due respect, there was a short paragraph on any

18

kind of pending investigation on Mr. -- on Dr. Reddy and

19

Prime Healthcare and almost nothing on the competitive

20

issue of if Dr. Reddy gets control of Victor Valley

21

Hospital.

22

investigated.

23

Those are key elements that need to be

And I think when the Attorney General does its

24

proper due diligence of this transaction, in light of,

25

hopefully, the testimony that's been provided here

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PUBLIC HEARING PROCEEDINGS

today, it will conclude that the other alternative on

the table is a better alternative.

Community Hospital cannot stand another cloud.

Victor Valley

And I was particularly moved by the testimony

of -- I want to make sure I pronounce it right -- Kulyas

and her son Mark.

And the statement that has stuck with me after

listening to the people that were paid to appear here

for Dr. Reddy today, and that is the friends have been

10

purchased; the enemies have been earned.

11

HEARING OFFICER:

12

Thank you.

(Applause.)

13

HEARING OFFICER:

14

DEPOSITION OFFICER:

15

HEARING OFFICER:

16

UNIDENTIFIED MAN:

18

HEARING OFFICER:

19

interpreter, are you?

20

okay.

I didn't hear you.

Oh, okay.

Why don't you

Okay.

The interpreter?
Oh, you're not the

No, she already left.

Sharon Magma, Magama.

22

Martha Brodie.

23

Mary-Ellen Olivas is here.

24

wait behind her.

25

(Unintelligible.)

just make a quick announcement, and then you can go.

17

21

Thank you.

Great.

Okay.

That's

How about

And after Martha, if


Please just come on up and

COMMENTS BY MARTHA BRODIE

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PUBLIC HEARING PROCEEDINGS

MARTHA BRODIE:

HEARING OFFICER:

MARTHA BRODIE:

HEARING OFFICER:

MARTHA BRODIE:

M-A-R-T-H-A.

R-O-D-I-E.

10

Good evening?
We spoke before.

I --

Martha, can you say and

spell your first name?

Good evening.

My first name is Martha,

My last name is Brodie, B as in boy,

HEARING OFFICER:
MARTHA BRODIE:

Great, thank you.


I am not only a 27-year

11

resident of the High Desert, I am the director of

12

business development for Homestead Senior Care.

13

provide nonmedical care for seniors in their home.

14

the cofounder of the High Desert Senior Forum for the

15

High Desert.

16

board for Victor Valley Community Hospital.

17

We
I am

And I'm also a member of the Foundation

First, I want you to know, and I want it on

18

the record, I was not paid or asked by Prime Care or by

19

Victor Valley Community Hospital to speak today.

20

you to know I'm first going to speak to you on a

21

personal level, and I'm going to try and keep my

22

emotions in check.

23

I want

Three years ago, um, my father became ill and

24

we called 911.

And, um, he has Kaiser Permanente.

25

if you know anything about Kaiser Permanente, they only

156
PUBLIC HEARING PROCEEDINGS

And

have a clinic here in the High Desert.

sick and you're a patient of theirs, they're contracted

with St. Mary's in Apple Valley.

So if you get

And when we called the paramedics, at the time

my dad was 80 years old, and I'm his power of attorney

for medical.

waiting time at St. Mary, and it was six hours and I was

not going to have an 80-year-old senior, my father lay

on a gurney and wait to be seen by a doctor.

Um, I asked the paramedics what was the

I made the

10

choice to take my father to Desert Valley on Thursday

11

night.

12

out of area and you're out of hospital, you have to get

13

permission.

14

Kaiser approved him to stay there for -- through the

15

weekend, because my dad was not stable enough to be

16

moved.

17

person, everybody just assumes that it's because of who

18

I am.

Well, those people didn't know who I was from

19

Adam.

And my dad got excellent care at Desert Valley

20

Hospital.

And anyone who knows the HMO industry and you're

And, um, my dad had a heart condition, and

And because I'm such a community involved

21

And not too many people know this, but I want

22

you to know this.

Two and a half years ago, I collapsed

23

at home.

24

San Bernardino County Fire Department, and he was there

25

when I collapsed.

And my son-in-law's a paramedic, fireman for

And he told the paramedics, after my

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PUBLIC HEARING PROCEEDINGS

husband had called them and they worked on me, to take

me to Victor Valley Hospital because that's my hospital

of choice.

choice, and I have an HMO and I pay dearly for that

coverage through my employer.

On my insurance card, that is my hospital of

That was a Monday morning at 7:00 o'clock.

And my husband is my power of attorney and made all the

decisions on my care.

Wednesday afternoon, and my husband told me, "Your

And when I woke up, it was

10

picture doesn't hang on a wall here as being on the

11

Foundation board and none of these nurses knew who you

12

were and you got phenomenal care."

13
14

So I've had the experience of both hospitals.


That's my personal story.

15

My professional interest here is the seniors

16

that I represent in this community for the last 27

17

years.

18

for them because there are a lot of seniors out there

19

that can't speak for themselves because they don't know

20

the system or where to go or what to do or what to ask

21

for and that's why I'm proud of who I am and what I do

22

in this community.

23

And I'm a senior myself, and I am an advocate

And I stood before you I don't know how many

24

months ago, saying let's approve and sell this hospital

25

and let's move on.

Because, like some people say, you

158
PUBLIC HEARING PROCEEDINGS

know, kind of irritating me when you said there's a

black cloud hanging over this High Desert.

to know something.

Foundation of Victor Valley Community Hospital, and

people like me raised a lot of money for that hospital,

and a lot of doctors from every medical group gave

donations to that hospital.

this High Desert.

we're tired and we're tired of asking and it's just --

10

I want you

I worked very hard for the

There's no black cloud in

There's just a little confusion.

And

it's --

11

Every community leader in this High Desert

12

spoke here today.

13

time to move on.

14

together for our people that need it, for the seniors

15

that need it, for the children that need it.

16

move on.

17

We're -- it's time to be over.

It's

It's time to put this hospital back

And let's

Let's sell this hospital.


I don't want to be here three or six months

18

from now going through the same thing.

19

community leader.

20

help people.

21

because the last sale didn't go through for whatever

22

reason.

23

as a community leader -- and I speak for a lot of

24

people -- we just want it to be over with.

25

sale of this hospital to go through in 13 or 14 days.

I'm an advocate.

I don't.

I'm a

I'm supposed to

I shouldn't be here again all evening

And I didn't ask.

I'm just -- I'm done.

159
PUBLIC HEARING PROCEEDINGS

And

We want the
I

want my dear friend Cathy Pelley to retire, enjoy life.

I do, Cathy.

CATHERINE M. PELLEY:

MARTHA BRODIE:

I know.

We're tired.

I want to

continue to be involved in this hospital.

All I ask you

is to, in 13 days, please don't tell all of us in the

High Desert that there is no sale.

hospital.

in the community like myself, we want to raise money for

We need to sell this

We need to rebuild this hospital.

And people

10

those less fortunate and continue to do what we do in

11

this High Desert.

12

again.

13
14

HEARING OFFICER:

Is Mary-Ellen here, Mary-Ellen Olivas?


How about Dr. Mamo?

17
18

Thank you very much.

Appreciate it.

15
16

And I thank you for your time once

Okay.

Paul Russ?

Gill -UNIDENTIFIED WOMAN:

20

HEARING OFFICER:

21

UNIDENTIFIED WOMAN:

22

HEARING OFFICER:

24
25

Great.

Just before you start speed, Paul, is Sherry

19

23

Okay.

Hall.

Hall?
H-A-L-L.

Okay.

Great.

Sherry, why

don't you just come forward.


Paul, please say and spell your name.
COMMENTS BY PAUL

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PUBLIC HEARING PROCEEDINGS

PAUL RUSS:

Good evening.

My name is Paul

Russ.

The last name is spelled R-U-S-S, as in Sam Sam.

I don't have any prepared remarks today either, but I'm

going to come up here and speak from my heart.

I've been a resident of the High Desert since

1988.

I am a member of the Hesperia Planning

Commission, and I'm a senior vice president and regional

manager for American Security Bank bank up here.

spend a lot of my time in community banking and being a

So I

10

businessman up here.

11

Dr. Reddy his first loan in a nonmedical venture

12

20-something years ago to buy an Arco, of all things.

13

That was back when a million dollars was a million

14

dollars.

15

As a matter of fact, I made

So I've had a business and personal

16

relationship with Dr. Reddy and Prime Healthcare for

17

many years, and I would speak in favor of this.

18

can tell you, as a cancer survivor myself and someone

19

that's unfortunately had many other medical illnesses

20

throughout my life, the local access and local care is

21

very important to me and my family.

And I

22

Now, a lot of things have been said here today

23

and tonight, a lot of cons, a lot of pros, substantially

24

more pros, I think, than con.

25

you could translate that throughout the community.

And I think that would --

161
PUBLIC HEARING PROCEEDINGS

A couple things.

One is when you look at the

employment, that the impact in employment, this hospital

cannot close.

you had an alternative, whatever that one was, it cannot

close.

was the impact of jobs.

500 jobs if that happens, and that -- that would be

devastating.

which I am a trained economist by trade also, it would

Whether it's Prime Care that buys it or

One of the things that was discussed here today


Well, yeah, we're going to lose

But one of the theories in economics, of

10

tell that you in private sector, when you're looking at

11

jobs like this, not only will you lose those jobs,

12

there's a multiple effect.

13

sector here, you could probably estimate that that's

14

about seven times.

So if you look at that, that's an --

15

not only 500 jobs.

You're probably looking at an

16

additional 3500.

17

hospital ended up closing, you're probably looking at

18

4,000 job in all of Victor Valley and community, which

19

would be absolutely devastating for us up here.

20

you believe Mr. Russ Blewett or Councilman Russ or Joe

21

Brady, is it 18 or 25?

22

on top of that.

23

could be the nail in the coffin for this beautiful area.

24

So we don't want to -- we cannot allow that to happen.

25

And probably in the private

So this is probably -- if that

Whether

Regardless, you add 4,000 people

And a couple others like that.

That

The other thing I'd like to talk to you about

162
PUBLIC HEARING PROCEEDINGS

is that I kind of notice, listening through all this

stuff here and listening to all the comments, SCIU that

came up with these numbers and the old adage "Numbers

don't lie, but those that figure to do" comes to my mind

on that, because they just don't logically add up.

Okay?

they made over $200 million for diagnoses on one area,

and they made 50 million on another from the diagnoses

and -- well, another gentleman came up here and said,

And one of the things here is they said, well,

10

well, their company only made $10 million.

Well,

11

logically, looking at that, without digging into any of

12

the numbers -- and you have all the numbers; you can

13

probably look at that -- that would mean if you took

14

that money out that he actually lost over 200 million in

15

operations because they didn't have that extra money.

16

He only made ten -- it's just not a credible case.

17

Maybe you have one case and they extrapolate it out and

18

came up with some ridiculous number.

19

actually look at the numbers, logically they can't

20

happen.

21

about something, I think you as an attorney would

22

probably say they would discredit and throw out all that

23

information because they have a vested interest in the

24

outcome.

25

sceptical eye and implore the Attorney General to ignore

But if you

And if one says something that is incorrect

So I would look at that with a little

163
PUBLIC HEARING PROCEEDINGS

all that information from the SCIU.

Again, I'd like to thank you.

It looks like,

again just coming into this process, looking at it, that

you spent many hours, you and your staff and the state

and buyer, seller, community.

really put your heart and soul, from your report, what

you've done, into this and I'm sure that you will come

up with the proper decision.

community, if anything is said from here today, it would

And it looks like you've

And I think that the

10

be to do that, and this area cannot lose that hospital.

11

It would just be devastating.

12

and have a good evening.

13

HEARING OFFICER:

14

Okay.

Sherry.

here?

16

you just come on up here.

How about Diana Basiles?

17

21

Okay.

Diana, why don't

COMMENTS BY SHERRY HALL

18

20

Thank you.
And then, is Joseph Monte

15

19

So thank you very much

SHERRY HALL:

Thank you for my -- taking my

comments.
HEARING OFFICER:

Could you spell and -- say

and spell your last name.

22

SHERRY HALL:

I'm Sherry Hall, H-A-L-L.

I'm a

23

High Desert homeowner.

24

Desert for over 21 years.

25

San Bernardino County with too many public officials and

My family has lived in the High


We have a problem in

164
PUBLIC HEARING PROCEEDINGS

institutions that we just can't trust.

time I open my paper, another County official is under

indictment for something, and we just get used to it.

It seems every

When it comes to a hospital, this problem gets

real personal.

I'm expecting my first baby this

February.

Desert Valley that they send their pregnant women

through the ER to give birth, and that probably means

automatic c-sections.

I've heard over at Death Valley -- I mean

That's really scary.

There are

10

sick people there.

11

looks like the procedures aren't necessary, but they are

12

risky.

13

Also, these -- you know, these -- it

There are other buyers in this area.

There

14

are other buyers that would like the chance to purchase

15

this hospital.

16

They'd like to step up.

And I just want to say that my baby and I, we

17

are not a gold mine.

18

care.

19
20
21
22

We are people and we need good

So thank you for taking my comments.


HEARING OFFICER:

Thank you very much.

Appreciate it.
COMMENTS BY DIANA PASILLAS
DIANA PASILLAS:

Good evening.

I'm Diana

23

Pasillas, D-I-A-N-A-P-A-S-I-L-L-A-S.

Before I go, my

24

condolences to the family and the people here that have

25

lost loved ones, especially to cancer, because I too

165
PUBLIC HEARING PROCEEDINGS

know what it's like to lose a loved one or a good

friend.

So God bless.
I currently hold the position of manager of

provider and public relations for Choice Medical Group

up here in the High Desert.

today as a long-time citizen of this community.

been a resident of the High Desert since 1960, when my

dad was transferred out here to the then-George Air

Force Base and where he retired and then further retired

10

However, I'm really here


I've

from a large school district up here.

11

Growing up here, I went to high school, went

12

on to Victor Valley College, and went on with my career,

13

my degree and, um, have always worked in healthcare.

14

family and I have maintained residences up here in the

15

High Desert since that time, when my dad originally

16

moved here in the '60s, and my family and I have all

17

personally received medical services from Victor Valley

18

Community Hospital.

19

My

Most recently, I received an incisional biopsy

20

and a lumpectomy surgery for treatment of breast cancer

21

in 2004 at Victor Valley Community Hospital and followed

22

with more treatment from a local oncologist,

23

Dr. Vernanda, and radiation oncologist here in the High

24

Desert.

25

coordination of care that I received.

And I'm proud to say that the quality and the


I am a survivor,

166
PUBLIC HEARING PROCEEDINGS

although the journey was scary.

With that said, I'm very passionate about

healthcare.

working in contracting, in marketing, and knowing how

the system does work, we do have some great positions up

here in the High Desert, a lot that are very dedicated

to this community, not only from Desert Valley Hospital,

but to Victor Valley Community Hospital and St. Mary

Medical Center, and I've worked with all of them.

10

Being in the healthcare delivery system and

My background has always been in managed

11

healthcare marketing, and I have maintained employment

12

in this local medical community since 1985.

I formerly

13

worked at Victor Valley Community Hospital.

I've also

14

worked for the City of Victorville, where we're standing

15

here today, in addition to owning and operating my own

16

healthcare consulting business where I helped set up

17

physician offices and got them going on their

18

independent way.

19

My passion for these local physicians and

20

their affiliated medical groups and their patients is

21

very strong.

22

well-being as well.

23

Victor Valley Community Hospital via their physician's

24

care through many of the independent medical groups up

25

here.

I'm very committed to the success of their


Many of our local residents utilize

The coordination of care between the physicians

167
PUBLIC HEARING PROCEEDINGS

and the hospitals is so important for the positive

outcome of the health of the patient, and I'm living

proof of that.

One last concern is our seniors and the access

that they have to care as well.

My father, who I

mentioned earlier, who brought us here to this High

Desert community, was battling lung cancer a couple of

years ago and received his treatment through one of our

local oncologists and received some care here at Victor

10

Valley Community Hospital as well.

11

it.

12

you know, he's living proof that the care was very good

13

and he's living on.

14

do, because he has macular degeneration disease -- he

15

can't drive at night.

16

distances.

17

he stayed in this community, because the community did

18

provide good healthcare.

19

He's over it.

Luckily, he battled

He's not yet out of the clear, but

However, what I don't want him to

He can't really drive long

So he has to have care local, and that's why

So in closing, as a citizen of this community,

20

my concern is not necessarily who the buyer is, but,

21

more importantly, that continued access to care and a

22

continued commitment of this hospital to its existing

23

carriers, meaning the health plans, much less the needs

24

of the patients.

25

local residents via their health plan carriers and the

Therefore, I'm requesting that the

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PUBLIC HEARING PROCEEDINGS

local physicians continue to have access to Victor

Valley Community Hospital.

HEARING OFFICER:

Thank you very much.

have any written statement?

DIANA PASILLAS:

I've been writing.

listening so -HEARING OFFICER:

Okay.
Zumbrunn here?

Could you hand it to my -You know what?

Okay.

Pat Aguirre.

12

DEPOSITION OFFICER:

Yeah.

COMMENTS BY PAT AGUIRRE

14

PAT AGUIRRE:

Hello.

My name is Pat Aguirre,

and that's A-G-U-I-R-R-E.

16
17

And is Gregory

Great.

Are you okay, Diana.

15

It's all --

That's okay.

11

13

Do

I've been writing as I've been

10

Thank you.

HEARING OFFICER:

Sorry for the

mispronunciation.

18

PAT AGUIRRE:

I'm currently -- currently an

19

employee at Encino Hospital, which is a Prime facility

20

and has been mentioned here quite a few times as being a

21

nonprofit.

22

experienced since becoming a Prime employee.

I'd like to talk to you about what I have

23

I've been in healthcare for about 35 years,

24

and I work at a -- I've worked as Encino Hospital for

25

about 13 years.

169
PUBLIC HEARING PROCEEDINGS

1
2
3
4
5

HEARING OFFICER:

And what do you do at the

hospital?
PAT AGUIRRE:

I am a phlebotomus, and before I

was a phlebotomus, I was a lab technician.


What I have scene since, um, July 2008, uh,

are just closures, closures and more closures.

to Lex Reddy about this a couple months ago when he came

to our hospital.

saw many physicians.

When Encino Hospital became Prime, we


We had, um -- we were known for

10

doing hips and knee surgeries.

11

a medical floor.

12

was always and still is full.

13

floor that is pretty full.

14

were known for our ortho work.

15

we had quite a bit.

16

I spoke

We had a surgical floor,

We had a sniff [phonetic] unit that


We had mental healthcare

And we had a rehab.

But we

And we had surgeons and

What has since happened is that we lost our

17

surgeons and, because we don't have many surgeons now,

18

we lost our surgical floor.

19

healing, they would go to a rehab floor where we had an

20

excellent physical therapy department and would get them

21

up walking right a away.

22

nor do we have many physical therapists anymore.

And when our patients were

We don't have the rehab floor,

23

I've seen changes in the employees or, I

24

should say, the change in what employees are paid.

25

it worries me because you get people who -- you get

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PUBLIC HEARING PROCEEDINGS

Um,

employees who are right out of school, that don't really

have experience and are kind of learning on the job.

That affects healthcare.

Um, I've seen, um, people have come -- I work

in the laboratories.

So what I've seen directly is

patients are coming to the laboratory who used to come

once a month.

facilities, especially like Cedar-Sinai or other

facilities, but they lived in Encino, and they would

10

come to Encino Hospital to have their lab work done.

11

Well, they came to us and said I'm sorry; what used to

12

cost $50 of a co-pay is now costing me $500 because my

13

insurance carrier no longer allows me to come here

14

because insurances have been cut.

15

carrier contracts have been cut.

16

people in the community.

17

about this.

18

when they become ill in -- more ill than they have been

19

before, say, someone from the mental health unit or

20

someone from our lung care unit, they're taken right

21

away to the emergency room instead of going to the

22

intensive care, instead of going to a medical floor.

23

They're taken to an emergency room where they're given a

24

battery of tests that could also be done in the

25

intensive care.

They may have been patients from other

Carriers have -That has affected

I see and I -- and I wonder

I'm not a nurse, but I see patients who,

But there's a little sidestep, a little

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PUBLIC HEARING PROCEEDINGS

extra trip to the ER.

Um, all of these things that I'm saying from

what I have seen.

prepared notes.

employees come to work every day, asking what is the

census?

our hospital is officially -- has a 150 beds.

patients.

You know, I hear from employees in the cafeteria, "I

10
11

I'm trying to -- I don't have any

But I -- I see, you know, my fellow

How many people do we have?

I heard today that


We see 50

We get really worried when we see 49, 48, 47.

only had to make 27 meals."

It's --

And I've heard people here today say I don't

12

want to see this hospital close.

But yet for many

13

people who had different insurances, our hospital is

14

closed to them, and that will happen here.

15

people who have insurances other than Prime or who are

16

not Medicare, Medi-Cal, this hospital will be closed to

17

them, so will all the other Prime facility.

18

will impact the community.

19

when you're -- when Prime employees are hired at way

20

below market level.

21

come from the San Fernando Valley.

22

that went from being a per-diem employee, making a

23

certain amount of money, and now want to become a

24

full-time employee and cut from $42 to $26.

25

outrageous -- and almost had their homes lost.

For those

And that

It impacts the community

And they have done studies on -- I


I've seen employees

172
PUBLIC HEARING PROCEEDINGS

That is
That

affects employees, what they can spend in this

community, and how they live.

this room laugh in that employee's face.

I'm sorry for this.

HEARING OFFICER:

And I have seen people in

It's okay.

Don't worry

about it.

PAT AGUIRRE:

As a healthcare worker, I see

myself as a patient advocate, because many of the

patients we see in our facility, they don't have a

10

voice.

11

Many of us -- you know, I hear all these things about

12

Generation X and we're all getting older and there's

13

going to be a tremendous burden on the healthcare

14

facilities.

15

in -- sometime in our lives.

16

get the kind of care that we need, and not the care of

17

care that your daughter got.

18
19
20
21

I have spoken up for patients and been ignored.

But we're all going to be at a hospital

HEARING OFFICER:

I hope that each of us can

Thank you.
Thank you very much.

COMMENTS BY GREG ZUMBRUNN


GREG ZUMBRUNN:

Good evening.

(Applause.)

22

GREG ZUMBRUNN:

My name is Greg Zumbrunn.

23

DEPOSITION OFFICER:

24

HEARING OFFICER:

25

definitely spell that one.

I'm sorry.

You're going to have to

173
PUBLIC HEARING PROCEEDINGS

GREG ZUMBRUNN:

Z-U-M-B-R-U-N-N.

I -- I'm not

an advocate for or against Prem Reddy.

successful businessman.

just been a resident of the Victor Valley for 37 years.

Two of my three children were born at Victor Valley

Hospital.

He's a

I admire him for that.

And I'm concerned about this sale.

I've

I'm

concerned mostly about not profit.

I don't think

it's -- our only choices here are whether the hospital

10

stays open or whether it's -- closes.

11

unanimous we want it to stay open.

12

I think we're

But what I'm concerned about is diversity.

13

We're looking at, now, two of the three hospitals that

14

are going to be controlled by, if not exactly the same

15

entity -- although there's some confusion.

16

references to, well, it's not actually going to be owned

17

by Prem Reddy as if that's a selling point.

18

throughout these proceedings and in the press, then it's

19

also -- and it seems to be a selling point.

20

controlled by that.

21

going to have the shared philosophy.

22

about the lack of access for my family, for my friends,

23

for my neighbors and having that philosophy control two

24

of the three hospitals up here.

25

about the lack of diversity, the lack of contracts that

I see

But then,

It is

But nevertheless, I think we're


And I am concerned

Um, I -- I'm concerned

174
PUBLIC HEARING PROCEEDINGS

this hospital and its management will have to honor.

And as a resident here, I've been here 37

years.

I plan on being here another 37 years.

to make sure that there is access and even the best, uh,

and most well-intentioned person, if they are

controlling and have a virtual monopoly on basically all

of the western High Desert here, Victor Valley as well

as Desert Valley, that is of great concern to me.

I want

I would ask that this committee particularly

10

evaluate the other alternative so that we have the

11

diversity of three different philosophies in the High

12

Desert.

13

access to contracts that benefit all members of the

14

community.

Give the people here a choice so that we have

Thank you very much.

15

HEARING OFFICER:

16

You know what?

17

Thank you very much.


I think we have one other

person.

18

DEPOSITION OFFICER:

19

HEARING OFFICER:

20

So we're almost done.

Is

that all right?

21

DEPOSITION OFFICER:

22

HEARING OFFICER:

23

Okay.

you here?

That's fine.

Okay.

Valerie Johnson, are

(Inaudible) she's out there.

24

And just as a quick note, is there anyone else

25

who wants to speak, who didn't fill out a sign-up sheet?

175
PUBLIC HEARING PROCEEDINGS

Oh, yeah, there's -- I've got -- actually, you know

what?

take a super short break.

more.

Let's hear from Valerie.

We're going to just

I got a couple of people

I forgot about that.

Go ahead, Valerie, and then we're going to

just take, really, like, five minutes.

going to finish up hopefully by eight o'clock tonight.

Go ahead, Valerie.

And then we're

I want to hear from you.

COMMENTS BY VALERIE JOHNSON

10

VALERIE JOHNSON:

Okay.

11

It's V-A-L-E-R-I-E-J-O-H-N-S-O-N.

12

way I appear.

13

here.

I'm Valerie Johnson.


And I'm sorry for the

I didn't know we were going to comment

14

HEARING OFFICER:

No worries.

15

VALERIE JOHNSON:

But we actually -- I

16

actually e-mailed your office, too, about this.

17

But I've been a resident here in Victorville

18

for 26 years.

My husband and I are homeowners here.

My

19

husband is a teacher for Victor Elementary School

20

District.

21

we're on Blue Shield contracts.

22

you're Blue Shield.

23

severely limit where we can go.

24

to be funneled into St. Mary's, which we know they can't

25

take the overflow.

And for all of the teachers in our district,


So if you're not HMO,

And this sale to Dr. Reddy will


I mean, we're all going

They're already overcrowded there.

176
PUBLIC HEARING PROCEEDINGS

So this really affects us.

not positive, but other school districts must have the

same issue up here, with having contracts that won't

be -- that will be canceled for them too as well.

And also, I'm sure -- I'm

So, I mean, as far as money goes, it's sounds

like a lot of people here are talking about the money

aspect of it.

money aspect of it, we would have to take our business

down the hill, you know, if we can't find our healthcare

10

But even if you think about just the

services up here.

11

And then, just on a personal note about Victor

12

Valley, my last child was born there and I almost died

13

having here.

14

doctors there that were able to quickly get me into

15

surgery and get the care I needed, I wouldn't even be

16

here today.

17

hospital.

18

told, for the sale.

19

be sold.

20

seems to be the worst option, and we want another

21

option.

And if it weren't for that hospital and my

So I just wanted to say it's a great

And this is not the only option, we've been


I mean, obviously we know it has to

But is this the only option?

No.

So this

And that's it.

22

HEARING OFFICER:

23

Okay.

Okay.

Great.

Thank you.

We're going to go ahead and go through.

24

Chung, did you want to say something?

25

UNIDENTIFIED MAN:

Yeah, come on up.

Is that okay with you?

177
PUBLIC HEARING PROCEEDINGS

HEARING OFFICER:

Yeah.

COMMENTS BY STEVEN SCHWARTZ

STEVEN SCHWARTZ:

Hi.

My name is Steven

Schwartz.

Danning, Gill, Diamond & Kollitz.

Schwartz, S-C-H-W-A-R-T-Z.

S-T-E-V-E-N.

creditors holding unsecured claims in the Victor Valley

bankruptcy case.

10

I'm an attorney with the Law Office of


My last name is

First name is Steven,

I represent the official committee of

One of the important considerations in

11

approval of a bankruptcy sale is the benefit to the

12

unsecured creditors in the bankruptcy estate.

13

Dr. Reddy's company, at the initiation of the bankruptcy

14

proceeding, was the stalking-horse bidder, and was

15

involved in an auction sale and was outbid by VVHA, whom

16

you've heard from in various iterations here today.

17

Now,

That deal, the winning bid was to provide a

18

full payment to the unsecured creditors of this estate.

19

And after six months of negotiation and frustration,

20

VVHA failed to close and it looked like all hope was

21

lost for my constituents.

22

stuck with the transaction and offered to continue as

23

the backup bid for $35 million, which will provide a

24

significant distribution to the unsecured creditors.

25

Now, VVHA had the opportunity to close, but it failed to

And Dr. Reddy, to his credit,

178
PUBLIC HEARING PROCEEDINGS

do so.

We believe that doctor -- Dr. Reddy has shown

integrity in sticking with the transaction and providing

something significant to creditors, many of which will

continue to do business with the hospital and provide

jobs and money into the local economy.

VVHA now comes here and advocates to buy the hospital

for $7 million less than it bargained for, doing so on

the backs of the unsecured creditors and wiping out any

By contrast,

10

hope of a significant distribution in this bankruptcy

11

case.

12
13

The committee supports the sale and recommends


the approval.

Thank you.

14

HEARING OFFICER:

15

Charlie?

16

Thank you.

COMMENTS BY CHARLES SLYNGSTAD

17

CHARLES SLYNGSTAD:

Thank you.

Last name is Slyngstad.

My name is

18

Charles.

It's spelled

19

S-L-Y-N-G-S-T-A-D.

20

Community Hospital and have been for 16 years.

21

worked on its behalf on various matters adverse to the

22

Buyer in this transaction.

23

Buyer, but Dr. Reddy and his profit company.

24

speak only because certain matters have been stated by

25

lawyers that need a response on behalf of the Hospital.

I'm an attorney for Victor Valley


I have

Actually the -- not the

179
PUBLIC HEARING PROCEEDINGS

And I

And I will be short because I have noted that the

lawyers talk the longest, so I'm going to be short.

I need to specifically address the CLIA

certificate as a matter of record.

of the Centers for Medicare and Medicaid Services is

that it will not, quote, unreasonably refuse to extend,

unquote, the revocation of the CLIA certificate, quote,

for good cause, unquote.

what Mr. Weisberg, I believe, said when he spoke earlier

10

The legal obligation

It is not any clause, which is

today.

11

When the prior transaction failed to close on

12

May 31, we did not hear from the Federal Centers for

13

Medicare and Medicaid services about the CLIA

14

certificate for approximately five full weeks, while we

15

wondered whether or not that certificate was going to --

16

at that time, subject to a future revocation date,

17

whether that certificate would be extended or would not.

18

So when Ms. Pelley speaks of jeopardy to the hospital

19

based upon the CLIA certificate's status, that is real

20

jeopardy.

21

because we have made all of those phone calls through

22

the chief financial officer and the chief executive

23

officer of the hospital to try to get the outside

24

laboratories to take over those functions and they will

25

not do so.

It is not something that can be outsourced,

Outsourcing is not an option.

180
PUBLIC HEARING PROCEEDINGS

And when

Mr. Thomas said it was one during the VVHA sale

transaction earlier that failed, he misspoke.

There are no promises to extend that

certificate, and Mr. Seth Shapiro's statement from the

Department of Justice in Washington is not a promise

that is enforceable, as Mr. Shapiro will probably tell

you against the interests of his client, the Centers for

Medicare and Medicaid Services.

can speak on its behalf through it's representatives,

10

Only that organization

and they are only committed to what's in writing.

11

That writing came as a result of an

12

administrative law judge's decision nearly over a year

13

ago now, and CMS did not seek that decision by the ALJ

14

judge simply for the sake of letting it be a piece of

15

paper that they will extend forever.

16

The alternatives we have if we do not close

17

are to go and take what is, in effect, the Victor Valley

18

Hospital Assoc- -- Hospital Acquisition offer that, as

19

Mr. Schwartz just said, is $7 million less.

20

just $7 million less, but it is also far inferior.

21

It is not

The transaction with Prime is for $35 million,

22

subject to a potential credit of approximately

23

$3 million.

24

$100,000.

25

from the supplemental payment due in another week under

As of today, that credit is less than

So unless we get a lot of reimbursement money

181
PUBLIC HEARING PROCEEDINGS

the 2010 supplemental payment program, or unless we get

money from SB90 before August 31, which is not

anticipated, that's -- money is due in September, we

will have a credit of, in all likelihood, less than

$500,000.

this transaction is far and above the best transaction

for the board of the directors of the comm- -- of the

Victor Valley Community Hospital to accept.

And as I say now, it's less than 100,000.

So

If the transaction goes through, I have heard

10

now, late, various statements made about monopolization.

11

Those statements are substantially uninformed, but

12

they're substantially voiced by Victor Valley Hospital

13

Acquisition, which has its own interest in mentioning

14

them.

15

application to your office for approval of this sale did

16

not address enough the issue of lessening the

17

competition because it only referred to the Hard Scott

18

Rodino Act.

19

same disclosure was made to your office in November of

20

2010 in connection with Victor Valley Hospital

21

Acquisition's submission.

22

further examination or explanation then, but they do now

23

because it's in their interest.

I noticed Mr. Mort spoke about how the

That comment was never made when the exact

They didn't think it needed

24

But if one looks at simply a straightforward

25

comparison of the numbers of beds, if this transaction

182
PUBLIC HEARING PROCEEDINGS

goes through, there will be 184 beds between Desert

Valley Hospital and the acquired Victor Valley Community

Hospital.

have more than 50 percent of the market for beds.

St. Mary's will still have 187 beds and will

And I apologize to people who have spoken

personally of interactions with the hospital on a

personal note, because from Victor Valley Community

Hospital's point of view, all we're left with at the end

of the day is money.

So I know we affect patients'

10

lives in healthcare.

But, really, as the seller, we end

11

up with cash, and that's the fact of it.

12

not lessen competition in this marketplace.

13

But we will

And to the argument that we will lessen

14

competition because HMO contracts will either not be

15

renewed or entered into by the Prime Healthcare Services

16

Foundation organization, I just have a simple question.

17

Where were these doctors, the HMOs, and the PPOs for the

18

last dozens of years?

19

years for this facility?

20

patients.

21

had been or there would be a monopolization.

Where were they the last five


They weren't admitting

Dr. Eric Hansen spoke and stated how there

22

(Interruption by cell phone.)

23

HEARING OFFICER:

24
25

Can you hang on one second?

I'm sorry.
CHARLES SLYNGSTAD:

Sure.

Do you wish to take

183
PUBLIC HEARING PROCEEDINGS

that call?

2
3

HEARING OFFICER:

Sorry.

I couldn't find my

phone.

CHARLES SLYNGSTAD:

HEARING OFFICER:

CHARLES SLYNGSTAD:

Are you okay?


Yeah.

No, I'm fine.

I just need to make a

remark that Dr. Eric Hansen made the monopolization

remark about how this would impact Choice Medical Group.

He admitted three inpatients in 2009 to Victor Valley

10

Community Hospital, four in 2010, and one this year.

11

Dr. Gurpal Phaguda also spoke that he agreed

12

with Dr. Hansen.

13

patients in 2010, and four this year.

14

again:

15

He admitted no patients in 2009, no


So I have to ask

Where have they been?


The commercial members of these HMOs and PPOs

16

may or may have not access as members of their group,

17

but they will still have access to medical care in the

18

community and from Victor Valley Community Hospital.

19

may have a different interaction with them commercially,

20

but those members have not been coming to this hospital.

21

They just haven't been there.

22

It

We are largely supportive of the Medi-Cal and

23

Medicare and charity care in this community, and that is

24

the fact of it.

25

substantially the HMOs and Choice Medical Group and the

So we are not going to impact

184
PUBLIC HEARING PROCEEDINGS

others.

What it will cause them to do is go back to

St. Mary's, which is where they came from when this came

to Victor Valley.

Finally, to Victor Valley Hospital

Acquisition, I heard I forget which representative say

their interests have not been considered, and I just had

to smile the smile only someone who went through seven,

eight months of trying to deal with them to get them to

close the transaction kind of can have.

All of their

10

interests have been considered throughout these

11

proceedings, and they did not close when they had the

12

ability to close.

13

know you know, Ms. Horwitz, throughout those many months

14

and their price kept dropping.

15

and then was readjusted downward so that it ended up

16

that we ended up having to agree to loan them $6 million

17

to try to make the sale close, and they still didn't

18

close.

19

They kept negotiating, as -- as I

It started at 37 million

Shortly after the transaction, Mr. Thomas

20

stated the Medicare problems came to light, and that is

21

not a correct statement.

22

close on December 31.

23

continuance and would not close it on December 31.

24

extended it to February 28.

25

Medicare approximately a couple of weeks before that

The transaction was due to

On December 18, they requested a


We

The issues came up with

185
PUBLIC HEARING PROCEEDINGS

closing date, which we then extended to the end of

April.

problems, not the six-month period that I heard at least

Mr. Thomas and perhaps one other speaker for Victor

Valley Hospital Acquisition refer to.

those under a 4.5-million-dollar agreement to pay the

Centers for Medicare and Medicaid Services upon the

closing of this transaction.

We resolved within 60 days all of our regulatory

And we resolved

They had until June 1 to finally close after

10

the regulatory issues were resolved.

11

to the moments before that closing, a week before --

12

they still had no deals with Heritage, no deals with

13

IEHP, no deals with Choice, and no deals with the

14

Centers for Medicare and Medicaid Services on the terms

15

of taking over the Medicare Provider Agreement, all of

16

which was brinksmanship by them to drive the price down

17

and threaten not to close.

18

issues.

19

And they still, up

They came up with many

And when you hear, now, statements by

20

Mr. Moore that there's some kind of information needed,

21

that there's some kind of confusion that he might have,

22

they are doing what they did for seven months.

23

making up more issues to delay the sale transaction at

24

the risk of this community hospital's existence, whether

25

that's from the CLIA closure or because of the

186
PUBLIC HEARING PROCEEDINGS

They are

diminishing balance of funds.

approximately $8 million and its declining balance of

cash left.

We had, I believe it was,

There's no question, and we're not trying to

hide, Dr. Reddy -- Prem Reddy's relationship to Prime

Healthcare Services foundation or to Prime Healthcare.

But I can trust that the Attorney General's office, in

the oversight of this transaction, if it's approved over

the next five years, will have all of the capability to

10

acquire information regarding the relationship between

11

the for-profit Desert Valley Hospital and the

12

not-for-profit Victor Valley hospital, or Victor Valley

13

Community Hospital or whatever it is named after close.

14

But you should not allow someone who didn't

15

close the transaction after seven months come in and say

16

that there's an alternative, that they are it, and that

17

they have not be considered as an alternative.

18

using the allegations against Prime, and their comments

19

and criticisms of the application or the healthcare

20

impact report here in this case as a cover to try to

21

drop the price to 7 million -- by $7 million to

22

$30 million, resulting in net benefit to the

23

not-for-profit funds of Victor Valley Community Hospital

24

of close to $5 million in less money derived from that

25

alternative.

187
PUBLIC HEARING PROCEEDINGS

They are

And the board, when considering that

alternative or part of it, because they kept changing it

and they still do up to this date -- the board, when it

considered whether to approve this sale transaction,

fully considered the Victor Valley Hospital Acquisition

agreement, and one from DeanCo [Phonetic] as well, that

resulted in a substantial difference in price.

unfortunately, that price is all we're left with, and

those $5 million will help get all of our creditors

And

10

paid.

11

Centers for Medicare and Medicaid Services, which goes

12

back, in some measure and some way, to the benefit of

13

the community.

14

It will help get the settlement paid to the

And we urge to you to approve the sale.

HEARING OFFICER:

15

Thank you.

COMMENTS BY SUZANNE RICHARDS

16

SUZANNE RICHARDS:

Good evening.

17

for giving me this opportunity to speak.

18

Suzanne Richards, S-U-Z-A-N-N-E, Richards,

19

R-I-C-H-A-R-D-S.

Thank you

20
21

My name is

First, I would like to offer my condolences to


both of you.

22

The word cancer --

MARK KULYAS:

No, it's not cancer.

My sister

23

was intentionally murdered for financial gain, not

24

cancer.

25

HEARING OFFICER:

Okay.

Ma'am, really, just

188
PUBLIC HEARING PROCEEDINGS

stick with me here.

SUZANNE RICHARDS:

HEARING OFFICER:

SUZANNE RICHARDS:

Go ahead.
Great.
Okay.

You go ahead.
Mr. Dalton, I've

heard a couple of times that they felt the report was

lacking in a few areas.

reports, and I just want to say I think you did a very

thorough job, and MDS has always done an excellent job.

I've seen several of your

Little bit about myself.

10

nurse.

11

care unit.

12

statistics.

I am a registered

13

I worked a majority of my time in the intensive


And I do have a master's degree in

One of the things I just wanted to bring to

14

the attention of the Attorney General is statisticians

15

are not doctors.

16

medians and draw inferences and conclusions off of them.

17

You should have confidence intervals.

18

P-values, and you need to do more digging.

19

just take a percentage and draw an inference and

20

compare.

21

need to be controlled for when you want to make

22

comparisons.

23

We know you can't take means and

You should have

There's a lot of bias in that.

You can't

Many variables

Other things I wanted to mention.

As you're

24

aware, there are many places that hospitals have to

25

report statistics.

The National Health and Safety

189
PUBLIC HEARING PROCEEDINGS

Network, which will record all of our infections.

has core measures.

CMS

They have hospitalcompare.org.

A few things about the -- the reports with

CDPH.

They didn't have infection-control issues on

them.

They were looking at the doctors' diagnoses.

would like the SCIU to take a look at the hospitals that

had higher values than Prime did, because they didn't

look at those and the hospitals that the SCIU

represents.

10

Let's see here.

We have many agencies that do

11

review our hospitals.

12

joint commission.

13

our hospitals and with HFAP, the Health Facilities

14

Accreditation Program.

15

we did have them come out.

16

reviewed, and they didn't find deficiencies in these

17

areas.

18

We

We are fully accredited by the

We are fully accredited at three of

When these allegations occurred,


Ten of our hospitals were

We -- we just want to state that when you say

19

that the state is investigating, the state is

20

investigating because they are required to investigate

21

every anonymous complaint.

22

complaint is made to the state, it does cost a lot of

23

taxpayer dollars.

And every time an anonymous

That's my comments.

Thank you.

24

HEARING OFFICER:

Thank you.

25

Lex, and then we have one last person after

190
PUBLIC HEARING PROCEEDINGS

1
2
3

Lex.
COMMENTS BY LEX REDDY
LEX REDDY:

Ms. Horwitz, Ms. Cantori, and

Mr. Dalton, thank you all for being in my community too.

I've lived here for 27 years.

L-E-X; last name, Reddy, R-E-D-D-Y.

My name is Lex Reddy,

I am the president and chief executive officer

for Prime Healthcare Services and the one that will be

involved, if this transaction gets approved, in the

10

transition process of making sure that Victor Valley

11

Community Hospital complies and stands up to all of the

12

regulations that your offices will be imposing on us.

13

While I do believe in the process and I do

14

believe in what you have to do to go through the

15

approval criteria required, I would like to emphasize

16

that we at Prime Healthcare are willing to live with any

17

decision you make.

18

Approval, denial is in your hands.

One thing that's very important for us is that

19

this hospital stays open.

As most of you have gone

20

through this process, we were not the selected bidder to

21

buy the facility.

22

vote of Victor Valley to make the right decision in its

23

best financial interests.

24

re-approached by the board was because of the failure of

25

the previous transaction.

We gracefully exited.

We wanted the

The reason we were asked or

Why are we involved in it

191
PUBLIC HEARING PROCEEDINGS

when we have heard time and time again, when 80 to

90 percent of the business is uncompensated Medi-Cal,

Medicare?

Why are we still interested in it?


I think someone asked a question where is

Dr. Reddy?

lives, breathes in this community.

He doesn't have to be physically here.

He

I take a lot of passion in this community,

along with him, because he cares for the community.

did we decide to keep it as a not-for-profit?

Why

Because

10

we want the oversight.

11

community understands that we're here to keep it open,

12

make sure we keep our commitments in this community

13

which are monitored.

14

We want to make sure that the

All the charitable work that Dr. Reddy has

15

done in this community, all of the not-for-profit work

16

that the Foundations do are all done below, in a very

17

what I call hidden way because there are things that you

18

don't need to keep bragging about.

19

home.

20

you are saving the lives of so many people that depend

21

on this facility.

22

having worked with him for 26 years, his heart is here,

23

wondering what's happening to that hospital and what's

24

happening in the process.

25

This is his community.

Charity begins at

It's not a charity when

He is in this room.

I know for sure,

It's not about Dr. Reddy.

What they have done in this process is

192
PUBLIC HEARING PROCEEDINGS

belittle the 9,000 employees that work for this

institution.

every single facility, doing the work.

employees that contribute to the success or the failure

of our institutions.

Dr. Reddy does not sit and be there at


It's my 9,000

And at the end of the day, the buck does stop

with Dr. Reddy because he takes the responsibility of

making sure these facilities are kept open, deal with

all of the -- for example, lack of a better word, the

10

trash that is thrown at us, because we have to respond

11

to regulatory agencies whom we keep in high regard.

12

I want to make sure that this community

13

understands we stood by the board of Victor Valley

14

Community Hospital to do what is right by the board for

15

Victor Valley.

16

sit here and listen to Mr. Fermin say the same thing,

17

whom I've seen and has been my competitor for the long

18

time, sitting on the board of Victor Valley, pay

19

comments and commend us for what we are here for.

20

There's nothing much grateful for me to

On the other issue of all these physicians

21

that have come by and said they don't have access,

22

there's not one physician that Prime has terminated from

23

its medical staff.

24

body.

25

Medical staff is an independent

Physicians can come and practice.


I heard one of these physicians talk about not

193
PUBLIC HEARING PROCEEDINGS

getting access to services at Desert Valley.

physician has never made an attempt.

That

All the physicians in this community know me.

They know I've lived here for 27 years, been accessible

to them.

Valley, or St. Mary was never an issue.

physicians that have complained about we're are the

managers of Victor Valley Community Hospital, for lack

of a better word.

10

Whether they practice at Desert Valley, Victor


All these

The community does not understand the

intricacies of what has gone on behind the scenes.

11

I'm not going to stand here and talk for four

12

or five hours, defending every single issue that has

13

been brought up.

14

know better.

They have taken advantage of this facility

15

financially.

They have brought it to the state of

16

affairs in which it is today.

And all I can say is these physicians

17

And what Prime or Dr. Reddy is trying to do is

18

leave a mark of keeping a hospital -- community hospital

19

opened so the community take care of the indigents.

20

provide the highest amount of charity care even though

21

we are for-profit hospital like everybody contends us to

22

be.

23

OSHWA [phonetic], CMS, and all of the reports that we

24

file like every other hospital on a day-to-day basis.

25

And that data is available in public records of

We

So if profit was the motive, we would have

194
PUBLIC HEARING PROCEEDINGS

kept it as a for-profit entity and left it that way.

It's not.

to be a community asset.

every year we are [phonetic] converting hospitals to

not-for-profit, not for any other reason.

require your oversight, regulatory agency's oversights.

And I know how strict you are about monitoring all of

this covenants and how you expect us to file reports on

an annual basis to make sure you're monitoring us and

10

We want it to be not-for-profit.

We want it

We want to make sure that

They all

respond to every issue you receive.

11

So I want to reassure, without going through

12

the whole history of what, where healthcare is headed,

13

that these physicians -- I respect them.

14

physicians for a reason.

15

and talk about Victor Valley, it really saddens me

16

because these are the very same physicians who have been

17

brought into this community by Victor Valley Hospital

18

and, to some extent, the previous founder,

19

Dr. Nepomuceno, and they have brought this hospital to

20

this state of affairs.

21

community and keep it open.

22

They are

But when they stand up here

And we do want to serve this

And the last, but not the least important,

23

point I want to make sure we talk about this the lot of

24

other vested, interested parties who keep here accusing

25

us of all of the allegations about septicemia,

195
PUBLIC HEARING PROCEEDINGS

malnutrition.

have 9,000 employees that participate, right from a

janitor who's very important for us from the

infection-control process, all the way up to the nurse

and to the CEO of the facility, that runs these

facilitates.

on a day-to-day basis.

holidays and weekends and visit the patients and the

families as much as we could.

10

I'm not a physician.

All I know is I

And believe me, all of them, I work with


I was at all my 14 hospitals on

Not me, all my executives

do that.

11

I want to reassure that quality is taken for

12

granted by us at Prime, because that's what we expect to

13

provide.

14

that happen, we are not God to help everybody do the

15

right thing at all times.

16

that aren't in our controls.

17

highest quality of care.

18

in the Nation is Prime.

19

The Top 100 Hospitals are all quality indicators.

20

mean, these are all the data that's available.

21

As much as there are some negative outcomes

There are certain outcomes


But we do provide the

The Top 10 Healthcare System


Nobody west of Mississippi.
I

And someone said that Victor Valley's -- is

22

all indigent care, nobody's going to care for the

23

indigent.

24

by this community.

25

right -- if the process is approved.

We will care for them.

We are going to stand

Dr. Reddy has made a commitment,


Of course, we

196
PUBLIC HEARING PROCEEDINGS

don't take anything for granted.

If you approve the

sale to Prime Healthcare Foundation, on day one you will

start seeing the changes we need to make.

keep our commitments, not just in terms of the financial

commitment, but in terms of the quality of care to make

it a Top 100 hospitals [sic] if we can.

goes a lot of effort, a lot of resources, and to

maintain staff we have.

does not have consistency of staff, and there is no

And we will

But with that

Victor Valley, for example,

10

continuity of care because they depend on registries,

11

per diems, because of the financial situation they're

12

in.

13

to work in this community.

14

Yes, we would be trying to recruit full-time staff

I have seen some of the community leaders whom

15

I have witnessed and have -- some of them have been my

16

role models in this community, of how they have been

17

successful.

18

They care for this hospital.

19

board of Victor Valley Community Hospital, not Desert

20

Valley, and they're the ones that want to make sure that

21

this hospital is kept open.

22

members of this community.

23

Like they said, they have been successful.


They have been on the

And these are longstanding

And one last point I wanted to mention,

24

talking about the employees.

25

responsibility.

Employees are my

We have made a commitment to retain

197
PUBLIC HEARING PROCEEDINGS

substantially all of the employees.

the assurance we are not going to reduce what they're

making as of today.

We have given you

We have given you that assurance.

As far as the benefits goes, nobody's involved

other than me.

better benefits than what they have.

changes, but for the betterment of the employees.

the employees have to give us a chance to go in and

present, which will be done after the transaction is

10

I have a plan.

We are going to provide


There will be some
And

done.

11

So for everyone to speak on behalf of what

12

Prime is going to do, what Prime is not going to do is

13

not fair.

14

[phonetic] distressed hospitals that we have bought.

15

And with your oversight and guidance on the two

16

hospitals, the Sherman Oaks Hospital and Paradise Valley

17

Hospital, we have proved that we do stand by our

18

commitments.

19

The history has proven itself with the 40

So I would like you to keep those factors in

20

mind and make the decision appropriate.

21

the doctors said, I hope you will be making a non-biased

22

judgement in a cool manner that best serves the

23

community needs.

24
25

And as one of

Thank you very much.

HEARING OFFICER:

Thank you very much.

just have one last speaker, Hector Gonzales.

198
PUBLIC HEARING PROCEEDINGS

We

COMMENTS BY HECTOR GONZALEZ

HECTOR GONZALEZ:

Thank you very much.

My

name is Hector Gonzalez, G-O-N-Z-A-L-E-Z.

lifelong resident of the High Desert.

you know I was here before any of the hospitals were

built.

So looking at me,

I'm a pastor at God's Garden Church.

DEPOSITION OFFICER:

HECTOR GONZALEZ:

I'm a

I'm sorry?

I am the pastor of God's

Garden Church and a volunteer chaplin at Desert Valley

10

Medical.

11

called to visit patients at our local hospitals at all

12

hours of the day and night.

13

we have here in the High Desert.

14

hospitals opened and operating, and we must operate in a

15

safe -- in a safe and professional manner.

16

As a pastor and as a chaplin, I have been

I see the great need that


We need to keep our

And I have personally witnessed the workers

17

and the staff at Desert Valley Medical.

18

estimation, they are truly committed, dedicated, and

19

professional in every sense of the word.

20

is why Desert Valley Medical has been ranked as one of

21

the Top 100 Hospitals in the Nation by Thompsons Routers

22

[phonetic] in five of the past seven years.

23

And in my

I believe this

I come to voice my support for Prime

24

Healthcare in their effort to purchase Victor Valley

25

Hospital.

The might be some who will voice their

199
PUBLIC HEARING PROCEEDINGS

opposition to this purchase, but I've done some

research, and I want to say that I would hate to think

that a decision could be made in support of a union

whose own president once proudly stated and I quote, "If

we can use -- if we can't use the power of persuasion,

we will use the persuasion of power."

voice my support for Prime Healthcare in their effort to

purchase Victor Valley Hospital.

Again, I come to

Thank you --

HEARING OFFICER:

Thank you.

10

HECTOR GONZALEZ:

-- and god bless you.

11

HEARING OFFICER:

Is there anybody else who

12

would like to speak, who didn't fill out a sign-up

13

sheet?

14

Okay.

Well, this will conclude our public

15

meeting.

16

than noon tomorrow.

17

wendi.horwitz@doj.ca.gov, and my facsimile number is

18

(213)897-7605.

19

Any written comments must be received no later


My e-mail address is

I want to thank everybody for coming tonight

20

and giving me your comments and attending today's

21

meeting.

Thank you.

22

(The hearing concluded at

23

8:02 p.m.)

24

-oOo-

25

200
PUBLIC HEARING PROCEEDINGS

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


[phonetic] (18)
32:7
9:1;15:6;47:7;53:19; 15 (2)
57:19;78:15,25;95:16;
26:24;48:13
97:22;99:1;128:5;
15,000
(1)
$1 (3)
149:19;170:11;188:6;
116:13
88:23;91:25;115:11
194:23;195:4;198:14; 150 (1)
$10 (2)
199:22
172:7
79:16;163:10
[sic]
(1)
151-bed
(1)
$10,000 (1)
197:6
24:14
84:17
15th (1)
$100 (1)
52:24
0
23:16
15-year (1)
$100,000 (1)
52:23
05 (1)
181:24
16
(4)
150:23
$144,834 (1)
57:25;88:17;90:23;
93:14
179:20
1
$15 (1)
16th
(1)
11:4
110:23
1
(3)
$180 (1)
17 (4)
17:19;65:20;186:9
30:2
7:1;57:24;108:18;
1:1 (1)
$2 (1)
117:21
112:4
25:20
1700 (1)
10 (5)
$20,000 (1)
16:7
57:17;128:11;135:10,
93:14
17th
(3)
13;196:17
$20,000-plus (1)
112:21;113:12,24
10,000
(2)
94:5
18 (6)
58:16;60:9
$200 (2)
30:8;43:18;87:17;
10.6
(1)
59:25;163:7
105:7;162:21;185:22
146:18
$25 (4)
180,000 (1)
100 (9)
11:1;26:22;139:17;
108:23
16:8;24:20;29:15,17,
148:8
184
(1)
19;111:13;196:19;
$26 (1)
183:1
197:6;199:21
172:24
187 (1)
100,000 (1)
$3 (2)
183:3
182:5
76:1;181:23
1960
(2)
101
(4)
$30 (2)
80:8;166:7
10:3;15:24;20:20;
76:1;187:22
1962 (1)
81:12
$35 (3)
120:17
102-bed
(1)
10:25;178:23;181:21
197- (1)
24:17
$40 (1)
38:16
104 (1)
131:18
1980s
(1)
146:21
$42 (1)
138:24
10-million-dollar
(1)
172:24
1981 (1)
147:8
$5 (4)
64:15
11 (3)
132:14;141:21;
1985
(1)
20:13;58:1,2
187:24;188:9
167:12
12 (7)
$50 (1)
57:4,14,15,18;68:24; 1988 (4)
171:12
38:16,19;104:24;
90:20;92:18
$500 (1)
161:6
12.6 (1)
171:12
1989 (1)
58:1
$500,000 (1)
113:24
12th (3)
182:5
1991
(1)
32:19;34:5;78:13
$53 (1)
25:16
13 (7)
131:18
1992 (1)
10:3;57:5;61:4;
$6 (1)
84:11
134:24;159:25;160:6;
185:16
1995 (1)
169:25
$7 (4)
88:16
130 (1)
179:8;181:19,20;
1996
(1)
120:12
187:21
52:25
13th
(1)
$8 (1)
1997 (1)
104:24
187:2
131:12
14 (2)
1998
(6)
159:25;196:7
[
131:14,24;133:15,22;
142 (1)

Min-U-Script

134:20;138:3
113:24
1999 (1)
22 (1)
131:19
101:21
1st (6)
23 (1)
21:23;52:24,25;55:1;
66:22
74:9;137:15
23,000 (2)
126:17,22
2
23,500 (1)
66:20
25 (6)
2 (2)
37:5;50:5;81:21;
17:23;65:23
127:3,6;162:21
2.2 (1)
25.7 (1)
145:18
105:8
2.82 (1)
2500 (1)
150:16
88:14
2:1 (1)
26 (3)
112:6
38:2;176:18;192:22
20 (4)
27 (5)
56:23;61:3;64:23;
112:10;158:16;
69:12
172:10;191:5;194:4
20,000 (1)
27-year (1)
64:2
156:10
200 (1)
28 (2)
163:14
46:1;185:24
2002 (1)
2nd (1)
85:15
75:16
2003 (1)
88:21
3
2004 (3)
29:16;138:15;166:21
2005 (2)
3 (1)
29:16;150:11
147:11
2006 (1)
3,000 (1)
23:15
57:5
2007 (2)
3:01 (1)
29:16;138:11
7:2
2008 (5)
30 (8)
29:16,18;57:3;68:25;
25:11;45:17,18;70:21;
170:5
85:3;88:8;120:15;
2009 (13)
150:24
24:15;29:16,20;30:3, 300 (1)
15;57:3;58:17;111:14;
92:23
119:20;138:18;146:21; 30th (4)
184:9,12
13:12;19:16,17;64:17
2010 (12)
31 (5)
24:18;29:18;57:13;
57:23;180:12;182:2;
64:17;65:6;66:20;
185:22,23
105:14;146:22;182:1, 32,000 (1)
20;184:10,13
16:4
2011 (6)
35 (3)
7:1;15:21;34:5;65:13;

66:11;111:1
2016 (1)
16:24
20-something (1)
161:12
21 (3)
83:9;90:19;164:24
21.3 (1)
117:22
213897-7605 (1)
200:18
21st (1)

Barkley Court Reporters

105:10;147:12;169:23

3500 (1)
162:16
37 (4)
174:4;175:2,3;185:14

378 (1)
112:8
37-year-old (1)
120:12

4
4,000 (2)
(1) $1 - 4,000

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


162:18,21
4.5-million-dollar (1)
186:6
4.6 (1)
147:11
4:10 (1)
51:24
40 (6)
26:2;47:18;77:24;
114:25;115:1;198:13
400 (2)
81:20;118:1
400,000 (1)
81:19
40th (1)
113:25
45 (2)
20:8;138:15
45-year-old (1)
134:25
47 (1)
172:8
47,000 (1)
29:10
48 (1)
172:8
49 (1)
172:8
4th (1)
88:16

accomplished (1)
128:24
accordance (2)
24:10;112:23
6,700 (1)
According (3)
16:5
29:9;56:10;59:20
60 (5)
account
(2)
42:15;86:18;114:25;
A
38:7;113:20
115:1;186:2
accountant (1)
60,000 (1)
128:8
abduction
(1)
52:14
accounts
(1)
131:8
60-bed (1)
10:20
ability (5)
86:15
accreditation (4)
18:3;55:23;81:23;
60s (1)
31:11,16,24;190:14
148:23;185:12
166:16
accredited (2)
able (16)
64 (1)
190:11,12
34:7;36:5;42:18;
81:5
accusation
(2)
48:16;60:2,4;63:10;
64-bed (1)
37:15,19
82:6,15;94:2;105:16;
81:3
accusations (1)
114:16;115:18,19;
68 (1)
141:4
135:24;177:14
89:18
accusing (1)
ably (1)
195:24
49:12
7
achieved (1)
aborted (1)
122:17
133:7
7 (4)
acknowledging
(1)
Above
(7)
57:4;128:14;151:1;
144:8
29:2,9;32:8;58:24;
187:21
acquire (4)
60:11,12;182:6
7:00 (1)
34:7;111:5;133:19;
absolute
(3)
158:6
187:10
51:15;79:10,17
70 (2)
acquired (2)
absolutely (3)
21:6;51:6
154:6;183:2
53:10;93:25;162:19
75 (1)
acquires
(1)
5
abuse
(1)
95:17
51:15
95:14
acquiring (4)
abusing (1)
5,000 (1)
8
24:7;33:14;38:13;
127:23
62:11
153:16
5:00 (2)
accept (5)
8:02 (1)
13:24;35:4
44:9;47:7;54:24;74:3; acquisition (16)
200:23
15:13;33:22,23;72:11;
182:8
50 (6)
80 (3)
103:21;104:22;142:15;
47:18;60:15;81:15;
acceptable
(1)
95:17;157:5;192:1
150:12,15,24,25;181:18;
163:8;172:7;183:4
77:2
800 (1)
182:13;185:5;186:5;
500 (5)
accepted
(3)
81:20
188:5
19:1;76:6;82:2
26:7;70:17,24;162:7, 80-year-old (1)
acquisitions (1)
15
accepts (1)
157:8
24:24
501C3 (2)
112:11
81-bed (1)
Acquisition's
(1)
7:16;23:14
access
(35)
108:19
182:21
515,000 (1)
18:17;20:5;22:20;
85 (1)
26:8;28:13;29:23;44:16; acronym (1)
52:13
138:18
72:14
54 (1)
45:4;50:22;76:25;
across
(4)
136:2
112:13;114:1,2;118:24;
9
49:10;51:17;108:23;
54.18 (1)
125:19;126:20;129:10,
122:1
11,12,12;130:2,4;135:5,
150:13
9,000 (3)
act
(2)
55 (1)
15;161:20;168:4,21;
193:1,3;196:2
23:7;182:18
138:17
169:1;174:22;175:4,13;
90 (5)
550 (1)
184:16,17;193:21;194:1 acting (1)
85:17;120:11;128:9;
12:3
accessibility
(4)
16:8
135:8;192:2
action
(1)
58 (1)
12:11;13:2;15:15;
90s (1)
39:16
16:6
142:21
102:3
actions (1)
5920 (1)
accessible (2)
911 (1)
67:12
50:17;194:4
10:8
156:24
active (1)
5th (3)
accessing (1)
92,000 (1)
16:8
15:21;105:13;111:1
17:8
29:11
actual
(1)
accompli
(1)
94 (3)
31:16
153:20
58:15;59:2;60:8
Min-U-Script

995 (1)
143:5
995D9 (1)
145:10
99E3 (1)
147:18

Barkley Court Reporters

actually (31)
31:3;32:22;33:20;
40:20;58:9;63:6;85:12;
86:4;105:8;130:20,22;

131:13,19,24;132:7;
133:16;134:14;144:25;
149:14;152:16;153:11,
11;154:5,10;163:14,19;

174:16;176:1,15,16;
179:22
acute (10)
10:2;80:9,10,15;
81:24;97:14,16,16,20;

99:4
acute-care (2)
11:16,24
adage (1)
163:3
Adam (11)
52:5;54:3,3,8,12,13,
14,14;56:4,6;157:19
add (9)
16:20;19:21;37:11;
60:15;71:11;85:16;
135:2;162:21;163:5
added (4)
79:10;144:6;145:16,
22
addition (11)
8:23;9:16;28:1;29:21;
60:3,17;90:1;125:17;
139:17;145:25;167:15

additional (10)
11:1;86:17;127:20,21;
137:25;143:7,10;148:12,

15;162:16
additionally (1)
16:21
address (17)
54:18,21;55:8;73:2;
85:14,14;114:16;
134:21;143:16,17,24;
144:11;145:1;147:18;
180:3;182:16;200:16

addressed (8)
9:10;110:24,24;139:6;
144:5,14;149:16;154:15

adds (1)
59:21
adequate (1)
87:4
adequately (3)
143:3,16;144:5
adjustment (1)
61:10
administered (1)
116:2
administration (1)
125:16
administrative (2)
115:25;181:12
administrator (1)
126:8

(2) 4.5-million-dollar - administrator

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


admire (1)
174:3
admission (6)
31:7;32:5,7,9;44:2;
80:22
admissions (7)
21:7;40:21,22;59:24;
60:18;128:9,11
admit (1)
100:13
admits (2)
16:5;58:9
admitted (6)
41:14;58:10;62:20;
126:12;184:9,12
admittees (1)
150:16
admitting (4)
37:17;58:11;62:19;
183:19
adult (1)
28:23
adults (1)
52:16
advance (1)
64:18
Advantage (4)
47:6,8,13;194:14
advantages (1)
135:19
adverse (1)
179:21
adversely (2)
12:10;83:18
advisers (1)
17:24
advisory (3)
90:6,24;122:6
advocate (5)
109:18;158:17;
159:19;173:8;174:2
advocates (1)
179:7
Aetna (1)
51:7
affairs (3)
48:10;194:16;195:20
affect (4)
12:10;83:18;129:1;
183:9
affected (3)
12:12;120:4;171:15
affects (3)
171:3;173:1;177:1
affiliated (3)
63:23;108:22;167:20
afford (2)
81:12;127:12
AFL-CIO (2)
63:24;108:23
AFSCME (1)
63:24
afternoon (11)
Min-U-Script

15:10;19:10;23:1;
48:2;63:20;68:22;69:24;

101:18;108:15;110:20;

158:9
AG (2)
53:12;77:18
again (27)
13:12;35:2,9;44:17;
45:13;54:6;57:3,19;
60:7,13;77:19;78:21,24;
123:5;133:8,13;144:3,3;

150:3;151:18;159:20;
160:12;164:2,3;184:14;

192:1;200:6
against (5)
21:10;79:18;174:2;
181:7;187:18
agencies (2)
190:10;193:11
agency (1)
81:17
agency's (1)
195:6
agent (1)
101:5
aggressive (2)
64:23;66:7
ago (17)
33:19;43:24;45:18;
46:1;75:17;80:18;109:3;

119:25;122:7;144:14;
156:23;157:22;158:24;

114:6
alarming (1)
112:4
alive (1)
85:18
ALJ (1)
181:13
allegation (3)
31:22;75:3,12
allegations (10)
30:23;31:14,25;32:1;
39:13,17,18;187:18;
190:14;195:25
alleged (1)
58:9
allegedly (1)
58:11
Alliance (1)
104:19
Allied (5)
88:6,23;89:2;90:8,11
allow (12)
44:2,15;50:22;62:13;
90:9;96:2;111:4;119:2;

151:17,25;162:24;
187:14
allowed (3)
37:15;89:17,24
allowing (1)
48:15
allows (1)
171:13
almighty (1)
92:16
almost (12)
33:19;45:17;46:1;

161:12;168:8;170:7;
181:13
agree (6)
42:14;43:2;49:11;
71:14;129:18;185:16
47:4;70:4;102:2;117:23;
agreed (7)
127:23;154:19;172:25;
11:15,18;76:24,25;
175:19;177:12
77:1;130:5;184:11
alone (4)
Agreement (18)
30:3;50:22;86:23;
10:13,14,17;26:10;
134:13
28:2;40:3;53:18,19,20; along (3)
54:24;111:4,19;131:15;
16:23;45:24;192:8
143:3;149:11;186:6,15; alternative (19)
188:6
15:2;73:7,10,11,11,18,
agreements (6)
22;142:16;151:23,23;
10:11;36:17;64:16;
152:19;155:1,2;162:4;
148:14,17,21
175:10;187:16,17,25;
AG's (2)
188:2
12:20;13:12
alternatives (2)
Aguirre (7)
79:15;181:16
169:9,13,14,14,18; Although (5)
170:3;173:7
21:9;64:17;71:6;
A-G-U-I-R-R-E (1)
167:1;174:15
169:15
altruism (1)
ahead (10)
140:22
14:1;15:9;35:1;88:2; altruistic (1)
110:12;176:5,8;177:23;
141:2
189:2,3
always (10)
air (3)
20:2;21:18;36:6;
45:18;102:3;166:8
78:10,22;134:11;
aisles (1)
166:13;167:10;170:12;

189:8
Alzheimer's (2)
80:13;81:6
ambulance (1)
96:3
ambulances (1)
86:24
Amendments (1)
135:23
America (3)
57:2;58:16;66:22
American (3)
48:11;130:21;161:8
among (4)

appeal (2)
66:19;67:2
Appeals (1)
65:25
appear (3)
142:14;155:8;176:12
applaud (1)
128:23
applause (5)
85:11;97:3;110:15;
155:12;173:21
Apple (3)
80:3;120:16;157:3
apples (4)
12:6;29:8;46:12;131:9
59:6,7,7,7
amount (8)
applicant (2)
11:1;25:18;40:20;
143:3;147:23
60:6;68:10;105:3;
application (7)
172:23;194:20
32:23;79:21;143:21;
Anaheim (3)
146:5;149:16;182:15;
29:16;57:25;69:7
187:19
analyses (1)
apply (1)
15:19
115:20
analysis (6)
appointed (1)
17:14,16;19:22;148:1;
145:19
149:20,25
appreciate (14)
analyst (1)
19:23;36:24;43:12;
54:16
45:7;54:8;69:20;72:6;
Anderson (6)
91:1;97:2;116:24;
108:12;110:17,19,20,
130:11;132:3;160:14;
21;113:15
165:20
A-N-D-E-R-S-O-N (1) appreciated (1)
110:21
153:19
Angeles (3)
approach (1)
47:18;129:23;132:11
153:3
anniversary (1)
appropriate (2)
52:24
49:3;198:20
announce (1)
approval (13)
12:18
10:10;20:22;22:17;
announcement (1)
71:18;74:6,7;135:20;
155:16
144:23;178:11;179:13;
annual (1)
182:15;191:15,17
195:9
approve (14)
anonymous (5)
12:3,4;22:21;32:16;
14:10,12,19;190:21,21
64:10;68:16;70:4,16;
antibiotics (1)
72:1;112:18;158:24;
57:10
188:4,13;197:1
anticipated (2)
approved (13)
13:10;182:3
19:19;20:17;34:4;
anti-union (1)
73:25;74:1;76:3;82:4;
66:7
88:15;105:13;157:14;
anxiety (1)
187:8;191:9;196:25
46:12
approves (3)
anymore (1)
18:25;67:19;70:8
170:22
approving (2)
anyplace (1)
113:6;139:11
121:24
approximately (5)
apart (1)
81:18;180:14;181:22;
75:13
185:25;187:2
apologize (2)
April (2)
120:20;183:5
65:6;186:2
apologizes (1)
Arco (1)
130:16
161:12

Barkley Court Reporters

(3) admire - Arco

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


Ardis (7)
87:25;92:8,9,9,12;
94:12,16
A-R-D-I-S (1)
92:12
area (26)
9:4;13:3;16:14,15,16;
17:9,12;20:6;21:1,5,18;

43:17;47:11;64:13;
77:14;112:2,5;120:16;
123:7;130:9;142:23;
157:12;162:23;163:7;
164:10;165:13
areas (4)
59:10;94:17;189:6;
190:17
area's (1)
117:25
argument (2)
135:6;183:13
arm (2)
61:16;102:15
ARORA (8)
49:17,22,23,23;50:1,1,
3;73:5
A-R-O-R-A (1)
50:3
arose (1)
75:8
around (8)
54:23;55:9,9;56:23;
57:4;81:20;102:11;
138:19
arranged (1)
9:6
arrangement (1)
77:3
arrangements (2)
36:16;148:25
Arrowhead (1)
118:22
articles (3)
153:4,14,24
aside (1)
120:19
aspect (6)
43:1,7,9;47:11;177:7,
8
Assemblyman (3)
124:13,14,16
Asset (10)
10:12,16;20:4;24:8;

Assoc- (1)
181:18
associated (4)
10:18,19;69:3;123:5
associates (1)
106:22
Association (3)
63:22;108:22;150:7
assume (2)
77:1;130:19
assumes (1)
157:17
assurance (2)
198:2,3
assure (1)
106:16
assured (1)
95:16
attached (2)
65:20,22
attack (1)
67:3
attained (1)
107:5
attempt (2)
110:8;194:2
attempts (1)
81:25
attend (1)
26:1
attending (1)
200:20
attention (2)
49:13;189:14
Attorney (86)
7:7;9:2,24;10:10;

9:10;25:9;86:11
auditorium (1)
151:21
AUGUST (8)
7:1;13:12;15:21;
75:16;88:16;110:23;
112:21;182:2
authority (3)
132:20;143:7;146:7
authorized (2)
136:9;141:5
automatic (1)
165:9
availability (7)
12:11;13:2;15:15;
17:12;142:21,22;143:20

available (16)
12:16,19;15:20,22,25;
18:4;20:20;49:2;50:16;

128:3;139:21;140:1;
145:5;149:23;194:22;

11:22;12:2,4,16;13:11;
15:6,20;18:25;19:19,22;

22:7,17;23:8;26:11;
28:2;32:15,18;44:1,8,14;

55:3;56:1;64:9;67:19;
68:16;70:8;71:15,18;
72:1;73:12;74:2,7,10;

196:20
average (5)
16:6;32:8;80:20;
112:6;117:23
avoid (1)
65:9
avoided (1)
29:12
avoiding (1)
109:16
awards (1)
29:4
aware (3)
43:10;111:1;189:24
away (8)
39:1;66:6;67:24;
93:10;96:18;120:4;
170:21;171:21
ax (1)
141:25
axis (2)
58:20;59:4

34:2;73:18;74:6;76:4;

78:12;81:9;105:13;
125:4;133:23;136:8;

179:10
bargain (3)
56:12;65:9,22
bargained (1)
179:8
bargaining (1)
64:15
Barstow (1)
104:18
base (4)
45:19;48:7;102:3;
166:9
based (7)
18:3;25:25;37:22;
64:7;116:9;146:18;
180:19
basically (7)

117:7;124:15;130:18, babies (1)


25;132:7,8,12,19;134:1;
16:7
136:8,16;137:9;139:22; baby (2)

142:19,24;143:1,6,11;

165:5,16

26:10;28:2;51:16;131:9,

15;195:3
assets (8)
10:13,20,22;23:16;
24:9;34:7;74:6;82:16
assigning (1)
88:18
assist (1)
44:15
assistant (2)
9:2;130:18

178:4;179:19;187:7;
74:4,8;80:12;95:1,24;
189:14
101:14;102:23;110:5;
attorneys (1)
120:6;122:12;131:13,
78:12
24;133:6,8,15;134:19;
auction (5)
152:17;159:13;161:13;
33:19,21,23;105:13;
185:1;188:12
178:15
background (4)
audibly (1)
23:13;29:1;40:15;
8:1
167:10
audience (3)
backs (3)

107:16;122:20,23,24,25;

125:1;171:18;172:23
becoming (1)
169:22
bed (3)
87:1;98:1;114:7
beds (32)
10:3,4;15:24;16:12,
21;20:20;37:11;44:19;
71:6,11;81:13,15,18,20,
21,21;83:22;86:18;87:4;
93:6;112:4,9,10;114:8;

141:12
beg (2)
100:17;101:3
began (1)
64:18
begging (1)
97:21
begin (2)
22:15;115:20
beginning (3)
50:9;98:6;149:20
begins (1)
192:18
behalf (10)
23:9;90:18;110:23;
142:15;149:17,18;
179:21,25;181:9;198:11

42:20,21;50:12;86:15; behavior (1)


102:14;106:23;175:6
62:18

79:5,20;107:18,21;
110:24,25;112:24;

111:20
Beach (3)
57:24;69:7;109:3
bear (1)
91:25
beautiful (1)
162:23
became (2)
156:23;170:8
become (11)
80:19;90:24;91:20;

122:4;127:4,6;172:7;
137:4,7;138:5;139:24;
182:25;183:1,3,4
151:6;178:9,11,12,13; beforehand (1)

76:4,7,14;77:24;78:13;

144:12,16,21,22;146:1, back (28)


6;149:9,10,24;154:4,23;
9:19;15:22;25:16;
157:5;158:7;163:21,25;
38:19;41:9;51:24;58:13;

Min-U-Script

122:18;147:7;179:9
backup (3)
75:22;78:22;178:23
bad (3)
102:2;106:23,25
balance (2)
187:1,2
ball (1)
134:16
ballgame (1)
47:23
bank (3)
79:16;161:8,8
bank- (1)
138:4
banking (1)
161:9
bankrupt (1)
102:11
bankruptcy (23)
17:22;20:13;32:18;

Basiles (1)
164:15
basis (5)
50:23;80:11;194:24;
195:9;196:7
battery (1)
171:24
battle (1)
65:8
battled (1)
168:10
battling (1)
168:7
Bauer (1)
34:2
bays (1)
10:4
be- (1)

Barkley Court Reporters

behind (5)
24:24;74:12;77:8;
155:24;194:10
beings (1)
63:5
belief (1)
80:6
belittle (1)
193:1
below (3)
47:17;172:20;192:16
Benefit (13)
7:12;11:11;28:4;
48:24;62:7;82:8;89:21;

102:8;146:10;175:13;
178:11;187:22;188:12

benefited (1)
83:15
(4) Ardis - benefited

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


benefits (5)
11:19;64:21;66:6;
198:4,6
Benjamin (1)
105:1
Bernardine's (1)
108:20
Bernardino (14)
16:18;27:25;28:21;
67:10;108:20;117:20;
119:6;129:23;131:1;
142:2;152:21;154:4;
157:24;164:25
best (16)
21:20;50:17;75:20;

47:1;65:16;84:7,9;
110:3;170:15;189:9
black (2)
159:2,7
Blair (7)

142:18;143:25;145:14; Brodie (8)


146:2,7;158:13;188:21
155:22,25;156:1,3,6,7,

119:10;124:7;126:4,4, bothers (1)

6,7,7
blame (1)
136:23
Blanc (2)
9:1;130:18
bleak (1)
139:9
bless (2)
166:2;200:10
87:7;123:14,16;127:12; Blewett (8)
132:25;140:3;143:13;
79:24;82:24;84:1,3,4,
146:9;153:5;175:4;
5;105:7;162:20
182:6;191:23;198:22 B-L-E-W-E-T-T (1)
better (9)
84:5
60:25;72:22;114:11; block (2)
116:8;155:2;193:9;
39:1;63:14
194:9,14;198:6
blood (4)
betterment (1)
31:6,14;56:23;100:15
198:7
Blue (5)
better-paying (1)
51:4,4;92:21;176:21,
70:24
22
beyond (3)
blurring (2)
61:19;80:6;100:11
145:3;146:14
Bhatia (1)
board (67)
23:18
11:21;17:24;20:2;
bias (1)
23:17,24,24;25:4,6,6,7;
189:20
27:9,12,13;49:10;51:17;
bid (3)
55:10,12;65:12;66:15;
33:15;178:17,23
88:16;89:5,6;93:4;
bidder (4)
99:15,19;100:11,12;
70:11;142:16;178:14;
101:20;102:17;108:21;
191:20
111:15;114:19;115:12,
bidders (2)
13,14,15;116:20;119:5;
33:20;34:1
131:11,13;133:9;134:8,
bidding (1)
18;136:5,17;137:11,20;
33:19
138:21;139:6;140:4;
biggest (1)
141:15;142:3;145:15,22,
107:8
25;149:2,8;156:16;
bill (6)
158:11;182:7;188:1,3;
46:19;68:20;69:21;
191:24;193:13,14,18;
72:4,5;93:14
197:19
billed (3)
board-certified (1)
42:12;56:20;58:17
23:18
billing (3)
body (2)
59:5;60:4;61:10
136:5;193:24
bills (1)
bold (1)
59:21
140:23
Billy (1)
bona (1)
9:19
78:10
biopsy (1)
book (6)
166:19
36:3,5,12,18;98:7;
birth (1)
100:8
165:8
bored (1)
birthday (1)
86:7
120:22
born (2)
bit (11)
174:5;177:12
33:25;40:15;46:14,24; both (18)
Min-U-Script

7:14;16:12,19;35:25;
120:7
37:10;73:3;75:9;79:4; broad (1)
80:10;102:13;103:17;
12:7

132:2
bottom (1)
108:4
bought (4)
68:25;69:6;122:12;
198:14
BOUMAN (3)
68:21,22,23
B-O-U-M-A-N (1)
68:23
Bowman (2)
63:18;65:1
boy (2)
54:15;156:7
Brad (2)
117:3;119:4
Brad- (1)
104:18
BRADCO (2)
104:5,17
BRADLEY (4)
52:8,9,10;53:25
B-R-A-D-L-E-Y-G-I-L-B-E-R-T (1)

52:10
Brady (12)
101:15;103:25;104:3,
4,5,9,9,9,12,13;138:6;

162:21
bragging (2)
114:23;192:18
branch (1)
48:9
breach (3)
137:23;138:1;140:23
break (7)
14:21,23;49:20;51:24;

101:11;152:5;176:3
breaks (1)
14:24
breast (2)
47:11;166:20
breathe (2)
97:23;98:13
breathes (1)
192:6
brief (4)
7:17;13:15,18;56:7
briefly (3)
54:18,21;150:2
bring (10)
20:18;47:19;68:3;

10;160:4
brothers (1)
99:23
brother's (1)
63:6
brought (8)
114:9;133:8;134:2;
168:6;194:13,15;195:17,

132:17,17;161:12;
179:7;191:21
Buyer (27)
13:20;19:18;53:20,22;
54:22;55:7;78:11;82:2;

87:14;117:8;128:25;
130:5,8;136:7;144:13,
20;145:2;146:6;147:16;

148:4,7;151:10,24;
164:5;168:20;179:22,23

Buyers (12)
7:12,17;10:15,17;
11:8,13,15,18,21;26:17;

19
Bryson (5)

165:13,14
buying (1)
119:10;124:7;126:6,7,
96:16
7
buys (1)
B-R-Y-S-O-N (1)
162:3
126:8
bylaws (1)
Bryson's (1)
145:17
135:4
buck (2)
C
107:2;193:6
budget (1)
Cabriales (3)
53:4
126:5;130:13;142:9
budgets (1)
cafeteria (1)
91:2
172:9
build (1)
Cajon (2)
71:10
28:24;118:20
building (1)
calculate (1)
86:17
60:3
buildings (1)
CALIFORNIA (31)
10:19
7:1,8,11;10:5;15:20;
built (3)
22:16,17;31:19;32:4,7,
38:17;122:9;199:6
13,21;51:4,5;56:13;
bunch (3)
57:16;58:4;59:23;63:22;
100:12;104:10,12
64:3;81:4;99:14,18;
bunk (1)
100:11,11;108:21;
122:20
110:22;129:4;142:2;
burden (2)
147:17;153:2
83:20;173:13
California's (1)
burn (1)
57:7
59:9
call (18)
business (33)
13:20,21;14:2,11,17,
20:11;30:16;36:11,11;
40:24;44:24;45:2;56:8,
17;102:7;105:17,17,20,

24;38:17;78:14,25;79:1;
93:25;95:4,19;98:17,19;

152:6;184:1;192:17
25;106:15,25;108:2; called (9)
118:4;122:22,22,22;
14:1;41:9;67:6;95:18;
123:2,3,4;129:17;
153:2;156:24;157:4;
147:14;150:19;156:12;
158:1;199:11
161:15;167:16;177:8; calling (2)
179:5;192:2
15:2;52:3
businesses (3)
calls (1)
68:7;83:15;114:14
180:21
businessman (6)
Camden (1)
106:18;107:12,23;
131:23
87:16;102:14;106:20;
113:23;161:10;174:3 came (21)
132:18;133:2;140:6; business-related (1)
55:9,16;74:21;75:13;
189:13
129:20
84:12;95:20;98:10;
brinksmanship (1)
buy (11)
119:22;120:6;121:19;
186:16
56:1;61:16;74:5;
163:3,9,18;170:7;
brittle (1)
76:22;96:24;102:5;
171:11;181:11;185:2,2,
Barkley Court Reporters

(5) benefits - came

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


20,24;186:17
camera (2)
8:14;130:22
cameras (2)
8:11,21
Camilla (3)
99:17;100:8;101:4
campaign (2)
30:20;66:8
camps (1)
100:18
campus (1)
71:10
Can (78)
7:4,5,18;8:2,3;12:17;
14:4;22:22;23:3,11;
25:23;27:21;28:11;
33:10;34:12,13;35:10;

135:12
capita (1)
105:11
capital (5)
11:2,3,4;17:21;121:1
car (2)
47:19;127:24
card (1)
158:3
cardiac (2)
16:2;108:19
care (115)
10:2;11:19;16:2;
18:13,17,19;20:5;21:5;
26:25;27:3,22;28:13,14,
25;29:13,21,23,25;30:3,
16;33:8,10;35:19;37:19;

39:12,16,19;44:5,8,25;

42:1,12;43:9;47:1,2,10,

45:1,22,22;46:11,14;

13;50:23;53:16;57:21;
58:24;60:6;65:15;68:3;
72:5,14;75:23;76:9;
79:1,3,5;80:18;92:24;

47:9,15;50:13,17,17,25;

93:6;94:16;98:1;100:10,

25;106:16;109:21;
114:9,11;116:12,17;

51:6,17;57:20;58:7;
59:6,9,12;60:10;62:16;

63:8;67:13;68:5;77:1,
13;80:3,12;81:3,5,24;
82:6,17;91:17;94:22;

99:10,16;100:20;

128:10;129:3;130:6;

103:13;108:25;109:1;
116:5;118:24;129:21;

137:18;140:15;153:19;

132:14;134:14;136:13;

155:16;156:4;161:18;
163:12;173:1,15;
176:23;180:20;181:9;
183:23;185:9;187:7;
193:24;194:13;197:6;
200:5
cancel (4)
33:3;41:11;46:17;
150:5
canceled (4)
36:9;150:23;151:9;
177:4
canceling (2)
77:12;151:3
cancellation (3)
143:24;144:7;150:4
cancer (10)
59:10;93:18;94:1;
161:18;165:25;166:20;
168:7;188:21,22,24
cancers (2)
47:12,12
candidates (2)
25:6;27:12
candle (1)
67:5
Cantoni (1)
130:17
Cantori (2)
15:6;191:3
capability (1)
187:9
capacity (4)
22:14;37:10;127:20;

140:20;141:3;143:25;
156:12,13,18;157:19;

123:1,16,19;127:12,17;

Min-U-Script

158:8,12;161:20;162:3;
165:18;166:25;167:24,

25;168:5,9,12,16,21;
171:20,22,25;173:16,16,

17;177:15;184:17,23;

189:11;194:19,20;
196:17,22,22,23;197:5,

10,18
cared (1)
99:21
career (1)
166:12
careers (1)
83:12
careful (1)
19:22
caregivers (1)
63:2
cares (2)
121:2;192:8
caring (1)
141:2
Carl (7)
69:22;72:4;79:23,23,
25;80:1,2
Carol (11)
104:1;108:11,11,13,
14,17,17;109:21,23;
110:1,5
carrier (2)
171:13,15
carriers (3)

168:23,25;171:14
Centinella (2)
case (17)
58:2;150:22
15:4;24:23;41:3;
century (1)
60:11,14;62:3;66:23;
71:4
114:5;121:7;131:9; CEO (5)
135:14;154:4;163:16,
19:6;21:14;52:11;
17;178:9;179:11;187:20
83:8;196:5
cash (4)
certain (8)
10:22;76:9;183:11;
18:9,10;50:19;63:9;
187:3
71:16;172:23;179:24;
cash-flow (1)
196:15
20:12
certainly (12)
catastrophe (1)
50:23;51:20;55:20;
37:12
73:11;77:17;78:13,20;
catastrophic (1)
102:12;123:13;126:21;
117:13
132:20;137:20
CATHERINE (6)
certificate (9)
19:5,9,10,11;34:2;
21:25;22:4;135:24;
160:3
180:4,7,14,15,17;181:4
C-A-T-H-E-R-I-N-E (1) certificate's (1)
19:11
180:19
catheterization (1)
certification (2)
16:3
65:14,19
Cathy (11)
certified (1)
19:3,6;22:23;34:13;
65:13
70:4;71:19;72:18;78:4; chair (1)
131:20;160:1,2
88:6
cause (6)
chairman (3)
55:2,4;83:20;117:16;
56:9;107:9;133:7
180:8;185:1
chairperson (2)
caused (1)
48:5,7
96:22
challenge (3)
causes (2)
107:8;137:13,21
69:13;102:22
challenges (1)
causing (1)
102:12
128:6
challenging (2)
cautioned (1)
65:24;75:9
138:21
chamber (3)
CBA (1)
83:2,3,9
64:17
chance (6)
CBAs (1)
61:3,5;95:17;104:15;
64:16
165:14;198:8
CDPH (2)
chances (1)
32:21;190:4
120:8
ceased (1)
change (1)
24:10
170:24
Cedar-Sinai (1)
changed (1)
171:8
120:10
cell (2)
changes (4)
94:2;183:22
14:21;170:23;197:3;
census (3)
198:7
16:6;133:17;172:6
changing (1)
Center (22)
188:2
8:13,14;10:6,21;
chaplin (2)
16:13,19,22;18:18;
199:9,10
24:13,14;26:6;27:19; Chapter (1)
29:17,19;57:24,25;64:5;
20:13
71:9;111:12,13;118:22; characterization (1)
167:9
76:20
Centers (9)
characterizing (1)
21:24;59:9;140:14;
136:25
180:5,12;181:7;186:7, charge (2)
14;188:11
93:14;108:19

Barkley Court Reporters

charged (1)
92:18
charges (2)
56:16;66:21
charitable (6)
7:15;10:24;102:22;
126:11,11;192:14
charities (4)
24:9;83:11;103:15;
123:24
charity (15)
11:19;18:13;21:5;
23:15;26:25;27:3;29:25;

30:2;35:19;111:9;
132:14;184:23;192:18,

19;194:20
CHARLES (6)
179:16,17,18;183:25;
184:4,6
Charlie (1)
179:15
chart (5)
58:14,15;59:16,17;
60:6
charts (1)
57:8
Chaudhuri (4)
43:24;72:25;152:15,
15
cheaper (1)
68:3
check (1)
156:22
checked (5)
85:22,25,25;93:5,20
chemotherapy (4)
93:1,17;97:18;98:24
Chester (1)
132:8
Chet (1)
132:19
chief (10)
19:13;22:14;23:20,22;

35:15;38:11;39:9;
180:22,22;191:7
child (4)
96:21;119:17;131:8;
177:12
children (5)
52:16,21;119:21;
159:15;174:5
Chino (5)
23:19;64:5,9;65:4,21
Choice (19)
42:3,5;46:6,9;109:14;
126:8,9,14,17;135:16;
151:13;157:10;158:3,4;
166:4;175:12;184:8,25;

186:13
choices (2)
110:14;174:9
chose (1)
138:1
(6) camera - chose

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


chosen (3)
46:14;67:17;127:13
CHRISTENSEN (6)
119:11,12,13,23;
120:3;123:11

88:19;89:25;90:25;
135:23
clone (1)
84:25
close (72)
C-H-R-I-S-T-E-N-S-E-N (1)
18:1,24;22:3,15;
119:13
33:24,24;40:11;43:2,23;
Chung (1)
44:19;50:7;70:12,13;
177:24
72:20,22;73:1;74:9,15,
Church (2)
25;75:6,13,23;76:9;
199:6,9
78:9;79:14;81:11,19;
circle (2)
87:11,13;88:18;95:23;
58:19,19
101:25;105:16,19,19,20,
Circuit (2)
22,22;107:7,25;116:21;
66:1;67:2
118:17;119:3;127:3;
circumstance (2)
136:3;137:8,22,22;
79:2,13
144:4;151:19,21;152:1,
cited (1)
2;162:3,5;172:12;
109:10
178:20,25;180:11;
citizen (2)
181:16;185:9,11,12,17,
166:6;168:19
18,22,23;186:9,17;
citizens (9)
187:13,15,24
63:2;64:13;71:24;
closed (7)
87:5;99:20;107:21;
21:22;75:11;122:11;
118:14;126:18;144:1
125:8;144:6;172:14,16
City (12)
closeness (1)
23:20;70:1,6;71:23,
141:19
25;86:23,24;94:3,8; closer (2)
101:19;117:22;167:14
46:24;47:1
civic (1)
closes (6)
103:6
27:16;73:8;76:19;
claimed (1)
83:17,20;174:10
32:11
closing (18)
claims (4)
20:17;62:10;73:4;
31:6;32:5;58:17;178:8
74:3,23;75:8;76:5;
class (4)
94:22;95:2;97:23;98:13;
114:24;121:12,23;
117:12;128:17;162:17;
126:21
168:19;186:1,8,11
classes (1)
closure (8)
26:4
37:12;102:3;117:16;
clause (1)
118:1,7;125:4;144:8;
180:8
186:25
clear (6)
closures (3)
20:10;72:19;73:9,21;
170:6,6,6
75:3;168:11
clothes (1)
clearly (6)
94:24
52:18;53:9;55:6,16; cloud (7)
76:13;78:6
152:20,21,22,24;
Cleveland (2)
155:3;159:2,7
59:19;60:13
CMS (12)
CLIA (15)
21:24,24;22:2,3,13;
22:1,4,12;54:23;78:3,
54:25;55:1,2;137:21;
6;79:8;135:22,22;
181:13;190:1;194:23
137:13;180:3,7,13,19; Code (4)
186:25
7:16;10:8;143:5;
C-L-I-A (1)
147:17
22:1
coding (1)
client (1)
62:16
181:7
coffin (1)
clinic (5)
162:23
59:19,19;60:13,14;
cofounder (1)
157:1
156:14
clinical (4)
cognizant (1)
Min-U-Script

37:6
coincidently (1)
95:24
cold (2)
74:11;131:8
collapse (1)
141:4
collapsed (2)
157:22,25
colleague (2)
15:5;154:13
colleagues (7)

169:13;173:19;176:9;
178:2;179:16;187:18;
188:15;190:23;191:2;

106:11,12,14,15;107:7,

193:19;199:1;200:15,20

117:9,13,24;118:10,12,

Commerce (1)
83:9
commercial (6)
17:5;127:7;129:7,13,
25;184:15
commercially (1)
184:19
Commission (4)
40:3;49:10;51:1;70:2;
31:10,24;161:7;
139:8;141:20;152:18
190:12
collective (1)
commitment (13)
64:15
22:13;68:12;70:18,19;
collectively (1)
83:11,16;91:24;102:19;
72:13
139:14;168:22;196:24;
College (23)
197:5,25
25:21,22;26:1;83:13; commitments (5)
88:6,13,17;89:16,16,20;
24:25;26:13;192:12;
90:2,5,10,18,19;91:25;
197:4;198:18
114:20;115:3;116:20; committed (12)
119:15;121:12,21;
25:12;29:3,22;66:14;
166:12
68:9;70:20;91:24;
colleges (1)
106:14;152:12;167:21;
91:3
181:10;199:18
colon (1)
Committee (4)
47:12
48:9;175:9;178:7;
Colton (1)
179:12
118:22
committees (1)
combined (1)
48:7
112:8
committing (1)
coming (9)
29:22
36:24;43:24;52:24; common (1)
69:20;148:12;164:3;
77:14
171:6;184:20;200:19 communities (2)
comm- (1)
81:14;125:25
182:7
Community (271)
commend (1)
7:11;9:5;10:1,5,9,21,
193:19
23;11:6,9,19;12:12;
comment (7)
15:14,18,23;16:1,3,10,
8:6;13:7;14:6;136:11;
149:18;176:12;182:18

commented (1)
139:2
comments (70)
7:10;9:3,20;19:9;
22:25;33:16;34:3,14;

11,25;17:3,7,11,13,19;
18:2,20;19:7,8,14;20:3,
4,8,20;21:12,20;22:18;
23:10,21;24:2,7,8;25:1,

21;26:3,13,16;27:10;
28:5,20;29:23;31:1;

14,24;109:11;111:2,6,
22;112:9,12,19;113:7;

16;119:1;121:1,10;
123:22,23,23,24,25,25;
124:18,21,25;125:5,15,
21;130:23;131:12,16,16;

132:23,25;134:13,15;

137:11;138:8,23;
139:12;140:4,10,18,21,

24;141:3,9;142:3;
143:21,23;144:1;149:7;

151:22,25;152:13,23;
153:22;155:3;156:16,
19;157:16;158:16,22;
159:4,11,19,23;160:9;
161:9,25;162:18;164:5,
9;166:6,18,21;167:7,8,
12,13,23;168:7,10,17,17,

19;169:2;171:16;
172:18,18;173:2;
175:14;179:20;182:8;
183:2,7;184:10,18,18,
23;186:24;187:13,23;
188:13;191:4,11;192:6,
7,8,11,12,15,19;193:12,

14;194:3,8,9,18,19;
195:3,17,21;196:24;
197:13,14,16,19,22;
198:23
community's (3)
102:23;117:14;133:6
companies (8)
18:19;30:5,8,10,18;
33:7;92:21;104:6
company (7)
30:12;33:4,12;56:12;
163:10;178:13;179:23

compare (3)
59:6,7;189:20
compared (2)
40:22;112:6
comparison (2)
77:11;182:25
comparisons (1)
189:22
competition (11)
61:22;77:15,17;
143:23;149:13,21,25;

43:14;45:11;48:1;49:22;

32:17;34:8,9,11;37:4,6,
8,25;38:5,13,16,18,20,
20;39:1;40:21;44:20,22;

52:8;54:7,13;63:19;

45:17;48:14,24,24,25;

65:20;68:21;69:23;70:3;

49:5,6;51:16;53:1,11,23; competitive (3)


55:5,12,21;60:19,20,21;
51:19;62:8;154:19

35:12;37:1;38:9;39:23;

72:7;79:25;82:25;84:3;

88:3;90:14;92:8;97:4;

101:16;103:2;104:3;
108:3,13;110:19;
113:18;115:24;116:25;

119:11;124:10;126:6;
130:14;134:20;135:5;

142:12;150:6;152:8;
155:25;160:25;163:2;
164:17,19;165:18,21;

Barkley Court Reporters

154:14;182:17;183:12,

14

64:11;65:1;67:18,20; competitor (3)


61:23;62:4;193:17
complain (1)
17;74:21;78:1;81:1,8,
33:2
13;82:1,5,10,16,18;83:5, complained (1)
13,16,17,18;87:6,20;
194:7
88:10;90:18;91:3,6,15, complaint (2)
21;99:16;101:24;102:5,
190:21,22
8,10,21;103:7,16,22; complete (4)
68:5,14;69:16;70:19,21,
22;71:2,3;72:15;73:14,

(7) chosen - complete

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


7:21;136:10,12,18
completely (1)
70:6
completion (1)
71:8
compliance (1)
139:1
complicated (1)
57:20
complications (1)
29:11
complied (1)
7:23
complies (1)
191:11
compliment (1)
96:17
comply (1)
67:16
component (2)
115:3,21
comprise (1)
21:6
computer (1)
26:23
con (1)
161:24
concern (15)
40:16;41:2;44:23;

conduct (1)
13:16
conducted (2)
15:18;31:25
conducting (1)
48:10
confidence (4)
103:22,22;140:7;
189:17
confident (1)
67:15
conflict (1)
40:17
confusion (6)
24:3;146:12;147:5;
159:8;174:15;186:21
connection (2)
8:24;182:20
connotation (1)
127:9
cons (1)
161:23
consent (1)
11:23
consider (17)
12:5;19:24;37:11;
47:23;50:6,10;51:3;
56:2;71:16;75:18,19;
76:12;79:11;129:24;
47:16;48:18;49:6;69:14;
143:1;149:10,11
113:5;116:4;118:9;
considerably (1)
128:2,4;168:4,20;175:8
103:15
concerned (11)
consideration (4)
41:21;61:17;81:10;
73:22;77:19;142:6;
82:19;109:1;139:7;
144:6
174:7,8,12,21,24
considerations (2)
concerning (3)
136:20;178:10
13:8;60:17;144:18
considered (8)
concerns (5)
17:17;129:6;151:24;
40:25;48:17;134:2,22;
185:6,10;187:17;188:4,5
135:19
considering (1)
concessions (1)
188:1
136:19
consistency (1)
conclude (4)
197:9
143:12;151:18;155:1; consisting (1)
200:14
23:17
concluded (2)
consolidation (1)
151:12;200:22
138:19
conclusion (3)
constituents (3)
17:23;18:21;72:23
124:20;125:19;178:21
conclusions (2)
constraint (1)
13:6;189:16
13:23
condition (4)
construction (1)
130:7;132:13,13;
102:1
157:13
consultant (2)
conditions (18)
15:11;50:18
12:4;26:11;28:3;
consulting (1)
53:13;56:21;68:2;74:2,
167:16
3,7,23;76:6;109:20; consumer (1)
112:24;128:14,14,19;
131:3
129:2;139:16
contact (2)
condolences (2)
93:23;94:4
165:24;188:20
contacted (4)
Min-U-Script

14:8;41:5;93:21;
127:14
contained (1)
146:13
contends (1)
194:21
context (3)
66:20;133:2;134:4
continuance (1)
185:23
continuation (1)
18:11
continue (19)
11:16,18;18:3,7;
20:25;22:20;27:21;

controlled (4)
149:1;174:14,20;
189:21
controlling (1)
175:6
controls (2)
145:21;196:16
controversial (1)
56:8
Convalescent (1)
38:25
converting (1)
195:4
cook (1)
134:18
38:21;51:16;80:4;90:10; cool (2)
91:6,14;111:6;160:5,10;
48:23;198:22
169:1;178:22;179:5 co-op (1)
continued (4)
89:23
53:5;105:2;168:21,22 cooperative (3)
continues (1)
78:10,17;110:9
88:10
coordination (2)
continuing (4)
166:25;167:25
18:13;53:22;81:10; co-pay (1)
92:2
171:12
continuity (1)
copies (3)
197:10
12:16,19;15:21
contract (24)
copy (6)
18:19;19:15;21:3;
8:7;34:14;82:22;94:7;
27:20,23;30:5;32:3;
113:14;126:3
33:12;36:3;46:18,22; Core (2)
51:7;53:15;64:19;74:5,
28:17;190:2
20;76:3,24;78:6,21; Corp (1)
92:20;128:16,17;151:11
78:25
contracted (5)
Corporation (3)
42:11,12,20,24;157:2
7:12;11:25;147:20
contracting (4)
Corporations (2)
41:23;43:5;44:6;167:4
10:8;79:7
contracts (49)
corporation's (1)
18:14,18;27:24;30:4,
113:24
7,9,12;31:20;33:4,6; corrupt (4)
36:10;51:19;55:23;
99:18,19;101:2,3
56:12;77:2,13;96:6; cost (7)
115:5;126:24;127:5,18;
50:25;59:24;60:1;
128:3,6;129:1,2,4,7,8,13,
67:17;93:13;171:12;
19;130:6,8;137:6;
190:22
143:25;144:1,7;150:4,6, costing (2)
15,23;151:3,7,9;171:15;
128:11;171:12
174:25;175:13;176:21; costly (1)
177:3;183:14
20:9
contrast (1)
costs (1)
179:6
87:2
contribute (1)
COUNCIL (3)
193:4
101:16,17,19
contributes (1)
Councilman (3)
123:25
23:20,22;162:20
contributions (4)
counsel (5)
88:23;107:20;126:12;
72:10;73:13;75:17;
148:8
90:6;122:6
control (9)
counted (1)
11:23;37:22;43:6;
18:7
129:11;143:22;149:4,7; counter-data (1)
154:20;174:23
150:10
Barkley Court Reporters

counties (1)
52:13
country (2)
60:8;67:14
County (14)
27:25;28:21;117:3,20;
118:21;119:6;129:23;

130:25;131:2;142:2;
152:21;157:24;164:25;

165:2
County's (1)
28:23
couple (11)
42:1;54:4;75:17;84:9;
162:1,22;168:7;170:7;

176:3;185:25;189:5
course (6)
39:16;51:18;95:12;
97:17;100:14;196:25
court (24)
7:19,20,23;8:1,3,7;
14:22;23:4;32:18;35:10;

65:25;67:2,10,11;74:6;

76:4;105:13;109:25;
126:3;132:11;136:8;
137:4,7;154:4
covenants (1)
195:8
cover (2)
96:1;187:20
coverage (1)
158:5
covered (2)
21:8;94:17
create (5)
39:14;59:13;140:13,
14;149:13
created (2)
106:2;113:5
creates (1)
146:14
creating (1)
46:12
creation (1)
107:6
credible (1)
163:16
credit (5)
76:1;178:21;181:22,
23;182:4
creditors (7)
178:8,12,18,24;179:4,

9;188:9
Crest (5)
80:3;81:2,7,23;82:6
crime (1)
131:3
crisis (1)
20:12
criteria (1)
191:15
critical (7)
52:19,20;53:10,14;
(8) completely - critical

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


117:10;132:18;144:11
critically (1)
112:14
criticisms (1)
187:19
Cross (2)
51:4;92:21
cross-directorship (1)
148:24
cross-officership (1)
148:24
c-sections (1)
165:9
Cultural (1)
48:12
Cumar (1)
99:1
curable (1)
96:23
curious (1)
15:5
current (6)
11:8,11;26:20;27:11;
68:6;114:21
currently (18)
18:19;39:5;51:8;67:1,
11;71:7;81:14,14;

36:21
Danning (1)
178:5
dark (1)
152:22
darkening (1)
152:24
darn (1)
85:17
data (12)
15:17,17;39:11;54:15;
143:2;146:23;147:3,4,5;

150:12;194:22;196:20

date (7)
16:24;64:19;128:17;
139:20;180:16;186:1;

188:3
dated (1)
110:23
daughter (17)
55:14;92:17,21;93:9;
94:5;95:10,15,18;96:11;

97:25;98:1,21;119:20;

73:23;74:8;75:7,11;
76:10;77:6;78:2;106:25;

127:16;178:17;185:8;

193:8
deals (5)
40:12;186:12,12,13,13

dealt (1)
78:20
dean (1)
90:21
DeanCo (1)
188:6
dear (1)
160:1
dearly (1)
158:4
death (4)
96:22;99:25;100:18;
165:6
debate (2)
74:16;79:5
debtor (1)
151:10
December (5)

120:7,13,21;173:17
daughter's (9)
24:15,18;185:22,22,23
94:17,18;95:5,5,7,23; decide (3)
96:22;98:20;119:24
55:23;142:24;192:9
101:19;114:19;115:14; David (1)
decided (5)
119:13;127:16;130:4;
23:21
37:11;45:19;66:10;
144:22;166:3;169:18,18 Dawn (5)
74:11;80:11
customary (1)
113:17;116:25;117:1, decidedly (1)
56:16
1;119:8
68:15
customers (1)
D-A-W-N-S-I-K-E-S (1) deciding (3)
123:15
117:2
12:6;55:25;98:4
cut (6)
day (22)
decision (24)
69:10;91:3;152:17;
22:11;28:11;69:1;
13:11;49:1;55:11,15,
171:14,15;172:24
93:15;94:6;95:22,23,25;
17,17;65:7,21,25;66:13;
cuts (2)
97:15,19;106:6;108:6,7;
136:6;141:16,18;
64:20,23
120:4,11,21,22;172:5;
142:25;143:8;145:20,
cynical (1)
183:9;193:6;197:2;
21;164:8;181:12,13;
56:17
199:12
191:17,22;198:20;200:3
days (20)
decisions (3)
58:22;75:17;80:17,20,
38:7;107:19;158:8
D
23;85:17,23;86:3;92:19; declared (1)
93:11,13;94:19;95:10;
139:23
dad (8)
97:14;104:14;131:22; declining (1)
109:12,12;157:5,13,
138:22;159:25;160:6;
187:2
15,19;166:8,15
186:2
decreased (2)
daily (3)
day-to-day (2)
28:8,9
16:6;89:12;105:9
194:24;196:7
dedicated (3)
Dalton (15)
DC (2)
82:9;167:6;199:18
13:4;15:10;71:14;
65:25;66:16
dedication (1)
130:17;131:23;133:15;
de (2)
107:14
134:19,23;135:17;
127:4,6
deep (2)
136:1;138:9,25;154:16;
dead (1)
48:18;49:6
189:4;191:4
99:12
deeply (1)
Dalton's (2)
deadline (8)
25:11
13:18;135:7
21:23;22:4,12,13;
defend (1)
damaging (1)
55:1,2;74:9;79:17
63:14
56:9
deadlines (2)
defending (1)
dance (1)
137:14,16
194:12
136:10
deal (15)
deficiencies (1)
Daniel (5)
22:2;39:5;40:11;
190:16
34:22;35:12,13,13;
Min-U-Script

deficiency (1)
86:15
deficit (1)
35:18
definitely (2)
43:3;173:25
degeneration (1)
168:14
degree (4)
76:16;115:7;166:13;
189:11
deja (1)
133:13
delay (4)
20:17;74:12;75:4;
186:23
deliver (1)
114:25
delivered (2)
39:12,19
delivers (1)
16:7
delivery (8)
27:7;39:16;48:19;
49:7;81:22;142:21;
143:19;167:3
demands (1)
38:22
dementia (1)
81:6
DEMIDOVICH (5)
63:19,20,21;65:17,19
D-E-M-I-D-O-V-I-C-H (1)

63:21
Democrats (1)
63:4
denial (1)
191:17
deny (4)
55:3;79:21;96:24;
100:4
department (19)

140:18
depriving (1)
68:4
Deputy (7)
7:7;15:6;130:25;
132:7;136:16;137:9;
139:21
derived (1)
187:24
describes (1)
12:25
describing (1)
72:12
Desert (141)
16:11,13,19;20:5,23;
21:16;22:21;23:19;24:4;

25:11,12,13,18,23;
29:14;30:7;31:1,12;
35:24;36:3;37:10;38:11,
23,24;39:4,7,9;40:19,24;

41:2,6;42:7,23;44:18;

45:23,23;46:13,16;
48:12,14,19;50:5;51:8;

52:14,19;58:3;61:24;
71:6,6,13;80:17;81:14,
19;83:4,10,22,22;84:6,
22,23,24;85:4,8,22;86:8,
14,16;87:4,16;88:12,15,
19;89:11,14;90:3;93:25;

94:1,4,19;95:11;97:7;

101:20,21,23;102:2;
104:17,23;105:4,11;
106:1,5,7;107:11;
108:24;109:16,19;
110:14;111:9,16;117:18,

19;118:9;125:11;
126:18;140:11,12;
156:11,14,15;157:1,10,
19;159:2,8,11;160:7,11;
161:5;164:23,24;165:7;

166:5,7,15,24;167:6,7;

10:3;21:1;22:16;27:4;

168:7;175:7,8,12;183:1;
187:11;194:1,5;197:19;

28:7,9;32:14,21;48:5,13;

199:4,9,13,17,20

53:3;57:7;78:15;79:6; deserve (1)

81:4;83:14;157:24;
170:20;181:5
departments (5)
28:10,14;50:20,21,21
depend (2)
192:20;197:10
depends (1)
68:6
deposit (1)
105:21
DEPOSITION (11)
23:11;46:7;92:11;

132:24
deserves (1)
48:25
deserving (1)
25:23
designed (1)
142:18
desk (1)
12:17
despite (1)
109:6
details (1)
108:16;131:6;155:14;
73:19
169:12;173:23;175:18, determine (2)
21;199:7
39:15;79:5
deposits (2)
detrimental (1)
105:18,23
101:25
depressed (1)
devastating (6)

Barkley Court Reporters

(9) critically - devastating

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


39:6;81:22;87:18;
162:8,19;164:11
developed (4)
76:16;82:14;153:4,13
Developing (1)
28:19
Development (5)
12:15;13:5;89:1;
142:18;156:12
deviate (1)
119:18
deviations (2)
60:10,12
devoted (1)
38:4
Dew (5)
101:15;103:1,2,3,4
D-E-W (1)
103:5
diabetes (1)
120:6
diabetic (1)
120:7
diagnosed (2)
93:9;97:14
diagnoses (4)
31:3;163:7,8;190:5
diagnosis (3)
37:16,18,20
Diamond (1)
178:5
Diana (8)
152:5;164:15,15;

30:22
distress (1)
125:3
40:23;42:16,17;109:6; distressed (3)
135:21;143:17;149:1;
18:5;102:11;198:14
171:5
distributed (1)
director (8)
24:9
38:24;80:2;88:7;
distribution (2)
90:20;117:2;145:11,12;
178:24;179:10
156:11
district (8)
directors (7)
110:21;113:12;117:2,
23:17,25;25:7;108:21;
5;130:25;166:10;
111:15;131:13;182:7
176:20,20
disagree (1)
districts (1)
78:4
177:2
disapprove (1)
diversity (3)
12:3
174:12,25;175:11
disaster (1)
divert (1)
136:15
67:12
discharged (1)
division (1)
140:4
131:2
discipline (1)
doctor (21)
66:5
31:3;34:22;36:25;
disclosed (3)
39:25;41:8;44:18;49:16,
145:17;148:18,22
23;95:4,19;97:10,16,20;
disclosure (2)
99:4;100:20;107:22;
152:14;182:19
119:22;120:4;138:6;
discontinued (1)
157:9;179:2
91:18
doctors (26)
discredit (1)
13:22;31:4;35:4;
163:22
37:16;42:15;49:19;
discretion (1)
50:11;53:23;77:8,22;
145:23
78:2;96:4,22;99:10;
165:21,22,22;169:5,11 discuss (1)
100:12,12,19;101:2,5,6;
D-I-A-N-A-P-A-S-I-L-L-A-S (1)
9:24
122:12;159:6;177:14;
165:23
discussed (4)
183:17;189:15;198:21
dictated (1)
139:15;144:3;152:25; doctor's (1)
126:22
162:5
47:20
die (3)
discussion (2)
doctors' (1)
61:4,7;95:18
37:21;146:6
190:5
died (2)
discussions (2)
document (1)
85:17;177:12
78:8;139:25
141:10
diems (1)
disease (3)
documented (1)
197:11
80:13;81:6;168:14
52:18
difference (1)
disproportionate (1) documenting (1)
188:7
35:20
62:15
different (9)
dispute (2)
documents (4)
14:14,15;15:18;29:15;
74:14,17
15:17;19:25;73:13;
30:8;121:4;172:13;
disrupted (1)
95:21
175:11;184:19
49:7
dogs (1)
difficult (4)
disruption (1)
153:9
8:10;137:24;139:4;
50:13
dollar (1)
141:16
disservice (1)
92:17
difficulty (1)
113:8
dollars (21)
17:8
distances (1)
20:21;30:14;33:8;
digging (2)
168:16
57:21;60:16;67:23,24;
163:11;189:18
distinction (1)
75:6;84:22;87:2,12;
diligence (2)
145:9
91:16;92:18;94:13;
33:18;154:24
distinguish (1)
96:18;128:7,12;129:22;
dimed (1)
147:24
161:13,14;190:23
137:3
distorted (1)
dominate (1)
diminishing (1)
31:15
55:22
187:1
distortions (1)
donated (4)
Min-U-Script

direct (2)
61:21,22
directly (8)

24:15,17;88:24;
144:23
donates (1)
123:24
Donations (4)
25:20;102:22;106:9;
159:7
done (40)
13:25;41:16,16;56:16;

70:22;73:23;75:10;
76:10;79:4;87:12,19;

97:21;105:1;106:3,4,4,9,

21,25;107:1,4,15;
111:10,17;115:9,10;
116:10;120:24;121:7,16,

19,25;122:8;133:25;
134:13;140:20;141:20;

145:12,20,23;148:14;
152:13,14,15;153:13;

154:3,18,20;155:9;
160:16;161:11,16;
166:23;176:22;178:13,

106:7,10;108:2;122:18;
129:21;135:18;139:19;

21;179:2,23;183:20;
184:7,11,12;187:5;
192:5,14,24;193:2,7;

140:24;141:12;146:3;

194:17;195:19;196:24

92:14;93:11,12;95:13;

150:1;151:5;159:22; draining (1)


164:7;171:10,24;
59:22
172:20;175:19;189:8; draw (3)
192:15,16,25;198:9,10;
115:4;189:16,19
200:1
drew (1)
doors (1)
59:16
20:19
drive (3)
dot-php (1)
168:15,15;186:16
12:22
driving (1)
doubt (3)
47:20
39:14;76:10;138:9
drop (1)
down (36)
187:21
8:10;16:17;28:24;
dropping (1)
45:20;46:25;47:17,20;
185:14
58:20;68:13;70:5;71:19, drove (1)
21;73:25;78:9,19;84:13;
152:16
87:16;98:2,17;99:7; due (11)
100:7,20;108:16;109:22,
27:3;28:14;33:18;
25;118:20;127:22,24,25;
81:10;88:22;109:15;
129:15,21,22;130:16;
154:17,24;181:25;
147:10;177:9;186:16
182:3;185:21
downtime (1)
during (6)
87:2
66:7;82:12;104:24;
downtrodden (1)
146:25;154:5;181:1
122:19
duties (1)
downturns (1)
67:16
64:24
duty (7)
downward (1)
37:18;76:13;137:23;
185:15
138:1;140:5;142:1,3
dozen (1)
dying (1)
109:18
99:5
dozens (2)
110:6;183:18
E
Dr (141)
23:17,18;25:10,14,15, earlier (8)
16;34:23,24;37:2;38:2;
50:18;55:9;69:10;

Barkley Court Reporters

39:21,23,24,24;42:2,6,9;
114:21;136:20;168:6;
43:13,15,15,19,24;44:5,
180:9;181:2
24;45:8,11,12,12,15,24; earliest (1)

74:24
17,22,23;50:1,1,6,6; earned (2)
52:4,4,5,8,9,10;53:25;
96:17;155:10
54:2;55:14;70:19,20; easy (2)
72:25;73:5,5,5;82:12;
22:9;86:11
83:4;84:2,2,15,23;86:20; echo (1)
87:9,15,19,24,24;88:3,4,
77:23
4,21,25;89:9;90:13,14, economic (8)
15,23;91:9;92:1;95:16;
33:1;101:22;117:14,
46:8;47:3;48:1;49:14,

(10) developed - economic

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


17;118:7;138:9;139:10;

140:17
economically (1)
140:18
economics (1)
162:8
economies (1)
140:8
economist (1)
162:9
economy (6)
102:1,3;106:5,8;
139:3;179:6
ed (2)
89:23;132:9
education (7)
25:24;26:4,9;28:19;
83:3;102:20;115:17
effect (5)
15:12;81:22;149:11;
162:12;181:17
effective (2)
90:6;128:16
effectiveness (1)
85:8
effects (3)
12:25;142:20;143:4
efficiencies (2)
27:3;28:6
Efficiency (1)
85:8
efficiently (1)
28:10
effort (6)
30:24;65:9;75:7;
197:7;199:24;200:7
efforts (3)
29:5;104:21;116:7
egregious (2)
66:3,17
eight (3)
70:10;176:7;185:8
Eighty-seven (1)
77:4
either (7)
11:25;31:1;36:6;
148:14;149:14;161:3;
183:14
elected (1)
142:3
election (3)
65:5,12;66:2
elective (2)
46:21;50:23
element (1)
126:19
Elementary (1)
176:19
elements (2)
77:18;154:21
eliminates (1)
127:3
elimination (1)
Min-U-Script

127:6
E-L-L-E-Y (1)
19:12
else (11)
29:2;34:25;35:5;45:9;
60:12;101:8,8;116:14;
153:8;175:24;200:11

7,8
employee's (1)
173:3
employees' (1)
67:17
employer (3)
127:11,12;158:5
employers (1)
117:25
employing (1)
123:1
employment (6)
11:10;26:19;103:14;
162:2,2;167:11
employs (1)
123:23
enable (1)
143:12
Encino (11)
24:13,14;111:11;

else's (1)
97:25
elsewhere (3)
41:16;147:22;150:20
e-mail (3)
14:11;54:19;200:16
e-mailed (1)
176:16
embarked (1)
30:21
embarrassing (1)
31:18
emerge (1)
85:18
146:19,24;147:1;169:19,
emergence (2)
24;170:8;171:9,10
138:3,4
Encino's (1)
emergency (35)
147:9
10:3;11:17;16:4;17:1; encounter (1)
21:1;27:4,6;28:6,9,10,
150:12
14;33:10;38:18;39:4; encourage (1)
41:5;46:18;50:24;53:3;
9:20
56:10,14,15,18,19; encouraged (1)
58:12;59:24;62:12;
32:22
111:23;129:10;150:13, end (15)
14,20;154:6,11;171:21,
35:25;36:13;67:14;
23
74:23;75:1,18;106:5;
emergent (1)
108:5,7;146:22;149:20;
39:2
183:8,10;186:1;193:6
emeritus (1)
ended (4)
115:13
114:6;162:17;185:15,
emotional (3)
16
43:1;119:18;120:20 endorse (2)
emotions (1)
131:21;152:1
156:22
endorsed (1)
emphasis (1)
136:6
44:20
endorsement (1)
emphasize (1)
108:5
191:15
endorsing (1)
Empire (6)
104:21
17:4;21:3;52:11;
ends (1)
53:16;64:25;88:12
36:17
employed (3)
enemies (2)
90:19;121:25;123:12
96:17;155:10
employee (6)
enemy (1)
19:17;30:25;169:19,
141:21
22;172:22,24
energy (2)
employees (38)
38:4;107:13
11:11,13;13:22;16:9; enforceable (1)
22:19;26:20;35:4;51:9;
181:6
54:16;58:8;68:6,9;
engaged (1)
82:10;102:6;114:2;
66:3
115:6;118:1;122:19; English (1)
123:16,18,19;141:9;
9:17
170:23,24;171:1;172:5, enhance (2)
9,19,21;173:1;193:1,4;
83:7;139:14
196:2;197:24,24;198:1, enhancement (1)

140:16
enjoy (1)
160:1
enormous (1)
75:7
enough (9)
20:11;71:12;90:22;
104:12,14;133:24;

76:8;87:10
escrows (1)
87:13
especially (6)
17:1;21:12;49:11;
132:21;165:25;171:8
essential (2)
27:5;103:9
140:23;157:15;182:16 essentially (3)
enrolled (1)
42:11;73:23;150:19
89:20
establish (1)
enrollment (1)
16:22
89:18
established (1)
ensure (3)
88:22
7:21;24:25;82:5
Estate (6)
ensured (1)
72:12;104:18;105:17;
41:24
122:21;178:12,18
ensuring (1)
estimate (1)
125:18
162:13
enter (1)
estimates (1)
21:3
59:23
entered (3)
estimation (1)
65:8;111:4;183:15
199:18
entering (2)
et (1)
115:22;150:14
10:8
Enterprise (1)
Eugene (1)
61:13
23:20
enters (1)
evaluate (3)
56:19
143:3;149:24;175:10
entire (5)
evaluated (5)
43:7;52:25;71:5;80:8;
144:10;147:6,16;
87:21
148:19;149:3
entirely (2)
evaluation (4)
43:3;55:18
135:17;144:12;
entities (1)
148:19;149:15
148:17
even (17)
entity (10)
36:4;40:8;42:2;47:6,
11:25;12:1;24:20;
19;57:10;58:6,10;62:20;
25:15;138:20;144:24,
68:12;118:8;138:17;
24;146:8;174:15;195:1

environment (3)
37:23;62:8;110:9
environmental (1)
131:3
equipment (12)
10:19;11:2,5;20:9,19;
21:15;26:23;88:25;89:8,

8,10;133:19
ER (5)
31:7;41:8;109:15;
165:8;172:1
E-R-G (1)
54:15
ERIC (14)
39:23,24,24;40:1;

150:18;175:4;177:7,15;

194:20
evening (19)
103:3;104:4;108:14;
117:1;124:11;130:16,

17;142:13,14;143:9;
144:3;156:1,2;159:20;
161:1;164:12;165:22;

173:20;188:16
events (1)
124:17
everybody (15)
7:4,6,6;13:16;74:5;
85:19;96:13;97:8;108:9;

116:14;152:1;157:17;
194:21;196:14;200:19

42:2,6,9;43:13;49:11; everyone (10)

73:5;142:11;152:4;
183:20;184:7
E-R-I-C (1)
40:2
ERs (1)
83:21
escrow (2)

Barkley Court Reporters

7:22;9:20;40:5,14;
47:1;54:6,9;70:19;
92:14;198:11
evidence (10)
31:13;32:1;50:10;
66:12;75:5;79:6;98:8;

99:14,20;154:2

(11) economically - evidence

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


evidenced (2)
105:5,9
exact (2)
123:9;182:18
exactly (2)
86:11;174:14
examination (1)
182:22
examine (1)
15:12
example (11)
30:6;56:22;57:12;
61:2,20;91:13,20;
146:14;148:6;193:9;
197:8
excellence (1)
140:15
excellent (6)
38:2;88:9;90:2;
157:19;170:20;189:8
except (4)
58:19;95:22;149:17,
18
exception (2)
135:4;136:25
exceptional (1)
135:18
excess (2)
60:18;70:17
Excluded (1)
10:22
exclusively (3)
7:15;134:11,12
excuse (6)
34:3;69:1;81:25;
82:11;98:19;100:5
execution (2)
73:16;76:10
executive (7)
19:13;22:14;48:8;

expansive (1)
16:20
expect (9)
26:11,23;27:2;60:18;
66:12;82:7;123:16;
195:8;196:12
expectant (1)
119:1
expecting (1)
165:5
expense (2)
62:16;64:25
expensive (1)
67:12
experience (9)
64:8;65:2;69:17;
88:20;89:25;102:13;
116:9;158:13;171:2
experienced (4)
64:22;68:2;141:13;
169:22
expert (4)
138:10,20,21,21
expiration (1)
64:18
expired (1)
64:17
expires (1)
19:15
explain (4)
65:2;99:17;133:12;
143:21
explanation (1)
182:22
explored (1)
49:8
exploring (1)
49:1
express (2)
48:16;117:6
72:9;80:2;180:22;191:7 expressed (2)
executives (1)
49:10;50:12
196:9
extend (7)
ex-employees (1)
22:3,13;55:2;61:19;
123:14
180:6;181:3,15
exercise (3)
extended (6)
26:8;48:23;153:21
102:21;128:3;130:6;
Exhibit (2)
180:17;185:24;186:1
65:20,23
extending (1)
exist (3)
54:25
24:11;134:20;138:5 extensive (2)
existence (1)
33:18;140:22
186:24
extent (1)
existing (1)
195:18
168:22
extra (4)
exited (1)
59:23;60:3;163:15;
191:21
172:1
expand (4)
extract (1)
62:22;83:7;123:2,2
56:17
expanding (1)
extraordinarily (1)
71:7
56:21
expansion (2)
extraordinary (2)
16:20;71:8
56:21;66:18
Min-U-Script

extrapolate (1)
163:17
extremely (3)
20:24;58:7;107:5
eye (1)
163:25

30:6,13;76:17,19;
129:6;198:13
fairly (2)
24:22;153:14
fait (1)
153:20
false (5)
F
30:22;31:8;32:17;
39:14;75:14
falsely (1)
F7 (1)
62:15
143:5
familiar (1)
face (4)
136:17
97:24;107:9;145:23;
families (4)
173:3
52:15,21;102:6;196:9
faced (2)
family (23)
109:12;116:15
24:4;25:10,14,16;
facilitates (1)
37:5;39:25;43:17;63:9,
196:6
11;99:22;106:3;107:4;
facilities (13)
120:22;121:8;127:24;
16:16;64:4;103:11;
114:4;118:11;121:18;

134:14;141:21;161:21;
164:23;165:24;166:14,

124:24;125:12;171:8,9;

16;174:22
173:14;190:13;193:8
famous (2)
facility (28)
121:22,22
9:5;10:11;38:25;39:3,
6;69:3;71:2,23;81:3,3; fantastic (2)
61:6;114:22
106:21;107:1;109:20;
117:10;119:3;125:23; far (14)
13:10;40:3;42:18;
139:14,19;148:9;
169:19;172:17;173:9;

47:20;55:16,16;58:24;

183:19;191:21;192:21;

59:17,17,19;177:5;
181:20;182:6;198:4
fast (2)
8:1;131:5
faster (1)
54:5
father (5)
109:4;156:23;157:8,
10;168:5
fault (2)
55:4;137:1
favor (6)
22:22;30:17;80:25;
103:7;139:8;161:17
favorable (2)
11:12;66:13
favorite (1)
105:9
featured (1)
89:11
February (5)
94:5;131:19;133:13;
165:6;185:24
federal (7)
18:4;21:23;24:10;
50:24;77:11;81:16;
180:12
feel (6)
19:14;62:21;102:7;
120:1;121:4;142:4
feeling (2)
116:18;122:16
feet (1)

193:3;194:14;196:5
facing (1)
56:14
facsimile (1)
200:17
fact (31)
20:6;31:18;32:2;
45:24;51:2;53:6;60:22;

89:4;127:2;129:25;
132:24;134:24;137:9;
143:6;144:15,19;146:9;
147:5,6,8;148:12;149:4,

7;151:8,14,16,25;
152:16;161:10;183:11;

184:24
facto (2)
127:4,6
factor (1)
98:4
factors (3)
133:16;134:3;198:19
failed (11)
32:6;81:25;122:11;
143:11,15,17,23;178:20,

25;180:11;181:2
failing (1)
82:15
fails (1)
143:21
failure (2)
191:24;193:4
fair (6)

Barkley Court Reporters

74:11
Feldman (6)
130:12,14,15;131:8;
132:5,10
fell (1)
75:13
fellow (2)
126:18;172:4
felt (2)
101:1;189:5
Fermin (3)
126:5;130:24;193:16
Fernando (2)
23:22;172:21
fever (1)
57:10
few (12)
7:22;17:17;29:4;
45:25;76:22;80:25;
82:12;96:12;119:25;
169:20;189:6;190:3
fide (1)
78:11
fidelity (1)
89:10
fiduciary (3)
76:13;137:23;138:1
field (5)
80:8,12;122:21;
124:13;138:10
fight (3)
67:21,25;153:10
fighting (1)
75:11
figure (1)
163:4
file (2)
194:24;195:8
filed (6)
10:9;17:22;65:11;
66:21;67:9;73:12
files (2)
77:24;154:8
filing (3)
81:9;149:19,21
fill (2)
175:25;200:12
fills (1)
39:2
finally (6)
78:3;95:9;97:14;
140:19;185:4;186:9
financed (3)
73:15,22;75:22
finances (1)
106:16
financial (21)
20:14;25:25;33:5;
81:10;83:13;90:1;97:7;
99:3,5;106:19;107:13;
125:3;147:3,4,5;148:24;
180:22;188:23;191:23;

197:4,11

(12) evidenced - financial

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


financially (4)
17:20;105:2;139:13;
194:15
financials (5)
135:8;140:1;146:15,
18;147:14
find (16)
47:19;55:7;78:17;
82:2;93:21;95:24;97:15,

19;117:8;135:5;136:7;
145:18;147:9;177:9;
184:2;190:16
finding (2)
65:21;66:13
fine (6)
8:19;14:20;63:7;92:7;
175:21;184:5
finish (2)
134:17;176:7
finished (1)
45:19
Fire (1)
157:24
fired (1)
110:10
fireman (1)
157:23
First (34)
7:24;12:3;14:3,6;15:4;
19:4;26:24;35:6;40:1;
43:15;50:2;52:2;54:23;
65:11;73:4;84:5,10;
88:15;92:11,13;94:18;
117:5;135:21;136:22;
143:16;144:25;156:5,6,

17,20;161:11;165:5;
178:6;188:20
first-class (1)
34:9
firsthand (3)
79:6;83:10;102:19
fits (1)
61:24
five (17)
9:21;27:21;29:15;
54:7,9;57:1;59:1;62:1;
128:18;133:20;153:4;
176:6;180:14;183:18;
187:9;194:12;199:22
five-minute (1)
51:24
floor (8)
98:1;170:10,11,13,18,
19,21;171:22
flow (2)
133:18;148:15
focused (1)
17:16
folks (7)
13:25;14:5;60:14;

followed (1)
166:21
following (5)
26:13;103:9;124:17;
149:18;150:15
follow-up (1)
41:7
food (3)
80:19;85:12;105:10
foot (1)
85:24
force (3)
45:18;102:3;166:9
forced (4)
17:11;28:13;67:16;
136:3
forecasted (1)
138:13
foremost (1)
21:21
forever (1)
181:15
forfeiture (1)
131:9
forget (1)
185:5
forgive (1)
114:23
forgot (1)
176:4
forgotten (1)
119:25
form (3)
11:21;27:8;100:10
formed (4)

91:17,20
fostered (1)
88:18
found (7)
31:13,25;43:9;86:1;
93:3;94:21;95:10
Foundation (89)
7:13;8:20;15:13;

112:25;117:7;124:15;
130:18;132:8;136:16;

37:9;46:20;93:7;98:7;
112:16;135:11;152:14;

170:12,13;178:18;
180:14
full-time (2)
172:24;197:12
19:18;23:7,8,9,14,15; fully (7)
24:6,7,8,12,15,17,19,21,
73:15,22;75:22;
24;25:1,7,15,17;26:12,
111:19;188:5;190:11,12
15,19,21,25;27:5,8,14, functioning (2)

18,20,24;28:3;29:25;
48:7;125:24
30:11;33:3,21;34:5,6; functions (1)

38:13;55:10;61:15;

180:24

62:24;67:21;68:8;81:2; fundamentally (2)

61:14;63:12
funding (2)
112:20,21;113:4;
148:12,15
115:12;119:15;143:19, funds (8)
24;144:20;145:1,4,6,11,
10:24;18:4,6;20:18;
82:3,14;83:5;104:22;

107:6,10;111:3,5,8,18;

14,16,18;146:11,12,16,
88:24;148:13;187:1,23
17;147:1,4,16;148:2,13, funneled (1)

25;149:1;156:15;

176:24

158:11;159:4;183:16; funny (1)

187:6;197:2
Foundations (1)
192:16
founded (1)
111:9
founder (1)
195:18
four (9)
60:10,11;86:23;

84:17
further (6)
36:20;55:2;64:24;
130:16;166:9;182:22
furthering (1)
152:24
future (8)
18:8;71:9;90:10;92:3;

116:8;138:14;148:8;
180:16

133:19;146:24;147:3;

184:10,13;194:11
four-front (1)
65:8
fourth (1)
67:3
frame (2)
76:18;141:11
30:1;33:21;61:24;62:1, fraud (3)
5,7,8;144:23;148:5;
31:8;109:9;131:3
187:11;194:21;195:1 fraudulent (1)
for-profits (1)
31:8
61:22
free (2)
forth (2)
35:19;151:10
71:16;77:23
freeway (1)
forthcoming (1)
16:23
150:1
friend (4)
fortunate (2)
38:3;105:6;160:1;
85:18;160:10
166:2
fortunately (2)
friendly (1)
44:20;80:16
110:9
forum (2)
friends (7)
74:17;156:14
50:7;96:16;100:13,14;
forward (12)
108:1;155:9;174:22
14:13;27:11;34:8;
front (2)
53:21,21;91:1,11,18;
67:3;134:16
114:3,20;115:25;152:6
92:2;106:9;151:17; frustration (1)
follow (2)
160:23
178:19
94:24;128:25
foster (2)
fulfilled (1)
Min-U-Script

25:2
full (11)

23:15;24:19,22;25:16

former (1)
58:8
formerly (1)
167:12
for-profit (15)
11:25;26:18;29:7;

G
gain (7)
55:20;80:22;97:7;
99:4,6;121:1;188:23
garden (11)
26:8;64:5,8,14;65:1,2;

137:10;139:22;142:19,
24;143:1,6,11;144:17,
21,22;146:7;149:10,24;
154:23;163:25;189:14

generally (2)
57:19;114:24
General's (15)
9:25;10:10;22:7;44:1;

71:18;77:24;107:21;
132:12,19;134:1;136:8;

144:12;146:2;149:9;
187:7
generated (1)
118:4
Generation (1)
173:12
generous (1)
103:15
gentleman (3)
80:6;87:11;163:9
genuinely (1)
153:21
George (1)
102:2
gets (5)
60:11;63:11;154:20;
165:4;191:9
Gilbert (7)
52:4,4,8,9,10;53:25;
54:2
Gill (2)
160:18;178:5
Gish (1)
138:11
G-I-S-H (1)
138:12
given (13)
33:15,23;64:24;70:12;
85:16;90:23;91:5,12;
115:10;148:23;171:23;

198:1,3

68:24;150:9,10;199:6,9 gives (6)

gasoline (1)
47:21
gave (7)
13:13;96:13,14,15;
97:9,9;159:6
gazuntite (1)
92:3
General (71)

Barkley Court Reporters

7:8;9:2;10:2;11:22,24;
12:2,4,16;13:11;15:6,20;

18:25;19:20,22;22:18;
26:11;28:2;32:13,16;
41:22;44:14;49:3;55:3;

56:2;58:16;59:5,11;

96:18;109:13;133:2;
134:4,14;145:25
giving (3)
80:25;188:17;200:20
glad (1)
7:6
goal (3)
20:2;50:16;123:7
God (3)
166:2;196:14;200:10
God's (2)
199:6,8
goes (11)
13:10,17;98:21;102:2;

127:16;177:5;182:9;
183:1;188:11;197:7;
198:4
73:12;74:2,7,10;76:4,8,
14;78:14;79:5,21;80:10; gold (4)
56:10;154:7,9;165:17
107:18;110:24,25;
60:9;64:9;67:19;68:16;

70:8;71:16;72:1,10;

(13) financially - gold

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


gonna (3)
Great (31)
49:21;84:1;111:24
22:23;39:20;43:11;
Gonzales (1)
45:9;49:18,19;53:24;
198:25
70:1;72:3;82:8;90:12;
GONZALEZ (5)
101:10;113:7,13;
199:1,2,3,8;200:10
120:23;121:17;122:24;
G-O-N-Z-A-L-E-Z (1)
124:1,19;136:21;
199:3
155:22;156:9;160:16,
good (50)
22;167:5;169:10;175:8;
11:9;15:10;19:10;
177:16,22;189:3;199:12
23:1;38:3;45:20;46:5,8, greater (4)
20;48:2,19,20;53:7;
27:1;118:8;138:17;
63:20;68:22;69:24;
142:1
80:19;85:13;86:4;97:10; greatest (1)
101:17;103:3;104:4;
137:23
105:6,15;108:14,15; green (1)
110:3,20;117:1;124:11;
58:23
130:16;140:17;142:4, GREG (5)
13;147:13,15;151:11;
173:19,20,22,22;174:1
156:1,2;161:1;164:12; Gregory (1)
165:17,22;166:1;168:12,
169:9
18;173:20;180:8;188:16 grew (3)
good-paying (1)
23:19;134:15;138:17
125:11
grind (1)
goodwill (1)
141:25
144:15
ground (1)
governance (1)
38:17
61:15
group (24)
governed (2)
42:3,4,7,24;44:12;
23:16;111:14
45:23,25;46:2;50:7;
governing (8)
104:19;105:14,15;
10:12;11:21;27:8,13;
122:11;126:9,10,14,17;

guilty (1)
93:3
gurney (2)
114:7;157:9
GURPAL (4)
43:14,15,15;184:11
G-U-R-P-A-L (1)
43:16

harping (1)
80:14
Harris (4)
99:17;100:8;101:4;
110:25
hat (1)
84:17
hate (1)
200:2
head (4)
19:15;95:2;121:12,23

hear (17)
35:6;40:8;46:17;47:1,
2;78:23;96:9;134:11;
151:11;153:22;155:14;
172:9;173:11;176:2,8;

180:12;186:19
heard (37)
30:20;34:3;36:7,9;
52:5;73:5;75:17;77:14,

22;114:20;115:24;
122:2;126:19,20;127:17,
19;128:5;129:16;132:1;

headed (1)
half (5)
195:12
134:10,21,21;136:3;
21:13;22:11;71:4;
healing (1)
138:6;140:21;145:15;
83:9;157:22
170:19
153:8;165:6;172:6,11;
hall (8)
178:16;182:9;185:5;
98:2;100:21;160:19, Health (52)
10:6,21;17:5;21:3;
186:3;189:5;192:1;
20;164:17,18,22,22
22:16;26:9;27:19;29:6;
193:25
H-A-L-L (2)
32:14;40:25;52:11,12; HEARING (122)
160:21;164:22
53:16;57:7;58:15,18;
7:4;8:18;9:12,15;19:3,
hammered (1)
59:1;60:8;62:11,15,19;
6;22:23;23:3;34:12,16,
54:25
71:10;81:16;83:3,14;
19;36:19,23;38:8;39:20;
hand (3)
88:6,21,24;89:2;90:8,11,
41:25;42:5,8;43:11;
9:14,18;169:4
21;91:21;92:1;102:19,
45:6,13;46:23;47:25;
handling (1)
23;117:15;125:12;
49:14,18,24;51:22;52:2;
131:2
126:23,23;127:13;
53:24;54:1;56:4;63:16;
hands (5)
128:6;129:13;131:16,
65:15,18;66:11,19;
109:4,20;110:6;123:1;
24;133:5;168:2,23,25;
68:18;69:19;70:3;72:3,
191:17
171:19;189:25;190:13
19;79:22;80:6;82:21;
hang (3)
83:25;87:23;90:12;92:5;
124:9;158:10;183:23 Healthcare (135)
7:13;12:11,14,24;
94:10,15;96:13;97:1;
hanging (2)
13:2;15:11,13,15;16:16;
99:9,11;101:7,10,13;
152:20;159:2
101:20;114:19;115:15;
131:23;151:20;159:6; HANSEN (12)
17:8;19:18;21:16;22:20;
102:25;103:4,24;104:7,
116:20
166:4;184:8,16,25
23:7,14;24:5,16,18;
11;108:10;109:21,24;
39:23,24,24;42:2,6,9;
government (7)
groups (8)
25:13,17,24;29:2,3,3,7,
110:2,16;111:25;113:13,
43:13,19;73:5;183:20;
18:5;78:7,8,12,18;
41:24,25;44:15;77:10,
22,24;30:5,9,21;31:9,21,
16,20;116:23;119:7,9;
184:7,12
137:15,19
21;107:12;167:20,24 H-A-N-S-E-N (1)
23;32:6,10,12,15,20,22,
120:2;123:10;124:5;
grab (1)
Grove (8)
22,25;34:6,10;37:7,13,
126:2;130:10;131:19;
40:1
52:3
64:5,9,15;65:1,2;
23,24;38:13;41:22;
132:3,9;142:8;152:3;
Hanson (1)
gracefully (1)
68:24;150:9,11
48:18;49:7;51:5;54:17;
155:11,13,15,18;156:2,
49:11
191:21
GROVER (6)
55:10;57:3;58:5;59:22;
4,9;160:13,20,22;
happen (16)
gracious (2)
48:1,2,3,4;49:15;73:5
61:15;63:23;64:2,8,12;
164:13,20;165:19;169:3,
47:16;60:22;87:8;
88:22;121:9
G-R-O-V-E-R (1)
67:20;68:8;70:13;71:24;
8,16;170:1;173:5,18,24;
96:7;101:3;114:17;
grade (1)
48:4
80:8,12;81:2,22;82:3,13,
175:15,19,22;176:14;
116:6;122:13;129:22;
141:7
grow (3)
13;88:11;92:20;93:3;
177:22;178:1;179:14;
137:12,15;151:8;
grads (1)
62:14;64:25;123:4
96:2;100:2;102:10;
183:23;184:2,5;188:14,
162:24;163:20;172:14;
69:15
growing (5)
103:8,11,12,14,20;
25;189:3;190:24;
196:14
graduate (3)
38:22;82:8;102:16; happened (7)
104:21;106:2;107:6,9,
198:24;200:9,11,22
114:24;121:11,16
112:3;166:11
10;111:3,16;113:3,4; hearsay (2)
41:13;74:8,10;86:19;
graduated (2)
growth (1)
123:8;124:21,24;125:2,
41:10;154:2
109:5;115:11;170:16
84:11;88:13
101:22
10,20,22;132:24;135:5; heart (8)
happening (5)
graduating (1)
guarantees (2)
139:13;142:22;143:18,
113:21;120:25;121:6;
36:18;46:4;136:15;
121:22
18:9,12
18;144:18,19;153:16;
153:19;157:13;161:4;
192:23,24
graduation (3)
guard (3)
154:19;161:16;166:13;
164:6;192:22
happens (2)
84:14,15,18
98:11,15;100:24
167:3,3,11,16;168:18; heaven (1)
15:7;162:7
grand (1)
guards (1)
169:23;170:12;171:3;
79:12
happy (2)
106:8
95:6
173:7,13;177:9;183:10, heavily (1)
30:11;128:24
grandson (1)
guess (1)
15;187:6,6,19;191:8,16;
113:9
hard (8)
84:11
141:25
195:12;196:17;197:2; Hector (6)
107:11;117:18;
granted (3)
guidance (1)
199:24;200:7
198:25;199:1,2,3,8;
120:21;136:23;149:19,
8:12;196:12;197:1
198:15
Healthcare's (4)
200:10
21;159:3;182:17
grateful (2)
guilt (1)
31:12;70:18;92:15; held (4)
harm (1)
84:6;193:15
96:1
125:6
10:22;33:18;92:17;
31:9
Min-U-Script

Barkley Court Reporters

(14) gonna - held

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


99:6
118:9;125:9,10;126:18;
Helen (7)
130:20;156:11,14,15;
63:18;65:1;68:19,19,
157:1;159:2,8,11;160:7,
21,22,23
11;161:5;164:23,23;
helicopter (1)
166:5,7,11,15,23;167:6;
99:8
168:6;175:7,11;193:11;
Hello (6)
199:4,13
7:4;39:24;84:4;126:7; higher (9)
130:20;169:14
16:14;17:9;32:9;
help (12)
59:17;60:13,20;70:24;
21:14;87:20;98:12,12;
154:8;190:7
100:22,22,22;102:23; highest (10)
159:20;188:9,10;196:14

helped (2)
53:2;167:16
helper (1)
9:18
helpful (2)
8:4;133:12
helping (2)
26:1;84:22
herein (1)
143:4
hereon (1)
143:4
here's (1)
98:23
Heritage (2)
58:8;186:12
Hernandez (2)
23:20,22
herring (3)
22:8;78:5;79:10
Hesperia (11)
26:7;39:25;84:12,14,
23;86:23;87:20;101:16,

17,19;161:6
HFAP (2)
31:10;190:13
Hi (7)
7:6;39:22;83:1;88:4;
92:9;97:5;178:3
hidden (1)
192:17
hide (1)
187:5
hiding (2)
95:25;96:1
High (91)
16:11;20:5,23,24;
22:21;23:19;25:11,12,
13,18,23;38:22;39:4,5,7;

40:19;41:1;42:7,16,23;
44:18;48:12,14,19;50:5;

51:8;52:14,19;61:8;
71:6,12;81:14,19;82:16;

17,21,23;25:2;26:14,16,

14;129:5;135:2;137:6;

16,18;29:14,15,17,18,

19,24;170:2,8,8;171:10;
172:7,12,13,16;173:14;

150:18,25;183:17;
184:15,25
hold (5)
100:5;104:11,13;
125:22;166:3
holding (2)
154:7;178:8
holidays (1)
196:8
home (8)
32:3;39:12;48:9;57:1,
58:12;94:24;107:7;
14,14,15,18;194:20;
121:8;122:22;156:13;
196:17
157:23;192:19
highly (2)
homeowner (1)
24:1;59:10
164:23
high-quality (1)
homeowners (1)
103:13
176:18
highway (1)
homes (3)
51:9
39:8;80:9;172:25
hill (8)
Homestead (1)
16:17;84:13;127:22,
156:12
24;128:1;129:15,21; homicide (1)
177:9
131:9
Hills (1)
honestly (1)
93:24
121:6
himself (1)
Honor (5)
140:21
90:15;91:2;92:4;
hips (1)
119:14;175:1
170:10
honorable (2)
hire (1)
72:17;148:9
87:19
hooked (1)
hired (1)
8:24
172:19
hope (12)
hires (1)
38:6;94:3,8;108:5;
69:13
140:13;141:17,17;
hiring (1)
142:5;173:15;178:20;
69:14
179:10;198:21
historical (3)
hopefully (3)
11:19;133:21;134:5
41:9;154:25;176:7
historically (1)
Horn (1)
27:1
132:9
history (7)
horror (1)
103:17;106:18;
101:1
130:21;140:22;144:15; Horwitz (14)
195:12;198:13
7:7;80:1;81:12;
hit (2)
130:17;131:25;132:1;
108:4;117:18
136:17;137:10;139:22;
HIV (1)
141:6;152:9;153:17;
59:9
185:13;191:3
HMO (43)
H-O-R-W-I-T-Z (1)
30:11;33:3,8,11;36:3,
132:5
4,13;40:18,21,23;41:3, Hospital (472)
23,24,25;42:3,16;44:2,6,
12,15,21,22;45:3;92:22;

83:21,22;84:6,12,14;

127:7,8,13;128:2,6;

85:4;86:14;87:4;88:12;
89:10;101:21,23;102:2;
104:17,23;105:4,5,11;

129:2,7,19;130:1,5,8;
135:10,14;150:14,16;
157:11;158:4;176:21;

106:1,5,7;107:11;
183:14
108:24;110:14;111:9; HMOs (20)
112:13;117:17,19;
30:4,8,10,18;33:6;
Min-U-Script

47:5;51:1,18;127:5,9,10,

7:11;9:5;10:1,2,6,9,15,
17,21,23;11:7,11,15,16,
24;13:3,22,25;15:14,17,
18,23;16:1,3,6,9,10,12,
13,20,22,25;17:7,11,13,
20,25;18:20,24;19:7,14,
15;20:3,19,21;21:12,17,

22;22:5,14,15;23:10;
24:4,7,13,13,14,14,16,

Barkley Court Reporters

19;30:7;31:1,2,13;32:2,

174:6,9;175:1;177:13,

14,17,23,25;33:11,16,22,
22;34:8,9,9;35:1,3,5,15,

180:18,23;181:18,18;

16,17,19,21,23;36:7;

182:8,12,20;183:2,3,6;

37:12,17;38:12,14,16,

184:10,18,20;185:4;

17;179:5,7,20,25;

18,21,25;39:2,9,19;40:4,
186:5;187:11,12,13,23;
5,10,11,21,25;41:1,6,12,
188:5;191:11,19;
14,20;42:10,21,23;43:1,
192:23;193:14;194:8,18,
2,23,25;44:3,7,16,19,25;
18,21,24;195:17,19;
45:3,5,24;46:9,10,16,17;
197:18,19,21;198:16,17;
47:4,6,8,14,17,19;48:6,
199:25;200:8
9;49:9;51:7,8,20;52:19, hospitalcompareorg (1)

20;53:2,10,21;54:25;
190:2
55:5,7,12,21;56:20; hospitals (114)
57:21,25;58:21;59:11;
16:14,21;17:9;18:5;
61:24;62:2,5;63:7,10;
21:18;24:12;28:12;
64:5,11,22;66:5;67:5,20;
29:12,24;30:1,2,5,9;
68:14,24,25;69:2;70:5,7;
71:3,3,4,7,17,19;72:11,

11,15,20,22;73:4,8,14,

17;74:15,21;75:23;
76:11,19,25;77:7,13;

31:4,12,19,21,23;32:6,7,

9,10;35:22,25;37:9,15;
46:5,9;50:25;57:1,5,6,9,
14,15;59:7;69:6;80:10,
10;82:15;83:21;85:2,2,6,

78:1,9,19;79:16;80:15,

15;92:16;93:1,21,22;

17;81:1,8,13;82:5,11,18;
83:4,17;85:9,16,22;86:1,
8,9,16,17,21,25;87:3,9;
88:15,19;89:14;90:3,4,9;

96:5,8,19;97:12;102:5,

92:16;93:17,20,24,25;

116:10;118:17;123:3,6;
125:3,6,7;128:20;129:3,

94:1,4,20,23,25;95:9,11,
14,22;96:3,24;97:7;98:2,
11,14;99:5,9;100:17,23;
101:20,24;102:8,15,18;
103:8,16;104:23,25,25;
105:16;106:11,12,14,17;
107:15,24,24;108:6,20;
109:8,13,16;110:12,13;

11;107:17;109:11;
111:11,21;112:8,23;
114:16;115:4,5,8;
4;130:9;138:3,7,14,15,
15,22;141:1,7;143:22;
144:21;145:8;146:19,20,

23;147:1;149:6;150:8;

154:6;158:13;168:1;
174:13,24;189:24;190:6,
8,11,13,15;195:4;196:7,

111:2,6,7,11,12,13,17,
19;197:6;198:14,16;
22;112:9,15,20;113:7,
199:5,11,14,21
10;115:19;116:4,11,16; Hospital's (15)
117:9,13,16,24;118:5,
11:9;18:2;20:8;73:21;

12,16,16,21;119:21;

75:16;82:1;83:10;105:2;

106:19;107:7;137:1;
138:8;154:13;183:8;
186:24
127:3,25;128:2,7,23; hostage (2)
129:6,19;130:4,7;
99:6;100:5
131:12,16;132:23;
hour (1)
133:17,18,23,25;134:13,
14:23
16;135:7,11,12,21; hours (10)
136:2;137:20;138:4,18,
94:23;98:16;100:25;
122:4,7,8,9,9,10,10,13;
124:1,19,21,25;125:16,
21;126:11,13,14,15,25;

20,23;139:5,12;140:7,

120:6,9;152:15;157:7;
24;142:15;144:4,5,9;
164:4;194:12;199:12
147:2;150:12,18,22; houses (1)
151:16,19,20,21;152:2,
98:5
22;153:16;154:10,21; hub (1)
155:3;156:16,19;157:12,
28:22
20;158:2,2,3,24;159:4,5, huge (3)
7,13,16,25;160:5,8,8;
40:4;47:16,21
162:2,17;164:10;165:4, human (3)
15;166:18,21;167:7,8,
63:4,5;96:6
13,23;168:10,22;169:2, humble (1)

(15) Helen - humble

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


51:13
impacts (7)
hundred (2)
18:15,22,23;19:2;
91:25;152:16
118:7,8;172:18
hundred-plus (1)
imperative (2)
71:11
87:5,21
hundreds (8)
implied (1)
25:22;67:23;87:2,12;
128:5
91:15,16;96:15;121:25 implore (2)
Huntington (2)
38:6;163:25
57:24;69:6
imply (2)
husband (5)
137:8,23
158:1,7,9;176:18,19 importance (1)
144:12
important (37)
I
16:11;17:1,3,14,17;
18:14;19:14;20:7;25:25;
iceberg (1)
28:12;33:4,9;40:7,8,14;
61:18
43:9;50:9;86:14,15;
ICU (12)
103:18;112:15;113:25;
85:17;93:12,15;94:20;
115:16,21;116:13;
95:1,11,24;97:13,19;
126:20,21;128:21;
98:16;99:6;100:5
129:17;134:3;148:3;
idea (2)
161:21;168:1;178:10;
122:1;129:11
191:18;195:22;196:3
IEHP (15)
18:14;21:4;27:20,21, importantly (5)
53:15;76:8;77:3,19;
23;47:5;52:11,12,22;
168:21
53:15;77:3;128:16,22;
impose (1)
151:12;186:13
26:12
ignore (1)
imposed (2)
163:25
76:7;112:24
ignored (4)
imposing (1)
31:18;32:2;65:7;
191:12
173:10
impossible (3)
I-J-A-Y (1)
132:17;137:24;139:4
50:2
impress (1)
ill (4)
85:7
85:5;156:23;171:18,
impressed (1)
18
86:9
I-L-L-A-R-O-S-A (1)
impromptu (1)
35:14
154:9
illnesses (2)
improve (3)
60:5;161:19
76:25;106:5,8
imagine (3)
100:25;119:17;148:20 improved (1)
27:3
Imaging (1)
improvement (2)
10:6
11:6;135:23
immediate (2)
improvements (6)
16:14;66:24
11:2,3,5;110:8;
immediately (1)
139:18;148:9
97:18
improving (3)
Impact (31)
20:14;28:16;107:14
12:14,24;17:15,15;
42:13;50:8,11;69:11; in- (1)
35:20
76:16;102:4;117:12,17;
131:24;133:5;141:18; inac- (1)
113:1
142:17;143:11,15,19,23;
144:1;145:5;146:13; inaccurate (2)
113:2;137:8
149:15,25;162:2,6;
172:18;184:8,24;187:20 inad- (1)
113:1
impacted (4)
17:10;40:23;42:16,18 inappropriate (1)
35:20
impacting (1)
inaudible (2)
18:17
Min-U-Script

131:9;175:23
Inc (6)
7:13;15:14;24:5;
72:11;111:16;143:18
incidents (1)
109:10
incisional (1)
166:19
inclined (2)
137:18,21
include (7)
10:12;11:1;17:4,18;
27:9;28:5;53:13
included (1)
53:12
includes (4)
9:5;10:3;118:12;
125:20
including (16)
10:19,23;21:1;25:19;
27:6;29:5;31:12;32:8;
39:7;51:17,18;52:14;

64:3;66:3;89:10,18
income (8)
64:24;68:6;112:11;
118:3;146:17,20;147:10,

10
incomp- (1)
123:18
incompetent (1)
123:18
incorrect (3)
37:20;146:22;163:20
increase (5)
27:3;64:25;91:6;
133:17,18
increased (4)
38:22;89:17,25;105:3

Increasing (2)
28:6;139:3
increasingly (1)
125:1
incredible (1)
140:3
incumbent (1)
142:23
incur (1)
148:11
indeed (6)
48:22;143:9,13;145:7;

146:7;148:10
independent (12)
23:23,25;25:5;27:14;
55:13,18;79:7;111:15;

153:10;167:18,24;
193:23
independently (1)
107:18
India (1)
152:17
Indian (1)
48:11
indicate (1)

32:6
indicated (4)

28:4,5
injection (1)
32:24;152:19;153:17;
107:13
154:14
injunctive (2)
indicating (1)
66:18,23
154:8
Inland (5)
indication (1)
17:4;21:3;52:11;
62:6
53:16;88:12
indicators (2)
inpatient (3)
28:17;196:19
60:5,9;103:10
indictment (1)
inpatients (1)
165:3
184:9
indigent (4)
input (1)
28:23;128:10;196:22,
27:11
23
Inspector (1)
indigents (1)
32:13
194:19
instance (4)
individual (3)
42:4,24;135:15;151:4
8:19,25;39:17
instances (1)
individuals (5)
105:23
23:25;28:13;39:17; instead (4)
52:13;55:19
65:8;124:2;171:21,22
industry (6)
instituted (1)
102:1;106:7;108:1,6;
127:16
127:13;157:11
institution (2)
infection (3)
139:10;193:2
56:23;85:15;109:4
institutions (4)
infection-control (2)
63:9;83:6;165:1;193:5
190:4;196:4
instructors (1)
infections (5)
90:5
31:6,14;57:11;109:10; insufficient (1)
190:1
112:13
inference (1)
insurance (21)
189:19
17:6;28:15;30:4,8,10,
inferences (1)
12,18;33:3,6,12;40:22;
189:16
46:19,22;47:5;92:21;
inferior (1)
96:5;99:13;127:11;
181:20
143:25;158:3;171:13
influx (1)
insurances (5)
118:18
21:8;51:11;171:14;
inform (1)
172:13,15
142:19
insure (1)
information (18)
60:1
11:2,5;37:14;41:17; insured (1)
113:2;142:23;143:2,7,
56:19
10,12;145:6;149:23; insurers (2)
150:1;153:1;163:23;
56:13,14
164:1;186:20;187:10 intangible (1)
informational (1)
10:19
67:5
integrity (1)
infrastructure (2)
179:3
11:3,6
intelligent (1)
infusion (1)
73:6
102:13
intensive (4)
inheritance (1)
16:2;171:22,25;
141:22
189:10
initial (1)
intentionally (3)
42:13
97:6;98:8;188:23
initially (2)
interaction (1)
40:11;131:17
184:19
initiation (1)
interactions (1)
178:13
183:6
initiatives (2)
interest (26)

Barkley Court Reporters

(16) hundred - interest

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


12:8;21:20;24:5;33:5; intuition (1)
103:18
22;64:12;68:15;75:21; inure (1)
87:7;111:18;124:19;
146:10
140:2;142:25;143:13; inuring (1)
146:9;148:20;149:6;
146:3
158:15;163:23;182:13, invest (5)
23
26:21;55:12;83:6;
interested (6)
107:1;125:14
19:24;33:14;34:1;
invested (1)
83:12;192:3;195:24
20:21
interesting (1)
investigate (1)
152:10
190:20
interests (8)
investigated (1)
33:2;63:14;116:1;
154:22
133:6;181:7;185:6,10; investigating (2)
191:23
190:19,20
interim (1)
investigation (7)
10:13
32:12;66:9;77:12;
Internal (1)
79:3;109:8;137:25;
7:15
154:18
International (1)
Investigative (3)
54:17
8:13;153:6,10
Interpreter (4)
investing (2)
9:10,13;155:17,19
106:19;107:1
Interruption (1)
investment (3)
183:22
102:13;106:17,23
intertwined (1)
investments (2)
148:5
10:22;17:21
intervals (1)
invests (1)
189:17
123:22
intervention (1)
invite (3)
125:7
13:7;78:13;147:21
interviewed (1)
involved (12)
133:4
24:2;62:25;133:24;
interviews (1)
138:19;147:21;150:8;
15:18
157:16;160:5;178:15;
interworking (1)
191:9,25;198:4
115:8
involvement (1)
intimate (1)
141:3
39:11
involving (1)
intimidation (1)
134:1
110:7
IPA (1)
into (37)
44:12
20:12;21:3;26:22;
ipsa (1)
30:24;36:3;38:7;44:9;
136:11
56:17;65:8;73:19;74:20; ironically (1)
77:18;80:12;82:15;
133:24
84:22,22,25;85:22;86:1; irrefutable (1)
95:1;97:11;111:4;114:5;
153:14
122:12;125:5;132:17; irritating (1)
138:20;140:23;150:20;
159:1
163:11;164:3,7;176:24; Irvine (1)
177:14;179:6;183:15;
98:24
195:17
issue (32)
intolerable (1)
13:8,11;22:8;32:14,
68:2
24;42:25;54:23;55:8;
intricacies (1)
61:13;66:23;76:18;78:6;
194:10
85:14;93:6;144:2;146:1,
intriguing (1)
2;147:13,15,25;148:6;
135:6
149:5,16;150:2,4;
intubate (1)
154:20;177:3;182:16;
98:22
193:20;194:6,12;195:10
40:17;56:3;62:11,13,17,

Min-U-Script

issued (1)
167:1
66:14
Judge (4)
issues (22)
34:2;78:13;132:11;
12:5,6;38:6;54:21;
181:14
61:18;70:15;75:1,8; judgement (2)
76:5;106:5;107:15;
48:23;198:22
134:1;138:24;139:1; judge's (1)
143:16;144:11;146:15;
181:12
185:24;186:10,18,23; July (7)
190:4
32:19;34:5;64:19;
items (1)
68:25;78:13;111:1;
18:14
170:5
iterations (1)
June (5)
178:16
66:11;74:9;137:15;
141:16;186:9
J
Justice (3)
78:15;79:7;181:5
Jamie (1)
K
15:5
janitor (1)
196:3
Kaiser (4)
January (1)
58:7;156:24,25;
65:13
157:14
Jenson (2)
Kali (2)
142:11;152:4
43:24;152:14
jeopardy (2)
Kamholz (1)
180:18,20
138:12
Jess (1)
K-A-M-H-O-L-Z (1)
26:6
138:13
jewelry (1)
Kavitha (1)
67:6
23:18
job (7)
keep (31)
121:13,24;135:18;
9:20;26:15;38:21;
162:18;171:2;189:8,8
46:18;54:7,9;72:14;
jobs (17)
86:20;93:6,7;94:6;
20:22;70:15,24;71:23;

83:19;99:24,24,25;
125:11;129:18;139:16;
162:6,7,11,11,15;179:6

163:1;171:2;173:16;
185:9;186:20,21
kinds (2)
116:7;123:19
Kit (1)
138:12
knee (1)
170:10
knew (2)
111:24;158:11
Knight (1)
124:14
knit (1)
26:8
Knolls (1)
38:25
knowing (1)
167:4
knowledge (3)
39:11;41:15;60:2
known (7)
38:1;71:19;106:3;
120:15,24;170:9,14
knows (9)
13:16;70:20;74:5;
84:8,8;97:16;137:4;
138:9;157:11
Koelle (9)
104:1,1;108:13,14,17,

17;109:23;110:1,5
K-O-E-L-L-E (1)
108:18
Kollitz (1)
178:5
96:13;115:16;117:10;
129:17,17,18;131:6; Kulyas (13)
87:25;92:8,9,10,12;
139:16,24;156:21;192:9,
11,12,18;193:11;195:21,

Joe (8)
24;197:4;198:19;199:13
103:25;110:18;
keeping (6)
113:16,17,18,19,22;
50:19,21;68:9;125:23;
162:20
141:8;194:18
John (4)
keeps (2)
152:7,8,9,9
20:19;97:8
J-O-H-N-P-E-T-T-Y (1) Ken (7)
152:10
108:12;110:17,17,19,
Johnson (5)
20,20;113:15
175:22;176:9,10,10,15 kept (7)
Joint (3)
95:3;185:12,14;188:2;
31:10,23;190:12
193:8;195:1;197:21
Jolla (2)
key (5)
95:9;99:7
10:11;133:16;134:3;
Jose (3)
146:16;154:21
97:21,23;99:2
kicker (1)
Joseph (11)
98:23
71:9;88:3,4,5;101:15; kidney (1)
104:3,4,5,9,13;164:14
80:18
journalism (1)
kids (2)
153:6
63:8;84:17
journalist (1)
kind (20)
153:10
14:15;40:10;45:1,2;
journey (1)
46:11;62:17;86:3;91:4;
Barkley Court Reporters

98:2;115:24;121:9;
144:15;154:18;159:1;

94:12,16;97:4,5,5;101:9;

155:5;188:22
K-U-L-Y-A-S (1)
92:10
Kurtz (1)
130:22

L
La (4)
9:1;95:9;99:7;130:18
lab (7)
16:3;78:25;79:1,7;
139:1;170:4;171:10
labor (7)
27:7;64:1;65:12;66:3,

13,15,16
laboratories (2)
171:5;180:24
laboratory (5)
22:1,6,9;135:23;171:6

lack (8)
28:14;109:5;154:14;
174:22,25,25;193:9;
194:8
(17) interested - lack

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


lacking (1)
189:6
laid (1)
94:21
language (1)
129:1
lapse (1)
116:17
lard (1)
98:14
large (13)
40:17,19;42:6;43:8;
44:22;58:25;59:15;

101:1
lead (2)
30:14;66:4
leader (6)
23:21;103:6;105:25;
159:11,19,23
leaders (1)
197:14
leadership (2)
77:25;106:3
learn (1)
91:19
learned (3)
109:15;114:17;118:12;
86:5;120:9;150:20
132:16;139:12;166:10 learning (3)
largely (1)
116:9;120:5;171:2
184:22
lease-back (1)
large-picture (1)
10:14
76:23
least (14)
larger (3)
11:4;26:21,24;30:7;
138:16,20;140:8
44:4;58:16;60:9;128:18;
largest (1)
135:3,9;140:13;143:16;
117:25
186:3;195:22
last (47)
leave (4)
7:25;17:21;20:13;
69:17;113:14;123:19;
23:4;35:10;39:25;43:16,
194:18
18;45:14,16;48:4;49:20; leaving (3)
50:2;53:4;64:16;70:10;
82:22;109:13;118:2
78:8,18;81:9;90:23; led (2)
104:7;105:8;108:17;
20:12;91:21
130:20;134:14;136:9; left (13)
139:9;146:17;150:2;
13:4;41:18;42:23;
152:23;153:4;156:7;
59:3;69:2,7;94:23;
158:16;159:21;161:2;
104:15;155:19;183:8;
164:21;168:4;177:12;
187:3;188:8;195:1
178:5;179:18;183:18, legacy (2)
18;190:25;191:6;
106:13;107:3
195:22;197:23;198:25 legal (8)
late (4)
12:7;36:17;65:8,9;
33:25;108:15;141:16;
67:3,12,16;180:4
182:10
length (3)
later (8)
60:21;80:20;86:6
12:18;68:12,12;84:7; less (19)
120:6;133:9;134:24;
11:12;18:23;58:22;
200:15
61:7;81:15,20;87:8;
laugh (1)
103:20;118:23;150:25;
173:3
160:10;168:23;179:8;
Laughter (2)
181:19,20,23;182:4,5;
85:11;141:23
187:24
law (9)
lessen (5)
12:5;24:10;37:15;
77:15,17;149:13;
56:13,17;67:15;132:20;
183:12,13
178:4;181:12
lessening (1)
laws (2)
182:16
50:24;62:11
letter (4)
lawsuit (2)
110:23;113:14;117:4;
67:9,10
124:14
Lawyers (5)
letters (2)
61:9;67:13,25;179:25;
77:5,24
180:2
letting (1)
lay (2)
181:14
93:11;157:8
leukemia (6)
layed (1)
93:10;94:21;96:23;
Min-U-Script

97:15,16,20
50:11;51:12;145:8,10
level (8)
listen (3)
29:13;51:17;59:4,15;
49:12;94:9;193:16
82:6,16;156:21;172:20 listened (2)
levels (6)
72:17,18
11:11,20;27:1,2;48:8; listening (10)
112:12
9:3;72:16;116:22;
Lewis (3)
137:2;150:6;152:11;
97:22,23;99:2
155:8;163:1,2;169:7
Lex (6)
literally (2)
170:7;190:25;191:1,2,
74:22;86:3
3,5
litigation (1)
L-E-X (1)
133:24
191:6
little (20)
library (1)
23:13;40:15;46:14,24,
26:3
25;54:8;65:16;84:7,7,9,
license (6)
16;108:15;110:3;137:3;
32:15,23,25;54:23;
147:11;159:8;163:24;
135:22;136:1
171:25,25;189:9
licensed (5)
live (8)
10:2;15:24;24:21;
84:13;85:4;98:5;
81:4,13
100:14;108:24;119:24;
lie (2)
173:2;191:16
100:24;163:4
lived (8)
life (9)
25:10;84:13;91:24;
80:8;85:7;96:6;97:12;
98:22,24;99:12;160:1;

161:20
lifeless (1)
98:22
lifelong (1)
199:4
life-threatening (1)
56:23
light (5)
17:17;74:21;134:2;
154:24;185:20
likelihood (1)
182:4
likely (3)
22:3;61:7;143:24
Likewise (1)
145:12
limit (2)
42:11;176:23
limited (1)
140:2
line (6)
9:3;14:5;35:1,6;58:23;

108:4
lines (2)
145:3;146:14
Lionel (5)
101:15;103:1,2,3,4
Lisa (11)
52:6;54:3;63:17,17,
19,20,21;65:15,17,19;

69:10
list (10)
13:21;14:12,25;34:21;
35:7;41:14;45:10;49:21;

52:3;54:10
listed (4)

101:21;164:23;171:9;

163:5,11,19
Loise (2)
108:12;110:16
long (13)
24:1;30:13;69:12;
82:7;85:6;106:1,1,18;
109:3;120:24;126:10;

168:15;193:17
longer (6)
54:8;120:17;135:24;
150:4,17;171:13
longest (1)
180:2
longstanding (2)
81:7;197:21
Long-term (1)
138:7
long-time (1)
166:6
look (29)
27:10;36:2;44:9;
50:15;51:13;53:21;
57:22;59:14;60:21;61:5;

79:15;92:2;107:19;
145:7,9,17;146:2,15;
147:8;153:12,12,13;

191:5;194:4
162:1,14;163:13,19,24;
lives (11)
190:6,8
22:20;85:1;87:18;
looked (4)
96:25;99:11;100:19;
57:8;95:12;150:10;
123:22;173:15;183:10;
178:20
192:6,20
looking (16)
living (3)
57:13;59:4,8;60:7;
168:2,12,13
71:10;86:8;106:24;
LLC (3)
140:3;162:10,15,17;
7:14;24:20;72:12
163:11;164:3;174:13;
loan (2)
190:5;199:4
161:11;185:16
looks (7)
loans (1)
34:8;45:8;97:24;
148:15
164:2,5;165:11;182:24
lobby (1)
loop (1)
67:5
41:18
local (34)
loquitur (1)
11:21;27:8,10,12;
136:12
28:20;68:7;80:10;83:11, Los (3)
13,18,19;87:19;102:5,9;
47:18;129:23;132:11
103:16;106:11,13,18; lose (15)
109:15;117:22;118:3;
30:17;43:2;51:20;
124:2;161:20,20;
70:23;71:4;80:22;81:12;
166:22;167:12,19,22;
105:23;119:17;122:3;
168:9,16,25;169:1;
135:22;162:6,11;
179:6;199:11
164:10;166:1
locally (2)
losing (2)
109:2;122:1
96:11;136:1
locals (1)
loss (7)
109:15
39:5;71:5;81:21;
located (4)
83:19;96:21;118:4;
10:4;16:17;62:1;67:14
121:4
lock (1)
losses (3)
75:21
30:15;128:7,12
locked (1)
lost (13)
150:18
33:8;40:5;70:16;
logically (3)
99:12;109:3;141:15,17;

Barkley Court Reporters

(18) lacking - lost

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


163:14;165:25;170:16,

18;172:25;178:21
lot (46)
21:9;35:19;36:8,12;
38:4;46:12;54:10;59:21;

70:22;84:25;96:12;
98:17;108:1;110:2;
114:1,1,25;121:14,15,
19;122:13,20;123:12;
129:16;130:16;133:25;

134:20;136:19,21;
158:18;159:5,6,23;
161:9,22,23,23;167:6;
177:6;181:24;189:20;
190:22;192:7;195:23;
197:7,7
loud (1)
72:19
love (1)
78:4
loved (7)
96:19;97:12;99:22;

88:9;90:2;166:14;
167:11
Maintaining (3)
20:9;53:13,15
maintains (1)
30:7
maintenance (1)
18:13
major (6)
29:6;40:16;41:2;
42:25;86:22;131:3
majority (6)
23:24;50:10;51:10;
77:9;145:21;189:10
MAKALA (7)
45:11,12,12,15,16;
46:8;47:3
M-A-K-A-L-A (1)
45:16
makes (3)
20:7;61:5;140:17
making (16)
7:17;19:22;39:17;
55:11;62:20;82:19;
108:5;114:17;136:5;

mansions (1)
100:15
many (57)
16:15,17;17:7,11;
18:11;21:4,7,10;25:9;

14;121:17;122:2;
124:19;125:2;126:14;
127:20;128:22;129:15,

19,20;131:22;134:19;
139:7;157:21;158:23;

161:17,19;164:4,25;
167:22,24;170:9,17,22;

Min-U-Script

12;60:10;64:5;71:9;
77:4,10,10,20,21;78:1;

94:14;104:24;119:20;

80:7;82:10;83:12;89:10;
93:4,19;97:18;99:13,14,
19;100:5,11,12;103:10;

142:20;145:20;146:22;

40:7;100:10;120:15;
121:5;137:17;163:17
Mayo (2)
59:19;60:13
mayor (16)
68:20;69:21,23,24;
70:1,6;71:22;72:17;

172:6,12;173:8,11;
179:4;185:13;186:17;

189:20,24;190:10;
192:20
Mark (9)

79:24;82:24;84:1,3,4;

96:9;104:14;105:6
McEACHRON (3)
69:23,24,25
M-C-E-A-C-H-R-O-N (1)

92:6;97:4,5,5;101:8,9;
69:25
155:6;188:22;194:18 MD (3)

38:9,10,11
MDS (11)
15:10;18:10;52:19;
53:12;72:23;76:17;
127:17;128:8,13;
146:16;189:8
meals (1)
172:10
mean (13)
35:20;44:24;57:21;

105:14;106:6;108:1,6,

25;109:1;111:12,13;
112:13;115:3;117:10,

14;118:8,10,22,24;
122:21;126:8,10,14,17;

134:12;139:1;142:18;

143:20;157:6;159:6;
161:19;166:4,17;167:9,
12,20,24;170:11;171:22;
184:8,17,25;193:23,23;

199:10,17,20
Medi-cal (13)
17:5;18:6;21:4,5;47:5,
7;109:9;128:9;135:8,25;

172:16;184:22;192:2
medical/surgical (1)
27:6
medically (1)
28:23
Medicare (35)
17:5;21:5,24;28:16,
18;29:10;31:7,10,24;
32:20;56:25;57:19;58:6,

17;59:5,20;60:4;61:11;
74:20;109:9;135:9,25;
154:8;172:16;180:5,13;

60:11,12;96:12;119:18;

181:8;184:23;185:20,

163:13;165:6;176:23;

25;186:7,14,15;188:11;

177:5,18;196:20
meaning (1)
168:23
means (9)
23:24;27:15;35:21;
97:17;114:1;136:1;
148:25;165:8;189:15
meant (1)
62:11
measure (1)
188:12
measured (1)
28:18
Measures (2)
28:17;190:2
median (2)
58:23,25
medians (1)
189:16
Medicaid (7)
21:24;180:5,13;181:8;

186:7,14;188:11
medical (100)

Barkley Court Reporters

57:24,25;58:17;59:6,8,

62:24;74:23;75:1;89:4;

28:13;33:5;36:4;47:18;
149:12;153:3;171:7;
59:12;66:5;70:22;78:8;
180:12;184:16,16,19
80:7;85:2;114:5;118:3, maybe (6)

marked (2)
94:18;95:8
market (5)
142:25;172:22;186:23;
44:21,22;55:22;
191:10;193:8;198:3,21
172:20;183:4
malnourished (3)
marketing (2)
80:19,21;85:10
167:4,11
mal-nurtured (1)
marketplace (2)
80:21
125:13;183:12
malnutrition (10)
Martha (10)
31:7,23;32:3;57:12,
155:22,22,25;156:1,3,
16,20,23;80:14;93:6;
4,6,6,10;160:4
196:1
M-A-R-T-H-A (1)
Mamo (1)
156:7
160:16
Mary (10)
man (5)
16:12,19,21;18:17;
84:15,16,21;155:17;
37:10;47:6;71:9;157:7;
177:25
167:8;194:6
manage (1)
Mary-Ellen (3)
10:15
155:23;160:15,15
managed (9)
Mary's (14)
M
18:17,18;25:3;30:16;
36:6,14;42:21;109:14;
58:7;77:1,12;143:25;
127:18,18,19;129:6;
ma'am (2)
167:10
131:20;135:12;157:3;
94:11;188:25
management (6)
176:24;183:3;185:2
machines (1)
10:14;17:24;20:3;
massive (1)
114:13
82:1;104:19;175:1
64:20
macular (1)
manager (2)
master's (1)
168:14
161:8;166:3
189:11
Magama (1)
managers (3)
matter (4)
155:21
25:4,8;194:8
79:4;137:9;161:10;
Magazine (1)
mandated (1)
180:4
138:11
128:25
matters (5)
Magma (1)
mandating (1)
12:7;79:20;131:2;
155:21
50:20
179:21,24
main (2)
mannequins (1)
mature (1)
10:16;44:1
89:11
119:20
maintain (10)
manner (3)
maximize (1)
27:5,18,24;30:9;
48:23;198:22;199:15
62:12
76:24;77:1;103:10;
may (29)
125:11;128:17;197:8 manning (1)
130:22
13:1,8;28:1;30:19;
maintained (4)
100:9,16;165:25;166:1

low (2)
33:7;112:4
lower (3)
60:19,20;69:15
low-income (2)
52:15,21
Luckily (1)
168:10
lull (1)
72:6
lumpectomy (1)
166:20
lung (2)
168:7;171:20
Luther (5)
87:24;90:13,14,15,16
L-U-T-H-E-R (1)
90:16

33:1,13;34:22;40:16;
50:15;54:8;59:24;61:18;

11:9;12:15;13:5;16:8,
12,19,22;18:18;20:5;

192:3
Medicare's (2)
32:13,18
medicine (4)
31:5;37:23;39:25;
109:4
mediocre (1)
123:17
meet (1)
125:24
meeting (8)
7:9,20;8:14,21;13:16;

50:11;200:15,21
meetings (1)
15:8
Mekala (1)
45:8
member (22)
19:8;49:5;63:11;
90:24,25;101:16,17,19;
115:15;116:20;127:10;

131:11;134:12;136:5,

17;137:20;139:6;
140:21;142:3;152:12;

156:15;161:6

22:19;24:13,14;26:3,23; members (38)

27:10,15;29:17,18;

11:8;23:23;25:5,9;

38:24;39:10,19;41:23;
42:4,7,24;45:23;48:8;

27:9,10,21;29:23;34:10;
50:7;52:14,15,17;53:16;

(19) lot - members

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


18;132:14;139:17;

55:14;63:3;77:25;99:22;
127:7,7,20,25;128:1,22,

141:21;146:18;147:11,

22;129:9,21;130:1,1;

11;148:8;161:13,13;

134:14;138:21;145:19;
151:22;175:13;184:15,

16,20;197:22
mental (2)
170:12;171:19
mention (9)
17:14;41:22;61:12;
78:3;102:6;140:19;
150:3;189:23;197:23
mentioned (5)
15:21,24;51:1;168:6;
169:20
mentioning (1)
182:13
mentions (1)
44:8
mergers (1)
138:18
meritless (1)
65:11
merits (1)
79:11
message (1)
108:8
met (3)
74:23;121:8;141:15
metric (1)
59:12
mic (2)
49:25;131:6
MICHAEL (17)
23:1,2,5,13;34:15,18;
124:7;126:5;130:12,12,

14,15,24;131:8;132:5,
10;145:13
Michelle (6)
79:24;82:23,23,25;
83:1,1
microphone (5)
8:15;23:12;46:25;
108:16;130:15
microphones (1)
8:25
mid-1990s (1)
138:5
might (9)
40:13;61:17;81:11;
85:16;135:2;143:8,19;
186:21;199:25
Mike (4)
22:24,25;23:3;34:12
miles (3)
47:18;62:1;152:16
million (51)
10:25;11:1,4;23:16;
25:20;26:22,24;30:2;
51:6;59:25;60:15;75:6;
76:1,1;79:16;88:23;
91:25;92:18,19,23;
94:13;115:11;131:18,

Min-U-Script

163:7,8,10,14;178:23;
179:8;181:19,20,21,23;
185:14,16;187:2,21,21,

22,24;188:9
millions (9)
20:21;30:14;33:8;
67:24;84:21;87:12;
96:18;128:7,12
mind (6)
14:21;82:22;115:16;
141:1;163:4;198:20
mine (5)
15:5;56:10;154:7,9;
165:17
minimize (2)
18:14;19:1
minute (2)
14:18;73:20
minutes (6)
9:21;54:7;80:25;
101:11;119:25;176:6
misdiagnosing (1)
93:4
misguided (1)
30:24
misleading (1)
113:2
mispronounced (1)
88:1
mispronouncing (2)
34:23;132:1
mispronunciation (1)
169:17
miss (1)
54:20
Mississippi (2)
29:9;196:18
misspoke (1)
181:2
misstatements (1)
30:22
mistakes (2)
133:21;134:5
mistrust (1)
39:14
mitigated (1)
114:10
Mitzelfelt (2)
117:3;119:4
mix (1)
69:14
model (6)
40:24;45:2;46:13;
56:17;62:14,23
modeled (1)
76:2
models (1)
197:16
modernization (1)
140:6

modernize (1)
139:16
modernized (1)
133:19
Molina (3)
47:6,7,13
mom (6)
97:21;98:10,14,17;
100:23;134:17
moment (4)
63:7;74:4;135:3;
144:14
moments (1)
186:11
mom's (1)
98:12
Monday (5)
98:10,25,25;120:23;
158:6
monetary (1)
106:24
money (48)
30:17;38:4;59:21;

22:11;23:16;25:20;26:1,

7;28:10,10;29:11,25;
30:2;31:8;32:7;33:23;
37:4,11,22;38:2;40:8;
41:4,13;50:5;51:19;
57:19;59:2,19;60:16;
61:12;64:2,23;65:2;
66:20;69:12;70:17;

96:14,14;97:8,9,9,9,11;

24;100:1,3;106:20;
107:13;116:15;121:5,13,

14,15,18,19;159:5;
160:9;163:14,15;
172:23;177:5,6,8;179:6;

181:24;182:2,3;183:9;

187:24
monitored (1)
192:13
monitoring (2)
195:7,9
monopolization (3)
182:10;183:21;184:7
monopolizing (1)
41:1
monopoly (6)
43:6;44:23;77:16;
109:13;149:14;175:6
Montclair (8)
23:20;24:13,16;29:18;

111:12;146:19,24,25
Monte (1)
164:14
month (7)
19:16;26:7;68:12;
75:18;137:1,2;171:7
months (20)
33:24;43:24;53:4;
68:12;70:11;74:22;
96:10,10,12;122:11;
136:10;153:5;158:24;
159:17;170:7;178:19;
185:8,13;186:22;187:15

Moore (2)
130:13;186:20
more (61)
9:21;19:23;20:7;21:6;

9:15;18:23;19:3;20:1;
30:17;36:23,24;38:8;
39:20;43:12;44:11;45:6;

73:10;83:14;88:14;94:6;

47:25;49:13,14;51:21,
22;54:1;56:18;60:25;
61:6;68:18;69:20;72:3;
79:22;82:21;83:14,24,
25;85:19;87:23;92:5;

96:25;103:21;106:7;

97:1,2;102:2,24;108:10;

117:21;118:23;123:13;
140:7,9,15;153:11,11;
161:24;166:22;168:21;

126:2,19;130:10;131:14,

170:6;171:18;176:4;
183:4;186:23;189:18
morning (1)
158:6
Morris (6)
84:2;87:24;88:3,4,4;
91:9
M-O-R-R-I-S (1)
88:5
Mort (7)
60:4;74:12;75:6;93:2;
142:10,12,13,14;

98:4,6,7,7,7;99:11,18,20,

much (59)

110:11;116:23;124:5;

20;160:13;164:11;
165:19;168:23;169:3;

173:18;175:14,15;
193:15;196:9,13;198:23,

24;199:2
much-needed (1)
111:23
multiple (3)
69:13;106:4;162:12
murdered (3)
97:7;98:8;188:23
must (17)
152:18;154:13;182:14
7:22,25;11:22;21:22;
M-O-R-T (1)
28:7;56:2;110:13,14;
142:14
112:25;116:19;119:18;
mortal (1)
129:5,8;135:3;177:2;
141:21
199:14;200:15
most (29)
mutually (1)
12:9,13;18:18;21:12;
77:2
36:9;42:14;50:17;53:15; myself (11)
64:22;76:8;77:3,19,20,
40:16;85:3,8;102:7;
20;96:4;115:20;116:13;
114:5;120:1;158:17;
125:7,22;129:3,7;133:4,
160:9;161:18;173:8;
5;135:17,21;153:24;
189:9
166:19;175:5;191:19
mostly (2)
N
91:5;174:8
mother (4)
nail (1)
97:24;119:21;120:12;
162:23
134:8
name (66)
mothers (1)
7:7,25;9:1;14:14;15:2,
119:2
3,5;19:10;23:1,4;35:10,
motivation (1)
10,13;37:2;38:10;40:1;
153:15
43:15,16;45:14,16;48:2,
motivator (1)
4;50:1,2,2;52:9;63:20;
121:5
68:22;69:25;80:1;83:1;
motive (1)
92:1,9,11;97:5;101:18;
194:25
103:4;104:4,8;108:17,
motor (1)
18;110:20;117:1;
122:22
119:12;123:9;124:11;
move (10)
130:24;142:13;156:5,6,
23:11;49:24;73:2;
7;160:24;161:1,2;
75:23,25;108:16;
164:21;169:14;173:22;
130:15;158:25;159:13,
178:3,5,6;179:17,18;
16
188:17;191:5,6;199:3
moved (3)
named (1)
155:4;157:16;166:16
187:13
moves (1)
nameless (1)
77:16
130:1
MRSA (2)
names (1)
85:16,25
42:1

Barkley Court Reporters

(20) mental - names

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


Nanda (2)
95:16;99:1
Naranja (3)
97:22,23;99:2
nation (10)
29:6,15,18,20;108:24;
111:14;122:1,15;
196:18;199:21
national (6)
58:23,24;65:12;66:15;
108:22;189:25
National-Labor-Relation-Board-conducted (1)

65:5
nationally (1)
82:14
near (4)
71:9;85:17;109:13;
136:7
nearest (3)
47:17;61:23;62:4
nearly (2)
132:17;181:12
necessarily (3)
43:6;134:21;168:20
necessary (4)
7:20;20:18;76:9;
165:11
need (67)
13:23;14:3,17;21:17;
25:25;40:4;43:10;44:19;

45:15;46:21;49:24;
53:17;58:10;62:20;
71:12,23,23,24;73:2;
79:12,17;81:24;97:17;
99:16;102:9,13;107:22;

114:3,8,16;115:17,17,
18,19;116:7,20;119:23;

122:16;123:3;124:23;
125:13;129:25;130:1,2;
134:25;143:8,10;148:18,

18;152:5;154:21;
159:14,15,15;160:7,8;
165:17;173:16;179:25;
180:3;184:6;189:18,21;
192:18;197:3;199:12,13

needed (8)
17:21;21:14;95:1;
115:1;133:11;177:15;
182:21;186:20
needs (34)
9:8;12:19;14:23;
20:10,19;21:1;37:7,13;
38:20;39:2;44:11,13,14;
70:7;102:15,16;106:11,
14;114:3,15,16;116:16,
17;122:4;125:11,20,24;
133:17,18;147:6;149:2;

152:23;168:23;198:23
negative (7)
18:15,22,22;19:2;
118:6;123:20;196:13
negatively (1)
18:16

Min-U-Script

neglect (1)
95:14
negligence (1)
95:13
negotiate (5)
55:23;67:16;128:15;
130:8;151:10
negotiated (2)
42:20;131:17
negotiating (1)
185:12
negotiation (2)
136:24;178:19
negotiations (2)
64:18;69:9
negotiators (1)
64:20
neighbors (1)
174:23
neither (1)
146:4
neonatal (1)
16:2
Nepomuceno (3)
105:1;122:8;195:19
Nepomuceno's (1)
134:13
net (3)

non-biased (2)
48:23;198:21
non-contingent (2)
73:15,23
none (2)
100:6;158:11
nonetheless (1)
145:22
nonmedical (2)
156:13;161:11
Nonprofit (25)
7:12;11:25;12:1;

NUHHCE (1)
63:23
number (22)
9:21;12:5;14:15;
17:19,23;28:3;51:3,14;
58:21,21,25;59:15;60:3;

70:25;71:1;83:22;
128:14;150:17;151:15,

22;163:18;200:17
numbered (1)
138:22
numbers (14)
23:14;24:12,20;25:15;
43:8;57:13,18,22;

58:5,12;112:7;146:21;
18,21;62:6;111:7,8,11,
163:3,3,12,12,19;182:25
21;112:23;146:4,6,11; numerous (1)

26:16;30:1;55:11;61:16,

147:20;148:1;169:21
N-O-N-P-R-O-F-I-T-H-O-S-P (1)

29:4
nurse (9)
68:23;95:2,4,18;
108:18,19;171:17;
189:10;196:4
Nurses (22)
63:22;64:4;65:10;

66:11,19;67:6;190:14

occurring (1)
148:16
o'clock (4)
13:24;35:4;158:6;
176:7
October (2)
69:5,11;88:14,19;89:23;
113:24,24
90:10;91:7;96:23;
off (6)
108:21,22,23;109:19;
59:16;84:10;98:2;

12:22
nonprofits (3)
61:22,25;62:2
nonrefundable (2)
105:21,22
noon (1)
200:16
nor (3)
146:5;149:15;170:22
110:6,10;114:23;116:8;
Notably (1)
121:16,22;158:11
146:17;147:10;187:22
68:8
Nurses' (1)
network (2)
note (7)
89:7
145:7;190:1
26:17;30:19;38:1;
nursing (25)
neutral (1)
100:21;175:24;177:11;
38:25;39:7;80:9;88:6,
66:9
183:7
8,11,13,16,23;89:1,5,6,
nevertheless (2)
noted (4)
17,20,21;90:4,7,20;
41:10;174:20
103:13;138:14;151:5;
114:22,22;115:4,7;
new (18)
180:1
121:12;139:2;150:7
16:22;21:3;26:22,23; notes (3)
53:22;61:12;64:19;
119:16,19;172:4
O
69:13,15;75:14;89:8,9; not-for-profit (10)
92:13;110:11;128:25;
52:12;132:22;144:24; Oaks (2)
130:8;145:15;151:10
148:5;187:12,23;192:9,
141:1;198:16
next (7)
15;195:2,5
OBGYN (1)
19:16;65:3;103:1,25; nothing's (1)
50:4
114:18;138:16;187:9
148:22
OBGYNs (1)
nice (2)
notice (9)
35:15
72:25;84:11
10:9;12:3;142:17;
objections (1)
nickel (1)
143:10,15;145:10;
65:11
137:2
147:18;149:15;163:1 obligate (1)
night (4)
noticed (2)
50:25
120:23;157:11;
132:15;182:14
obligation (3)
168:15;199:12
notices (1)
65:9;132:23;180:4
nine (2)
12:23
observations (1)
39:25;43:24
notify (1)
133:11
Ninth (1)
22:16
observe (1)
67:2
notwithstanding (1)
15:7
NLRB's (1)
145:19
obst- (1)
65:19
November (4)
111:23
Nobody (2)
74:8;105:13;137:2; obstacles (1)
60:12;196:18
182:19
76:5
nobody's (2)
NRLB (3)
obstetrical (4)
196:22;198:4
66:9,11,22
11:17;17:2;111:25;
no-contingent (1)
NRLB's (3)
112:1
75:21
65:14,20,24
obstetrics (1)
Barkley Court Reporters

21:2
obtain (1)
81:23
obtaining (1)
59:22
obvious (1)
77:14
Obviously (3)
55:3;75:14;177:18
occasion (1)
41:4
occupancy (2)
16:15;17:10
occur (2)
41:20;148:11
occurred (4)

122:18;131:12;189:16

offer (15)
11:10;14:7;26:19;
30:13;73:15,20;75:15,
22,25;76:16;79:14,15;

82:3;181:18;188:20
offered (3)
27:19;76:8;178:22
offers (1)
40:9
office (24)
8:11,12,25;22:8;
32:13;44:2;47:20;50:14,

15;82:4;107:21;117:7;
132:12,19;134:2;136:8;

138:1;140:25;141:5;
176:16;178:4;182:15,

19;187:7
OFFICER (128)
7:4;8:18;9:12,15;19:3,
6,13;22:14,23;23:3,11;
34:12,16,19;36:19,23;
38:8;39:20;41:25;42:5,

8;43:11;45:6,13;46:7,
23;47:25;49:14,18,24;
51:22;52:2;53:24;54:1;
56:4;63:16;65:15,18;
68:18;69:19;72:3;79:22;

82:21;83:25;87:23;
90:12;92:5,11;94:10,15;

97:1;101:7,10,13;
102:25;103:24;104:7,
11;108:10,16;109:21,24;
110:2,16;111:25;113:13,

16,20;116:23;119:7,9;

120:2;123:10;124:5;
126:2;130:10;131:6;
(21) Nanda - OFFICER

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


132:3,9;142:1,8;152:3;

155:11,13,14,15,18;
156:2,4,9;160:13,20,22;
164:13,20;165:19;169:3,
8,12,16;170:1;173:5,18,

23,24;175:15,18,19,21,

22;176:14;177:22;
178:1;179:14;180:22,
23;183:23;184:2,5;
188:14,25;189:3;
190:24;191:7;198:24;
199:7;200:9,11
officers (2)
51:10;149:8
offices (2)
167:17;191:12
official (3)
137:19;165:2;178:7
officially (1)
172:7
officials (1)
164:25
Often (1)
8:7
old (5)
20:9;89:8;108:1;
157:5;163:3
older (2)
120:18;173:12
Olivas (2)
155:23;160:15
Oliver (1)
99:2
once (7)
8:5;19:23;56:20;
122:6;160:11;171:7;
200:4
oncologist (2)
166:22,23
oncologists (1)
168:9
one (93)
8:3;9:13;12:19;14:7;

191:8,18;193:22,25;
197:2,23;198:20,25;
199:20
ones (8)
31:4;57:16;77:9;
96:19;99:23;100:16;
165:25;197:20
one's (1)
97:12
ongoing (2)
53:8;68:11
only (52)
8:3;16:13;29:7,8;
33:20;35:2;39:12,13;
41:17;42:22;43:3;47:8,

13;51:7;52:16;54:10;
57:5;66:22;68:11;70:7;
87:5;94:23;96:8;102:21;

104:24;105:2;106:13;
109:14;116:4;135:9,13;
137:25;140:22;141:11;

147:2,25;156:10,25;
162:11,15;163:10,16;

167:7;172:10;174:9;
177:17,19;179:24;181:8,

10;182:17;185:7
oOo- (1)
200:24
open (29)
16:23;20:20;26:16;
43:25;44:10,24;45:3;
46:18;49:9;50:20,21,21;

70:7,8;71:23;76:25;
110:13;116:16,19;
122:5;125:23;165:2;
174:10,11;191:19;
192:11;193:8;195:21;

197:21
opened (2)
194:19;199:14
Opening (1)
26:6
openings (1)
15:7;17:14;22:11;30:20;
40:9
34:22;35:2,14;39:1; operate (8)
41:4,13;48:21;49:20;
11:15;18:3;21:25;
51:3;60:2,22;61:12;
28:10;86:22,22;111:7;
63:4;70:25;73:10;77:17;
199:14
80:13;86:5,6,7;89:6; operated (7)
93:10,10;96:5,7;100:9;
29:24;57:2,4,5,17;
106:6;108:7;111:20;
58:4;122:8
116:4;117:22,25;
operates (4)
126:19;128:13;131:21;
10:2,5;86:23;111:10
132:21;133:5,17;134:13, Operating (5)
22;139:5;141:20;147:2,
26:3;34:8;117:11;
7,9;149:7,8;150:8,22;
167:15;199:14
151:12,19;152:25;
operation (2)
153:11;154:6;162:1,4,5,
112:16;122:12
8;163:6,7,17,20;166:1; operational (1)
168:4,8;173:25;175:16;
114:10
178:10;181:1;182:24; operations (3)
183:23;184:10;186:4;
20:14;62:7;163:15
188:6;189:13;190:25; operator (1)

Min-U-Script

24:21
opinion (2)
47:22;153:5
opponents (1)
113:1
opportunities (4)

185:1
123:12;126:15;131:1;
otherwise (1)
133:13;150:24;152:21;
144:2
153:4;159:2,12,24;
ours (1)
163:7,14;164:24;165:6;
140:14
168:11;180:24;181:12;
ourselves (2)
186:15;187:8
90:17;103:14;140:8,9
75:2,9
overall (2)
opportunity (14)
out (62)
28:8;145:7
33:15;44:3,7;48:16;
12:16;16:16;17:12; overburden (1)
63:24;70:12;73:1;
31:9;35:17,23;36:22;
42:21
103:17;142:7;144:17,
41:18;45:16;54:25;57:4, overburdened (1)
25;151:6;178:25;188:17
4,17;59:2,9,22;73:17;
118:18
oppose (1)
76:21,22;77:2;86:1; overcrowded (4)
107:13
93:17;94:21;95:5,5;
83:21;109:15;118:21;
opposed (2)
97:15,19,19;98:11,14,
176:25
77:20;92:15
19;100:23;107:19;
overflow (1)
opposing (1)
112:25;113:1;115:7;
176:25
78:1
118:1;124:2;133:15,23; overriding (1)
opposition (3)
134:23;135:18;136:2;
114:8
64:7;77:23;200:1
138:25;147:6,7;150:18; overseeing (3)
opted (1)
154:11;157:12,12;
100:12;101:5,6
37:10
158:18;163:14,17,22; oversight (5)
option (13)
166:8;168:11;171:1;
132:24;187:8;192:10;
14:7;15:1,1;22:10;
175:23,25;179:9;
195:6;198:15
43:4;50:15;51:14;78:23;
190:15;200:12
oversights (1)
177:17,19,20,21;180:25 outbid (1)
195:6
options (6)
178:15
overwhelmed (1)
12:2,6;49:2,8;125:1; outcome (2)
105:3
139:20
163:24;168:2
overwhelming (1)
oranges (1)
outcomes (4)
77:4
59:6
60:24,25;196:13,15 overwhelmingly (1)
order (5)
out-of-network (1)
65:6
19:1;59:6;83:6;117:9;
56:15
owe (2)
134:18
out-of-town (1)
48:25;49:4
ordered (1)
67:25
own (11)
41:16
Outpatient (1)
41:15;46:3;99:13,13;
Ordinarily (1)
10:6
100:24;114:5;129:6;
12:9
outpatients (1)
147:1;167:15;182:13;
organization (11)
42:19
200:4
31:24;55:11;62:6;
outrageous (1)
owned (8)
64:1;99:18,19;100:10;
172:25
24:20;69:4;122:8;
138:16;140:9;181:8; outrageously (1)
124:2;146:22;147:2;
183:16
30:22
154:10;174:16
organizations (4)
outreach (3)
owner (6)
28:20;31:11,16;72:10
28:19;83:3;102:20
102:7,9;106:12,13,14;
organize (2)
outside (2)
110:11
67:23;68:1
91:21;180:23
ownership (5)
organized (1)
outsource (3)
11:24;24:5;69:1;
7:14
22:9;78:22;79:1
103:15;111:18
organizer (1)
outsourced (1)
owning (1)
66:4
180:20
167:15
originally (1)
outsourcing (2)
owns (5)
166:15
78:23;180:25
10:1;24:12;77:13;
ortho (1)
over (54)
111:10;144:22
170:14
8:11;16:8,8;21:12,13;
OSHBID (1)
25:14;26:24;29:4;36:5;
P
57:18
40:25;43:6;46:11,11;
OSHWA (1)
52:13,14;59:25;60:16; packages (1)
194:23
69:1,7;70:21,23;71:3;
64:21
Others (10)
75:6;77:24;83:9;85:3; page (1)
57:11;58:19;96:21;
88:8;90:23;93:14;
136:2
131:10;139:2;144:9;
100:15;101:21,22;
paged (1)
150:7;151:13;162:22;
102:18;113:5;122:13;
41:9
Barkley Court Reporters

(22) officers - paged

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


pages (1)
82:11
paid (14)
33:7;53:4,6;60:11;
84:15,17;89:24;99:13;
121:18;155:8;156:18;
170:24;188:10,10
panicked (1)
79:13
paper (7)
62:25;93:23;94:7;
100:22;105:9;165:2;
181:15
papers (1)
73:12
Paradise (3)
58:1;141:1;198:16
paragraph (1)
154:17
paramedic (3)
86:23;89:2;157:23
paramedics (4)
86:25;157:4,6,25
pardon (2)
148:11;149:17
parents (4)
16:15;46:8;91:19,20
parking (1)
98:17
part (12)
26:12;48:8;49:6;

passion (3)
110:3;167:19;192:7
passionate (1)
167:2
past (12)
24:18;25:11;26:2;

107:16;109:15;132:16;

23;53:22;56:14,20;

136:5,24;138:16;
139:12;145:6;188:2
participate (2)
135:25;196:2
participated (1)
33:20
participating (1)
32:20
particular (7)
30:20;51:11;52:20;
115:9;116:10;145:2;
151:4
particularly (8)
28:12;64:21;69:6;
89:21;148:3;150:7;
155:4;175:9
parties (7)
19:25;33:1,5,13;43:5;
147:24;195:24
partnership (3)
89:13,19;103:21
party (1)
120:23
PASILLAS (4)
165:21,22,23;169:5
Pass (2)
28:24;118:20
passed (1)
53:5
passes (1)
22:12
Min-U-Script

29:4;48:11;76:6;82:12;
88:8,17;134:6;148:13;

199:22
pastor (3)
199:6,8,10
Pat (7)
169:9,13,14,14,18;
170:3;173:7
patient (22)
21:7,17;28:7;29:11;
31:17;41:6;46:20;47:19;
56:19;67:13;68:5;86:25;
87:1;92:17;99:4;109:18,
19;133:18;154:8;157:2;

168:2;173:8
patients (97)
9:4;16:5,6;17:3,6,7;
18:6,17;21:5,8,14,20;
22:5,18;28:8,11,24;
29:10;31:3;33:9,10;
35:22;36:3,4,5,8,12,13,
18;39:2,5,13;40:18,23;
41:4,14,21,24;42:10,17;
43:7;44:2,6,15,19;45:3,
4;46:5;47:10;50:17,22,

178:18;181:25;182:1
34:16,16
pays (3)
perform (1)
35:21;56:24;57:19
141:6
peaceful (1)
performance (2)
67:4
123:17;147:9
pediatric (4)
performed (1)
11:17;16:1;17:2;112:2
126:13
pediatrician (1)
performing (1)
23:18
122:24
pediatrics (2)
Perhaps (3)
21:2;27:7
137:14;145:2;186:4
PELLEY (15)
peril (1)
19:5,6,9,10,11;70:5;
109:12
71:19;72:18,25;78:4; period (8)
131:20;136:3;160:1,3;
10:15;104:24;106:1;
180:18
146:25;147:9;150:11;
penalize (1)
154:5;186:3
122:16
periodical (1)
pending (1)
153:1
154:18
Permanente (2)
people (85)
156:24,25
8:4;9:22;14:8,25;15:2; permission (1)
17:11;20:4;35:7;47:11,
157:13
17;51:6,11;53:9;54:4, permits (1)
10;57:20;61:10;75:12;
132:21
84:9,22;86:11;87:19; perpetuity (1)
98:5;112:5;114:1,2,12,
132:15
15,15;115:22,22;116:3, person (7)
3,17;118:23;121:2,9;
52:2;106:6,15;157:17;
122:1,23,25;123:1,4,7,8,
175:5,17;190:25
12,12,23,24;127:10; personal (10)
129:16;130:3;132:1,17;
10:18;38:1;80:5;

107:22
philosophies (1)
175:11
philosophy (2)
174:21,23
phlebotomus (2)
170:3,4
phone (7)
14:11;78:14;94:2;
98:17;180:21;183:22;

184:3
PHS (32)
143:24;144:16;145:1,
4,4,6,7,8,12,14;146:10,
11,12,12,16,17;147:4,5,
14;148:4,12,13,14,23,25,

25;149:2;150:5,12,15,

24,25
PHSF (7)
7:13;24:19,23,24;
25:3;27:22;104:22
PHS's (1)
143:22
physical (2)
170:20,22
physically (1)
192:5
physician (14)
28:8;38:3;41:18;
43:17,20;48:10;50:4;
133:20;134:8,9;167:17;

19;126:12,22,23,25;

193:22;194:2;196:1
physicians (25)
151:15;155:8;157:18,
161:15;165:5;177:11;
16:8;27:16;39:15;
21;158:25;159:5,14,20,
183:7
42:14;43:22;44:17;
24;160:8;162:21;
personally (7)
45:25;46:12;50:16;58:8;
165:10,17,24;170:25;
110:9;121:2;141:13;
69:2;77:5;167:19,25;

127:1,15,21,23;128:1;
129:14;154:11;167:20;

171:4,16;172:6,11,13,

145:20;166:17;183:6;

169:1;170:9;193:20,24,

15;173:2;175:12;176:3;

199:16
personnel (1)
37:22
perspective (1)
30:24
persuasion (2)
200:5,6
pertain (1)
18:12
Peter (6)
130:13;142:10,11,12,
13,14
Petty (4)
152:7,8,9,10
PHAGUDA (4)
43:14,15,16;184:11
P-H-A-G-U-D-A (1)
43:16
pharmaceuticals (1)
21:15
phenomenal (1)
158:12
Phil (4)

25;194:3,7,13;195:13,

57:10;58:6,9,11;59:20;
60:1,23;62:12,19;64:12;

93:7;96:4;103:23;
110:12;112:11;118:19,

168:24;170:18;171:6,7,

17;172:8;173:9,10;
183:20;184:12,13;
196:8;199:11
patients' (2)
60:25;183:9
Patricia (4)
90:13,14,15,16
Patrick (1)
19:12
patrolmen (1)
51:10
pattern (2)
61:25;151:14
Paul (6)
160:16,17,24,25;
161:1,1
pay (7)
35:21;53:5;56:15;
67:25;158:4;186:6;
193:18
payer-mix (1)
134:22
payment (3)

144:9;150:14,16,17,20;

116:18;156:21;158:14;

177:6;183:5;192:20
peoples (1)
87:18
people's (3)
85:1,20;99:10
per (9)
16:4,7;57:21;60:11;
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197:11
percent (39)
21:6;24:20;56:23;
57:23,24,25;58:1,1,2;
61:3,4;81:15,21;87:17;

95:17;105:7,8,10;
112:10;117:21,22;127:3,
6;128:9,11;135:8,10,13;

138:15,17,18;146:21;
147:12;150:13,16,24;

151:1;183:4;192:2
percentage (1)
189:19
per-diem (1)
172:22
perfect (2)

14,16
physician's (3)
37:17,17;167:23
pick (2)
78:14;133:8
picture (2)
139:10;158:10
pictures (7)
94:12,13,17,18,19;
95:8,12
piece (3)
50:10;100:21;181:14
pieces (1)
133:8
place (7)
45:20;47:12;83:20;
86:6;91:19;116:17,20

placed (2)
132:13;141:13
placement (1)
90:25
places (3)
13:4;15:9;72:21;76:17
90:25;135:16;189:24
philanthropist (1)
plan (14)

Barkley Court Reporters

(23) pages - plan

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


16:22,23;17:5;21:4;
52:11,12;53:16;78:22;
126:23;150:19;151:23;
168:25;175:3;198:5
planning (3)
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plans (7)
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126:24;127:13;129:14;
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plant (3)
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play (1)
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played (1)
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player (1)
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pleading (1)
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please (20)
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position (4)

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positions (1)
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positive (5)
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168:1;177:2
possibility (2)
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possible (9)
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61:8;75:10;129:5,8;
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possibly (4)
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108:4
post (2)
75:8,8
posted (1)
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potential (10)
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pleased (1)
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plus (1)
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PM (2)
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podium (4)
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point (16)
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41:3;76:21,22;112:25;
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pointed (5)
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136:1;138:25
pointing (1)
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points (2)
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Police (4)
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policy (1)
15:11
political (2)
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poor (3)
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poorest (1)
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Poors (1)
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population (10)
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Min-U-Script

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86:22;114:4;133:1;
32:5,9,11,15,19,22,25;
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34:6;37:19;38:12;40:25; problems (9)
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81:11;105:4;106:19;
22:22;23:7,13;24:4,16,

18;25:17;29:2,2,7,21,24;
30:5,9,21;31:9,11,21,23;

123:22;145:10;152:13;

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premises (1)
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prepared (14)
8:6,8;9:16;12:15;
55:25;74:3;80:4,24;
113:19;117:4;137:5;
142:17;161:3;172:4
preparing (1)
7:19
Presbyterian (1)
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present (5)
67:9;94:13;131:13;
139:25;198:9
presentation (2)
13:18,18
presentations (1)
7:17
110:11;128:14;181:22 presented (4)
potentially (4)
40:10;66:12;148:7;
41:1;42:22,23;43:5
149:5
pounds (2)
preserve (1)
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103:17
power (4)
president (14)
157:5;158:7;200:5,6
13:5;48:11;72:9;83:8;
powerless (1)
104:5,18;114:19;115:12,
145:23
15;119:14;145:13;
PPO (2)
161:7;191:7;200:4
92:21;99:13
Press (4)
PPOs (5)
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42:3;51:3,17;183:17;
174:18
184:15
pressure (1)
practical (1)
79:10
36:15
pretty (3)
practice (15)
85:13;102:1;170:13
31:4;38:17;40:18;
prevail (1)
41:19;42:17;44:24;
67:15
45:20;46:3;48:13;50:4; prevent (2)
150:5;151:3,14;193:24;
96:21;136:14
194:5
prevents (1)
practiced (1)
32:19
45:2
previous (4)
practices (5)
70:11;95:14;191:25;
56:8;66:3,13,17;134:8
195:18
practicing (3)
previously (4)
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53:12;74:1;76:3,7
prefer (1)
price (9)
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10:25;129:11;136:7;
prefers (1)
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44:25
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pregnant (1)
prices (1)
165:7
47:21
Prem (37)
primarily (2)
23:17;24:3,3;25:15;
25:25;83:19
44:5;50:6;82:12;83:4; Prime (177)
84:15,16,23;88:21;
7:13;15:13;19:18,19;
90:23;92:1,23;97:10;
20:17,22,25;21:2,10,16;

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114:9;115:25;116:15;
20;56:1,16;57:3,3,5,9,
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17;58:4,6,9,10,20,24; procedure (2)
59:5,14,17,19,21;60:10,
9:24;22:15
23,25;61:4,15,20,21,25; procedures (3)

62:5;63:12;64:8,25;

42:19;46:21;165:11

65:7,11,24;66:2;67:6,9, proceeding (2)


15,20,21;68:1,3,8,15,25;
76:14;178:14
69:4,6;70:13,18;72:20, proceedings (3)

22;73:8,19,24;75:22;

72:16;174:18;185:11

76:2,18,23;77:11;78:2; process (11)


79:11,14,21;81:2;82:3,
33:19;51:18;117:8;
13,13;89:14;92:15,20;
164:3;191:10,13,20;
93:3;96:2;100:1;102:10;

103:8,11,12,13,19;
104:21;106:1,2;107:6,9,

9;111:3,15;113:3,4;
123:8;125:2,6,21;
136:13;140:20;141:3;
143:18,18;144:18,19;
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22;170:8;172:15,17,19;
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18;197:2;198:12,12;
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Prime-Healthcare-Services-owned (1)

64:4
Prime-owned (1)
62:1
Prime's (7)
56:8,9;61:18,23;62:6,

24;64:20
principal (1)
140:20
prior (5)
14:8;135:4;136:13;
150:11;180:11
private (7)
40:22;42:3;46:19;
50:4;94:17;162:10,12

private-practice (1)
43:19
privilege (2)
39:10;48:10
privileges (4)
27:16,17;41:6,12
PRO (3)
84:3,4;105:6
probably (16)
42:15;59:1;73:10;

192:24,25;196:4,25
processes (1)
133:10
produce (2)
88:10;116:7
produced (1)
88:14
products (1)
102:5
profession (1)
115:23
professional (3)
158:15;199:15,19
Professionals (5)
63:23;64:2,12;90:11;
123:5
professor (1)
130:21
profit (11)
24:6;46:20;56:18;
98:9;105:15;110:12;
132:22;147:8;174:8;
179:23;194:25
profitable (2)
92:25;94:6
profits (2)
62:13;64:25
proforma (1)
153:21
profound (1)
108:4
program (21)
28:23;88:6,9,13;89:1,
16,19,20,21,22,23,23;
90:8,8;91:17;114:22,22;

121:14;135:25;182:1;

190:14
programs (5)
26:9;28:19;88:24;
89:3;116:1
94:6;119:24;120:17,18; promise (2)
162:12,13,15,16,17;
125:22;181:5
163:13,22;165:8;181:6 promised (1)
problem (13)
139:17

Barkley Court Reporters

(24) planning - promised

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


promises (2)
141:8;181:3
promote (1)
83:16
prompted (1)
41:11
pronounce (1)
155:5
proof (2)
168:3,12
propaganda (1)
31:9
proper (3)
148:19;154:24;164:8
properly (3)
78:11;147:16;154:15
property (2)
10:18,18
proposed (16)
7:10;10:11,12;12:10;

25:24
put (26)
30:23;31:9;37:16;
29:12;30:2;71:24;73:13;
43:4;44:14;61:20,21;
83:5;91:19;113:10;
66:19;73:21;75:14;
143:2;146:23;153:1;
84:21,25;86:2;91:10;
154:25
95:23;97:21;109:11;
provider (2)
113:1;118:1;120:18;
166:4;186:15
122:12;129:9;136:22;
providers (1)
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88:11
puts (2)
provides (8)
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17:4;21:4;26:4;34:10; putting (2)
53:14;90:5;103:14;
37:19;97:11
111:22
P-values (1)
providing (9)
189:18
17:1;25:22;29:3,21, pyramids (1)
22;33:8;47:9;83:11;
139:2
179:3
provisions (2)
Q
13:1,8;23:9;64:7,10,20,
10:16;44:14
23;69:10;105:15;136:7; prudence (1)
qualified (3)
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48:22
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pros (2)
psychiatric (1)
qualifying (2)
161:23,24
80:9
60:9;82:2
prosecute (1)
Public (32)
quality (16)
66:10
7:12;8:14,20;12:8;
29:3,21;34:10;61:5;
prosecutions (1)
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68:5;82:17;91:6;102:19;
131:4
21;56:2;57:7;62:9,10,13,
109:1;118:24;125:12;
prosecutor (1)
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166:24;196:11,17,19;
137:18
68:15;111:8;131:19;
197:5
prosed (1)
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68:17
14;148:20;149:24;
28:17
prospective (1)
164:25;166:4;194:22; quantity (1)
54:22
200:14
42:16
protect (2)
public's (1)
quarantined (2)
20:4;62:12
149:6
86:2,3
protected (1)
publish (1)
quarter (2)
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104:17
92:18,19
protection (3)
published (1)
quasi-prepared (1)
17:22;20:13;131:3
65:21
54:18
protects (2)
pull (1)
Quest (1)
20:22;56:13
46:25
79:1
protesting (1)
purchase (20)
quick (4)
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10:17,25;20:18;23:10;
51:23;107:2;155:16;
proud (3)
55:15,21;68:11;71:17,
175:24
107:5;158:21;166:24
18;82:8;90:9;96:3;
quickly (7)
proudly (1)
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8:9;14:13;35:22;
200:4
139:18;165:14;199:24;
70:14;74:1;136:14;
prove (1)
200:1,8
177:14
95:20
purchased (2)
quite (4)
proved (1)
81:1;155:10
37:6;153:6;169:20;
198:17
Purchaser (3)
170:15
proven (3)
18:9;128:15;139:14 quote (8)
102:10;112:22;198:13 purchasing (2)
133:16;146:21;148:7;
provide (31)
92:15;106:16
149:18;154:2;180:6,7;
8:6;11:16,18;20:25; purports (1)
200:4
26:25;29:1,13,25;35:18;
152:12
quoted (1)
50:16,25;51:16;82:6,16; purpose (2)
135:6
88:25;102:20;109:5;
7:9;59:13
115:6;118:15;140:9,15; purposes (2)
R
143:11;156:13;168:18;
7:15;81:17
178:17,23;179:5;
pursue (1)
radiation (1)
Min-U-Script

194:20;196:13,16;198:5

provided (14)
11:12;25:17;27:2;

166:23
Radino (1)
149:21
raise (1)
160:9
raised (4)

really (36)
14:13,22;19:23;36:22;
37:12;44:10;60:24;61:6;

79:12;80:13;86:14;
90:25;91:10,17,21;93:6;

9:13;37:5;54:22;159:5

raising (1)
73:6
RAKESH (3)
48:1,2,3
R-A-K-E-S-H (1)
48:3
Ranch (1)
26:6
range (7)
12:6;15:24;110:18;
113:16,18,19,22
ranked (7)
29:5,8,9,14,17,19;
199:20
rate (11)
32:4;42:11,12;46:20;
57:23;69:15;85:15;

116:6;119:18;123:15;
126:16;127:9;129:12;
135:14;144:13;148:25;

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168:15;171:1;172:8;
176:6;177:1;183:10;
188:25;195:15
realm (1)
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re-approached (1)
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reason (16)
33:25;46:13;56:25;
61:8;69:3;73:24;75:19;
82:17;86:20;87:14,14;
141:24;159:22;191:23;

195:5,14
reasonable (5)

17:23;30:6,14;44:9,11
87:17;105:10;112:14; reasonably (1)

117:21
55:17
rates (22)
reasons (6)
30:6,13;31:7,21,23;
46:1;56:7;74:15;93:8;
32:5,8,9;33:7;42:20;
103:9;135:20
44:9,13;56:22;57:1,15; reassure (2)
128:4;129:5,7;130:8;
195:11;196:11
135:1,2;138:25
Rebecca (6)
Rather (6)
119:10;124:6,7,10,11,
24:8;37:23,23;64:24;
12
68:9;110:11
rebuild (1)
rating (1)
160:8
61:9
recall (1)
ratio (1)
11:13
112:4
receivable (1)
ratios (1)
10:20
139:2
receive (8)
reaccreditation (1)
7:9;16:15;27:21;
89:6
28:25;89:9;108:25;
reached (3)
151:16;195:10
53:18,19;64:19
received (8)
read (4)
26:2;29:4;166:17,19,
56:5;100:8;124:14;
25;168:8,9;200:15
153:25
receiving (1)
reading (3)
27:11
8:8;109:24;117:3
recent (7)
readjusted (1)
18:2;69:9;70:3;89:11;
185:15
133:5;135:17;145:25
ready (2)
recently (7)
34:6;137:8
55:13;57:8;89:5;
real (12)
145:15,22;151:12;
10:17;72:12;84:24;
166:19
87:21;98:23;104:18; recess (2)
105:17;112:7;122:21;
52:1;101:12
149:25;165:5;180:19 recession (1)
reality (2)
117:19
138:9,10
recognize (1)
realizes (1)
27:14
40:6
recognized (1)

Barkley Court Reporters

(25) promises - recognized

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


82:14
recognizes (1)
83:3
recognizing (3)
29:5;106:18;148:12
recommend (1)
18:24
recommendation (1)
37:16
recommendations (6)
18:10,12;19:1;50:19;
53:11;89:7
recommended (1)
81:15
recommends (1)
179:12
record (20)
7:21;8:2,3,19,20;

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reductions (2)
135:1;138:24
refer (2)
150:7;186:5
reference (1)
14:16
referenced (1)
147:4
references (1)
174:16
referred (3)
22:1;56:9;182:17
referring (1)
135:22
reflects (1)
39:11
refundable (1)
21:11;24:1;45:14;47:15;
105:21
73:9;76:15;77:12;
refuse (1)
101:14;102:10;103:12;
180:6
141:7;153:3;156:18; refused (5)
180:4;190:1
65:22;67:8;93:16;
records (4)
99:3,8
31:17;95:22,25;
refuses (2)
194:22
56:12;99:4
recruit (1)
refusing (1)
197:12
100:4
red (3)
regard (3)
22:8;78:5;79:10
15:16;21:19;193:11
Reddy (92)
regarding (12)
23:17,18;24:3;25:10,
23:9;27:12;29:2;30:4,
14,15,16;34:23;38:2;
12;31:14,22;40:10;
44:5;45:8,8,11,12,12,15,

109:19;113:3;146:16;

15,24;46:8;47:3;50:6;

187:10

170:13,19,21
reimbursement (4)
135:1,2;138:25;
181:24
reimbursements (1)
154:9
reinstatement (1)
66:24
reiterate (3)
51:2;91:8,9
rejected (3)
34:4;65:13;151:9
rejection (1)
151:7
related (2)
30:19;81:6
relates (1)
129:20
Relations (3)
65:12;66:15;166:4
relationship (13)
52:23;53:1,7;81:7;
88:18;90:3,6;115:8;

82:12;83:4;84:15,16,23; regardless (3)


86:20;87:9,15,19;88:25;
33:11;53:6;162:21
89:9;90:23;92:23;97:10; region (3)

100:2;101:2;106:3,4,4,

10,21,25;107:4,15;
109:8,13;111:10,17;
115:9,10;120:15,24;
121:7,16,19,25;123:22;
133:25;140:20;141:20;

145:10,12,20;148:14;
152:13;153:13;154:3,18,

20;155:9;161:11,16;

105:11;106:7;118:11
Regional (5)
57:24;80:11;118:17,
22;161:7
region's (1)
112:10
registered (11)
64:3;65:10;68:23;
88:11,14,16;89:5,7;91:7;

170:7;174:2,17;176:22;
108:18;189:9
178:21;179:2,23;187:5; registries (1)
191:2,3,5,6;192:5,14,24;
197:10
193:2,7;194:17;196:24 regular (2)

R-E-D-D-Y (1)
191:6
Reddy's (13)
24:4;44:24;55:14;
70:19,20;88:21;92:1;
107:1,16;116:11;
145:23;178:13;187:5
redouble (1)
116:7
reduce (2)
60:19;198:2
reduction (1)
Min-U-Script

94:19;97:21
regularly (1)
29:25
regulation (1)
147:22
regulations (5)
139:4;141:14;143:6;
147:17;191:12
regulatory (6)
134:1;138:24;186:2,
10;193:11;195:6
rehab (3)

140:19
remodeling (1)
89:1
remove (1)
67:7
removed (1)
94:20
removes (1)
92:25
render (1)
143:8
renders (1)
51:5
renew (1)
41:12
renewed (1)
183:15
renovate (1)
53:3
repair (1)
134:25
repeat (2)
133:20;154:1
143:17;148:4;161:16; replace (1)
187:5,10
89:7
relationships (1)
replacements (1)
148:16
68:4
relative (1)
Report (40)
124:18
12:14,24,25;13:6,7;
relatives (1)
42:13;50:8,11;52:19;
85:4
53:12;62:21,22;71:14;
released (1)
72:23;76:17;104:17;
139:9
128:8,13;133:5,16;
reliable (1)
134:23;135:7;136:2;
124:24
139:9;142:17;143:11,
relied (1)
15;145:5;146:5,13,13,
31:15
15,19;149:15;151:4;
relief (2)
154:16;164:6;187:20;
66:18,23
189:5,25
rely (4)
reported (1)
61:9;113:9;118:14;
61:13
124:20
reporter (12)
remain (3)
7:19,20,23,25;8:2,3,7;
14:9,19;112:15
14:22;23:4;34:14;35:10;
remaining (1)
126:3
134:14
reporter's (1)
remains (1)
109:25
103:16
Reporting (1)
remark (3)
8:13
73:7;184:7,8
reports (5)
remarks (8)
93:19;189:7;190:3;
54:19;55:9,25;73:3;
194:23;195:8
80:5,24;113:19;161:3 represent (7)
remediation (1)
30:25;31:2;88:5;
66:25
108:23;152:14;158:16;
remedy (2)
178:7
66:18,22
representation (4)
Remember (7)
65:6;67:4;68:1;130:2
31:3;33:4,9;63:7;
representative (6)
104:14;124:6;136:9
13:19;65:14;67:17;
remind (1)
110:22;124:13;185:5
116:3
Representatives (5)
remiss (1)
7:16;15:19;67:7,8;

Barkley Court Reporters

181:9
represented (1)
64:14
representing (4)
80:7;112:17;126:16,
17
represents (3)
64:2;112:10;190:9
Republicans (1)
63:3
reputation (3)
82:15;88:9;109:17
request (7)
8:12;10:10;44:1;45:1;

51:13;79:19;143:7
requested (2)
141:12;185:22
requesting (1)
168:24
require (4)
51:14;106:22;137:25;

195:6
required (11)
12:5;17:25;28:1;
106:20;136:18;143:1;
145:10;146:2;149:21;

190:20;191:15
requirement (4)
37:18;51:15;132:14;
149:9
requirements (3)
37:7,25;71:16
requires (4)
55:1,1;66:23;147:18
requiring (1)
56:14
res (1)
136:11
rescued (1)
125:2
research (1)
200:2
researcher (1)
54:16
reservations (1)
50:12
residences (1)
166:14
resident (8)
105:25;156:11;161:5;

166:7;174:4;175:2;
176:17;199:4
Residential (2)
80:3;81:3
residents (15)
26:4;39:6;81:16,18,
19,24;82:7;83:15,19;
111:9;112:2;113:8;
124:23;167:22;168:25

resolve (1)
74:22
resolved (3)
186:2,5,10

(26) recognizes - resolved

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


resources (4)
38:5;67:13;102:22;
197:7
respect (7)
12:13;30:16;74:19;
146:4;148:2;154:17;
195:13
respectable (1)
49:9
respected (1)
77:25
respectfully (3)
78:4;79:9,19
respects (1)
73:17
respiratory (1)
89:2
respond (2)
193:10;195:10
response (3)
31:22;67:4;179:25
responsibility (6)
49:3;114:17;115:2;
146:7;193:7;197:25
responsible (1)
109:7
rest (1)
120:5
restrictions (2)
45:4;141:14
result (3)
60:19;118:23;181:11
resulted (1)
188:7
resulting (2)
118:18;187:22
results (1)
15:19
retain (2)
11:8;197:25
retained (1)
15:12
retire (2)
19:16;160:1
retired (4)
23:19;105:1;166:9,9
return (3)
98:16;106:17,22
returned (1)
131:22
reveal (1)
145:6
revealed (1)
148:10
Revenue (3)
7:16;20:11;51:21
review (6)
11:23;31:25;79:20;
144:17;147:22;190:11
reviewed (6)
15:16;31:16;140:25;
141:5;144:24;190:16
reviewing (3)
Min-U-Script

9:25;135:7;146:8
revocation (2)
180:7,16
revoke (1)
21:25
revoking (1)
22:4
reward (1)
62:17
rheumatologist (1)
37:4
rich (3)
98:5;100:15;103:17
RICHARDS (6)
188:15,16,18,18;
189:2,4
R-I-C-H-A-R-D-S (1)
188:19
richly (1)
48:25
ridiculous (2)
79:15;163:18
right (37)
7:18;8:9,12,15,16,22;

151:19;154:6,11;171:21,

23;173:3;192:21
rooms (2)
39:4;56:15
roots (1)
130:23
round (1)
69:9
rounds (1)
134:17
Routers (1)
199:21
rug (1)
139:24
Ruh (2)
23:21,23
ruin (1)
96:25
ruled (1)
144:25
rules (1)
7:22
run (14)

9:19;36:11;37:21;42:8;

45:16;46:4;59:3;61:5;

62:2;67:8,25;69:19;
74:17;93:10,12;101:11;

107:17,17;119:7;
123:10;142:5;155:5;
170:21;171:1,20;
175:20;191:22;193:14;

196:2,15,25
rise (1)
146:1
risk (6)
61:10;73:16;76:10;
87:6;129:9;186:24
risks (1)
125:14
risky (1)
165:12
Riverside (1)
61:13
RN (2)
65:1;66:4
RNs (4)
64:14,21,22;65:4
road (1)
68:13
R-O-D-I-E (1)
156:8
Rodino (2)
149:19;182:18
role (3)
9:25;26:1;197:16
room (32)
9:19;15:22;38:18;
41:5;46:18;50:24;56:10,

19;58:12;59:24;70:20;
93:12;94:1,19,21;95:6,7;
97:21;114:7;120:17,18;

134:10;150:13,14,20;

79:12
salaries (1)
11:14
sale (56)
10:11,12,16;19:18;
20:19;21:22;22:21;
26:10,12;27:16,17;28:2;

32:16;34:4;55:4;56:2;
62:10;63:15;64:7,10;
67:19;68:17;70:9,16;
72:1;78:2;82:4;96:21;
112:19;113:5,6;130:7;
131:15;132:13;133:12;

135:20,21;139:8,11;
140:6;159:21,25;160:7;

174:7;176:22;177:18;

178:11,15;179:12;
181:1;182:15;185:17;
186:23;188:4,13;197:2

sales (4)
17:15,16,25;67:6
Sam (3)
54:15;161:2,2
16:14;36:11,11;40:24; same (21)
80:9;81:3;86:8,10;
11:14;13:13;18:18;
92:16;112:22;114:5;
27:1,17;29:12;33:6;
121:13;145:6;154:13
34:3;51:17;58:19;60:8;
Runner (2)
76:3;82:18;109:12;
110:22;113:11
116:16;159:18;174:14;
running (3)
177:3;182:19;193:16;
17:9;35:18;37:9
195:16
runs (2)
sample (1)
16:5;196:5
57:8
rushed (1)
San (16)
63:11
16:17;23:22;27:25;
RUSS (9)
28:21;67:10;108:20;
84:3,4,4;105:7;
117:20;119:6;129:23;
160:16;161:1,2;162:20,
131:1;142:2;152:21;
20
154:4;157:24;164:25;
R-U-S-S (1)
172:21
161:2
Sanders (1)
RYAN (5)
108:12
69:23,24,25;104:15; Sarrao (9)
138:11
22:24,25;23:1,2,5,13;
34:15,18;145:13
S
S-A-R-R-A-O (1)
23:5
sat (4)
SABO (6)
134:7,18;137:1;
38:9,10,11;39:21;
152:11
52:5;99:2
save (5)
S-A-B-O (1)
22:20;97:12;98:22,24;
38:11
100:19
saddens (1)
saved (1)
195:15
29:10
sadness (1)
saving (1)
85:20
192:20
safe (2)
saw (4)
199:15,15
37:14;134:19;135:8;
Safety (3)
170:9
90:21;109:19;189:25
saying (5)
sake (1)
60:23;96:13;151:18;
181:14
158:24;172:2
sakes (1)

Barkley Court Reporters

SB90 (1)
182:2
scale (1)
140:8
scarce (1)
125:1
scary (2)
165:9;167:1
scene (1)
170:5
scenes (1)
194:10
sceptical (1)
163:25
schedule (1)
13:10
scheduled (1)
89:9
scheme (1)
62:25
scholarships (7)
25:22,24;26:2;83:12;
89:18;106:9;121:17
school (18)
51:9;84:12,14;88:21;
89:4,9;92:1;115:2,6,10;
116:8,14;130:21;166:10,

11;171:1;176:19;177:2

schools (2)
28:20;84:18
SCHWARTZ (5)
178:2,3,4,6;181:19
S-C-H-W-A-R-T-Z (1)
178:6
Science (1)
88:22
sciences (2)
83:14;92:1
Sciences/Public (1)
90:21
SCIU (5)
153:7;163:2;164:1;
190:6,8
scores (2)
28:16;61:8
Scott (3)
149:19,21;182:17
screenings (1)
26:9
Scripps (3)
95:9,12;99:7
scrutiny (1)
140:24
seat (1)
7:5
second (7)
41:1;55:8;66:2;72:24;

95:8;149:5;183:23
Secondly (1)
143:21
secret (1)
152:20
secretary (2)

(27) resources - secretary

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


23:6;145:13
secret-ballot (1)
65:4
Section (8)
7:16;10:8;143:5;
145:9,18;147:17,19;
149:17
sector (3)
102:4;162:10,13
security (5)
95:6;98:11,14;100:24;
161:8
seeing (2)
60:20;197:3
seek (5)
25:5;28:13;33:10;
130:8;181:13
seem (2)
36:5;58:12
seems (8)
37:21;54:5;70:11;
122:15;125:22;165:1;
174:19;177:20
sees (1)
16:4
SEIU (4)
31:9,20;32:2,3
SEIU's (2)
31:13;32:5
SEIU-UHW (6)
30:20,25;31:2,15,18;
32:11
SEIU-UHW's (2)
31:6,22
selected (3)
105:15;133:7;191:20
self (1)
35:21
self-dealing (3)
146:3,10;147:19
sell (8)
72:19,22;73:8;76:18;
100:17;158:24;159:16;

160:7
Seller (9)
7:11;13:19;54:22;
75:10,21;146:4;149:17;

164:5;183:10
sellers (1)
7:17
Selling (6)
68:14;73:11;109:7,12;
174:17,19
semi-retired (1)
80:11
Senator (3)
110:22;112:17;113:11
send (6)
36:6;96:4;127:15,24;
129:14;165:7
sends (1)
108:8
senior (11)
Min-U-Script

26:6;31:20;50:7;61:3;
77:25;127:23;156:12,

20;104:21;106:2;107:6, sheets (2)

14;157:8;158:17;161:7

112:2;113:3,4,9;118:15;

seniors (15)
26:7;39:7;56:24;58:1,
2,2;62:16;80:12;81:5;
119:1;156:13;158:15,

18;159:14;168:4
sense (4)
60:6;77:14;140:17;
199:19
sent (2)
14:10;58:12
separate (3)
25:15;46:2;139:18
separated (1)
46:2
sepsis (1)
31:7
September (10)

9,10;109:5;111:3,16;
124:22;126:13;129:10,
17,22;130:3;140:9,15,
16;142:22;143:18,19,20;

144:18,19;150:21;
151:16;166:17;177:10;
180:5,13;181:8;183:15;
186:7,14;187:6;188:11;

191:8;194:1
serving (6)
18:5;115:12,14;
119:14;121:9;122:23
set (9)
8:14;30:15;31:20;
71:16;74:9;95:8;101:4;

149:8;167:16
Seth (2)
78:14;181:4
19:16,17;21:23;38:19; setting (1)
52:24,25;55:1;64:17;
62:4
138:11;182:3
settle (1)
Septicemia (7)
45:20
56:22,22;57:2,8,9;
settlement (1)
61:2;195:25
188:10
seq (1)
seven (15)
10:8
85:23,23;86:3;93:11,
sergeant (1)
13,21,22;97:13;98:16;
67:7
100:25;162:14;185:7;
series (5)
186:22;187:15;199:22
153:3,3,13,24;154:8 several (18)
serious (5)
30:8,23;32:8;50:6;
50:12;54:24;56:21;
51:1,3,9;69:2;71:20;
62:9;142:5
77:22;81:25;93:22;
seriously (4)
122:7,11;133:10,15;
47:24;50:14;137:16;
153:5;189:6
138:8
severe (8)
serve (10)
57:12,15,20,23;59:20;
22:18;23:2,6;25:6,7;
60:5;97:17;117:17
38:21;52:17;53:23; severely (3)
121:1;195:20
91:3;102:4;176:23
served (8)
severity (2)
13:3;52:21;64:22;
59:4,15
83:8;102:17;118:11; shaking (1)
122:6;133:5
120:1
serves (2)
shall (1)
52:13;198:22
149:10
service (10)
Shapiro (2)
9:4;41:15;53:17;
78:14;181:6
54:16;102:4,4;112:5; Shapiro's (1)
122:25;142:22;151:25
181:4
Services (93)
share (1)
7:13;9:9;11:17;12:12;
35:20
13:2;15:13,15,25;16:1, shared (1)
16;17:1,2,2,4,8,12;
174:21
18:11,13;19:18;20:25; Sharon (3)
21:2,16,24;23:7,14;24:5,
110:22;113:11;155:21
16,18;25:17;27:6,6,7,18; Shasta (1)

57:23
55:10;61:15;64:8;67:21; sheet (5)
68:8;81:2,5;82:3,13;
14:1;15:1,3;175:25;
83:7;102:20;103:8,13,
200:13
34:6;42:12;53:13,14;

9:16;54:11
Sherman (2)
141:1;198:16
Sherry (7)
160:17,22;164:14,17,
18,22,22
Shield (3)
51:4;176:21,22
shift (2)
35:4;101:22
shipped (1)
99:7
shocked (2)
80:6,14
short (15)
14:23;49:20;58:22;

175:25;200:12
Sikes (5)
113:17;116:25;117:1,

2;119:8
silenced (1)
110:7
silent (1)
139:23
similar (4)
31:21;128:18,25;
130:9
similarly (4)
11:12;67:21;128:19;
129:3
simple (2)
93:10;183:16
simply (10)
59:1,2,15;97:17;104:24;
20:14;30:16;31:15;
129:24;134:18;152:17;
75:5;119:2;135:14;
154:17;176:3;180:1,2

shortage (1)
16:12
shortly (3)
66:2;74:20;185:19
shot (1)
102:15
show (4)
95:13;104:16;150:13;

151:14
showing (2)
98:7;139:9
shown (2)
41:4;179:2
shows (2)
21:19;58:15
shuffled (1)
35:22
shuffling (1)
154:11
shut (4)
70:5;71:19,21;78:19
sick (5)
58:7;61:6;63:5;157:2;

165:10
sicker (1)
60:24
side (1)
60:5
sidestep (1)
171:25
sign (1)
127:11
signed (4)
13:21;27:22;119:4;
152:7
significant (9)
12:9,13;89:15;135:19;
151:15,22;178:24;179:4,

10
significantly (3)
60:23;69:11,15
sign-up (5)
9:16;14:1;54:11;

Barkley Court Reporters

136:11;150:17;181:14;

182:24
simulation (1)
89:10
Sincerely (1)
113:11
single (5)
30:25;31:2;139:19;
193:3;194:12
sister (8)
97:6,13;98:9,15,21;
100:21,24;188:22
sisters (1)
99:23
sister's (3)
97:22;98:12;99:12
sit (6)
74:16;100:7,21;
101:19;193:2,16
sitting (1)
193:18
situated (3)
11:13;128:19;129:3
situation (6)
75:4;76:20;79:9;
82:19;131:14;197:11
situations (1)
132:21
six (10)
33:23;57:1;58:3;
74:22;96:10;120:6,8;
157:7;159:17;178:19
six-day (1)
66:10
six-month (1)
186:3
skill (1)
69:14
skilled (3)
38:25;80:9;88:10
slander (1)
30:21
slim (1)
120:8
(28) secret-ballot - slim

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


slow (1)
22:3,22;66:14;69:17
109:22
sooner (1)
slower (2)
75:19
65:16;110:4
sorry (19)
slowly (1)
46:7,13,23;87:25;
56:4
88:2,7;89:12;109:23;
SLYNGSTAD (6)
119:16;120:13;123:9;
179:16,17,18;183:25;
169:16;171:11;173:4,
184:4,6
23;176:11;183:24;
S-L-Y-N-G-S-T-A-D (1)
184:2;199:7
179:19
sort (2)
small (1)
116:2;122:19
15:25
sought (2)
smile (2)
66:17,22
185:7,7
soul (1)
Smith (4)
164:6
101:14,16,17,18
sounds (2)
S-M-I-T-H (1)
96:16;177:5
101:18
source (1)
smooth (1)
118:2
78:19
Southern (3)
sniff (1)
31:19;64:3;129:4
170:11
Spanish (2)
Social (2)
9:11,17
81:5;105:4
Spanish-language (1)
society (2)
9:8
37:13;48:12
Spanish-speaking (1)
sold (1)
9:6
177:19
speak (32)
sole (2)
8:1,9;9:18,22;13:6;
91:5;145:11
14:9;30:11;35:2,8;
solely (1)
47:10;63:25;70:23;80:7,
118:14
25;90:17;113:21;
solution (2)
114:21;141:19;142:7;
18:7;79:8
153:18;156:19,20;
solve (1)
158:19;159:23;161:4,
87:10
17;175:25;179:24;
somebody (7)
181:9;188:17;198:11;
14:20;97:17,25;99:25;
200:12
121:18;124:2;154:1 speaker (5)
somebody's (2)
7:25;8:4;153:18;
100:4,23
186:4;198:25
somehow (3)
speaker's (1)
35:25;75:3,12
135:4
someone (14)
speaking (2)
96:18;122:17;134:7,
7:24;23:8
15;141:24;152:12;
speaks (3)

speed (1)
160:17
spell (13)
7:24;23:3;35:9;45:13,
16;48:3;92:11;104:7;
156:5;160:24;164:20,

21;173:25
spelled (4)
40:1;142:14;161:2;
179:18
spend (4)
26:24;28:9;161:9;
173:1
spent (8)
67:13;68:7;75:5;80:8,
17;85:17;120:5;164:4

spoke (10)
44:8;49:12;99:2;
156:3;159:12;170:6;
180:9;182:14;183:20;

184:11
spoken (4)

Min-U-Script

S-P-E-A-R-S (1)
83:2
special (5)
9:1;18:3;115:25;
130:18;131:1
Specialists (3)
12:15;13:5;142:18
specialized (1)
59:10
specifically (3)
35:24;147:20;180:3
speculate (1)
78:24

7:8;15:17;18:4;24:10;

109:18;110:6;173:10;

32:4,8;51:9;53:5;57:16;

183:5
58:3;77:11;81:4;91:4;
spongily (1)
93:19;112:6,17;117:23;
53:11
124:13;142:1;164:4;
sported (1)
190:18,19,19,22;194:15;
75:5
195:20
St (26)
stated (12)
16:12,19,21;18:17;
32:18;42:14;50:18;
36:6,14;37:10;42:21;
55:17;69:10;92:23;93:4;
47:6;71:9,9;108:20;
144:2;179:24;183:20;
109:14;127:18,18,19;
185:20;200:4
129:6;131:20;135:12; statement (8)
157:3,7;167:8;176:24;
8:8;44:10;131:24;
183:3;185:2;194:6
154:10;155:7;169:4;
stable (4)
181:4;185:21
103:12;118:2;125:15; statements (6)
157:15
21:9;32:17;133:22;
staff (31)
182:10,11;186:19
11:9;16:8;22:19;
States (8)
27:10,15;35:16;38:11,
15;39:9,10;67:22;68:2;
77:4,10,20;78:1;82:10;

88:25;90:3,4;96:23;
109:4;134:12;139:2;
164:4;193:23,23;197:8,

154:10;161:18;171:19,
136:12;147:25;180:18
9,12;199:17
20;185:7;187:14;192:4; Spears (5)
staffs (1)
196:21
79:24;82:23,25;83:1,2
115:4

someplace (1)
115:19
something's (1)
121:4
sometime (2)
133:9;173:15
sometimes (3)
81:24;116:5;123:19
son (1)
155:6
son-in-law's (1)
157:23
soon (4)

60:10,12;99:16;139:8 staying (1)

standards (2)
39:12;106:21
standing (2)
11:10;167:14
standpoint (2)
106:24,25
stands (3)
24:24;84:23;191:11
star (2)
84:23,24
start (8)
28:3;35:4;45:10;
51:24;84:10;86:7;
160:17;197:3
started (7)
7:5;45:17,25;52:25;
96:11;150:23;185:14
starting (2)
13:24;38:19
State (26)

stalking-horse (1)
178:14
stamp (1)
105:10
stand (14)
24:6;33:2,13;55:20;
104:20;105:5,6;126:9;

154:3;155:3;194:11;
195:14;196:23;198:17

stand-alone (7)
138:7,13,14,20,22;
139:5,10
standard (4)

114:6
stays (12)
49:9;58:21,22;59:1,2,

15;60:9,19,20,21;
174:10;191:19
steeped (1)
141:2
step (2)
140:23;165:15
stepped (2)
91:18;136:14
steps (2)
136:18,21
Steve (1)
124:13
STEVEN (4)
178:2,3,3,6
S-T-E-V-E-N (1)
178:7
stick (1)
189:1
sticking (1)
179:3
still (16)
20:23;40:14;71:12;
75:11;91:25;95:11;
130:19;134:8;170:12;
183:3;184:17;185:17;
186:10,12;188:3;192:3

stipend (1)
89:24
stipulation (2)
43:4;130:5
stone (1)
80:18
stood (2)
158:23;193:13
stop (2)
96:20;193:6
story (2)
34:2;51:6;57:2;58:16;
61:19;158:14
59:18;67:2;138:19; straight (1)
146:20
72:14
stating (1)
straightened (1)
67:8
147:6
statisticians (1)
straightforward (1)
189:14
182:24
statistics (6)
stress (1)
31:15;40:20;122:3;
44:17
146:16;189:12,25
strict (1)
status (1)
195:7
180:19
strolls (1)
statute (2)
98:1
11:22;146:1
strong (6)
stay (19)
53:8;62:5;77:9;108:8;
43:25;44:21;50:21;
139:13;167:21
57:21;60:21;69:16,18; strongly (4)
70:7,8;80:20;87:1,3;
51:2;64:9;68:16;91:10
95:6;110:13;116:16,19; Strow (2)
122:5;157:14;174:11
53:18;128:5
stayed (3)
struck (1)
67:11;85:23;168:17
153:24

Barkley Court Reporters

(29) slow - struck

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


struggle (1)
105:2
struggled (3)
17:20;83:6;138:5
stuck (3)
82:11;155:7;178:22
student (5)
88:18;89:18,22,22,23
students (12)
25:23;26:1,2;83:12;
89:15,19,20;91:15;

suffers (1)
117:20
sufficient (2)
73:16;143:2
suffocate (2)
98:15;100:25
suggest (2)
110:8;152:22
suggests (1)
146:17
suitor (1)
114:21;115:17;116:14,
139:19
21
SUMAN (3)
studies (2)
37:1,2,2
41:15;172:20
S-U-M-A-N (1)
study (2)
37:3
29:6,10
summary (2)
studying (1)
13:15;18:21
120:5
super (1)
stuff (1)
176:3
163:2
Superior (3)
style (1)
67:10;132:11;154:4
84:8
Supervising (1)
subject (3)
130:25
32:12;180:16;181:22 Supervisor (4)
subjects (1)
117:3,4,5;131:1
73:3
Supervisors (1)
submission (1)
119:5
182:21
supplemental (2)
submit (3)
181:25;182:1
32:23;99:20;153:2
support (34)
submitted (3)
25:18;31:13;32:1;
19:25;99:14;126:12
38:12;43:18,20;53:11,
subsection (1)
21;77:4,5,9;83:13;89:8,
143:5
15,15,17;90:1,22;91:5,5,
subsequent (1)
10,11,14;92:2;102:16;
20:12
111:19;117:6;125:13,
subsidiary (1)
18;133:12,20;199:23;
24:22
200:3,7
substantial (3)
supported (4)
20:10;25:18;188:7
43:23;53:2;91:15;
substantially (11)
126:15
11:10;22:2;26:20;
supporter (2)
68:10;149:12,13;
66:25;126:10
161:23;182:11,12;
supporting (1)
184:25;198:1
83:11
success (6)
supportive (1)
25:12;103:12;122:17,
184:22
17;167:21;193:4
supports (2)
successful (10)
90:8;179:12
75:24;77:7;122:21,23, suppose (1)
24,25;125:5;174:3;
153:8
197:17,17
supposed (5)
successfully (1)
55:6;77:18;105:19;
112:22
137:14;159:19
suffer (3)
sure (29)
71:5;118:4;119:2
9:18;23:5;34:13;43:9;
suffered (2)
44:5;65:17;78:11;92:9;
81:5;96:10
94:15;101:7;108:3;
suffering (2)
122:14;128:10;153:25;
96:21;112:12
155:5;164:7;175:4;
suffering's (1)
177:1;183:25;191:10;
96:11
192:10,12,21;193:8,12;
Min-U-Script

195:3,9,23;197:20
surgeons (3)
170:14,17,17
surgeries (2)
59:8;170:10
Surgery (4)
48:6,13;166:20;
177:15
surgical (5)
42:19;47:10;111:23;
170:10,18
surprised (2)
78:23;85:19
surrounding (1)
64:13
surveillance (1)
66:6
surveyed (2)
31:11;89:5
survival (3)
53:10;95:17;120:8
survive (3)
17:20;56:24;139:5
survivor (2)
161:18;166:25
suspect (1)
120:18
sustain (1)
20:11
SUZANNE (5)
188:15,16,18;189:2,4
S-U-Z-A-N-N-E (1)
188:18
sworn (1)
56:10
synergy (1)
140:17
system (18)
26:23;29:6,7,8;56:25;
58:18;59:22;62:11,15,
19;71:10;81:22;139:13;

151:6;158:20;167:3,5;

196:17
systems (5)
58:15;59:1,18;60:8;
131:17
system's (1)
81:16

87:11;98:6;121:14;
127:2;134:23;135:5
talking (13)
42:1;57:22;60:15;

Terry (1)
130:21
test (5)
48:22;93:10,11,12,13
97:8;114:12,13,13,14, testify (2)
15;115:22;127:9;177:6;
14:6,6
197:24
testimony (4)
Tate (6)
56:11;152:11;154:25;
69:22;72:4;79:23,25;
155:4
80:1,2
tests (2)
T-A-T-E (1)
21:15;171:24
80:2
thankful (4)
tax-exempt (1)
89:14;120:13;121:20,
62:24
20
taxpayer (1)
thanks (2)
190:23
19:21;65:18
taxpayers (3)
THAWKER (3)
59:25;62:16;63:3
37:1,2,3
teacher (2)
T-H-A-W-K-E-R (1)
130:21;176:19
37:3
teachers (2)
Theirs (2)
51:9;176:20
140:14;157:2
team (2)
then-George (1)
106:10;136:24
166:8
technical (1)
theories (1)
12:7
162:8
technician (1)
therapists (1)
170:4
170:22
technology (2)
therapy (2)
11:2,5
89:2;170:20
ted (1)
thereby (1)
62:21
68:4
telephone (2)
Therefore (1)
8:24;94:9
168:24
telling (1)
thereof (1)
133:22
154:14
tells (1)
thinking (2)
58:6
106:9;120:21
TEM (3)
third (4)
84:3,4;105:6
47:22;62:3;66:15;
temporary (1)
143:23
18:7
tho- (1)
ten (7)
129:19
29:8,9;31:11;101:11; Thomas (12)
136:10;163:16;190:15

tend (3)
8:9;77:15;149:13
Tennison (5)

68:20;69:21;72:7,8,9;

136:11,25;137:17;
152:18;181:1;185:19;

186:4

119:10;124:6,10,11,12 T-H-O-M-A-S (1)

T
table (8)
40:9,13;73:21;75:2,
15;102:14;152:20;155:2

talk (21)
8:5;46:24;50:8;65:16;
72:13;73:4;86:13;99:17,

23;115:21;120:19;
129:16;147:22,23;
162:25;169:21;180:2;
193:25;194:11;195:15,

T-E-N-N-I-S-O-N (1)
124:12
tenure (1)
104:25
term (1)
45:19
terminated (2)
66:24;193:22
termination (1)
66:4
terms (8)
17:3;26:10;28:12;

23
talked (6)
Barkley Court Reporters

72:9
Thompson (1)
61:9
Thompsons (1)
199:21
thorough (1)
189:8
Thorson (2)
23:21,23
though (4)
36:4;58:6;122:17;
194:20
128:18;129:2;186:14; thought (6)
197:4,5
72:18;73:6;85:18;
(30) struggle - thought

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


132:24;134:3;137:11
thousand (3)
81:16,18;112:5
thousands (6)
57:21;67:23;87:2;
91:16;96:15;123:13
threaten (1)
186:17
threatened (1)
66:7
threats (1)
66:5
three (35)
12:2;25:5;26:24;37:9;
39:4;46:5;53:4;54:7,9;
55:13;80:17,17,20,23;
94:23;95:10;102:18;
103:10;110:10;112:8;
133:19;135:20;143:16,
22;147:3;149:6;152:15;
156:23;159:17;174:5,13,
24;175:11;184:9;190:12

three-person (1)
25:4
throat (5)
94:22;95:2,23;97:22;
98:13
throughout (9)
64:3;67:14;88:11;
89:13;161:20,25;
174:18;185:10,13
throw (3)
97:25;98:14;163:22
thrown (4)
98:11,18;100:23;
193:10
Thursday (2)
99:7;157:10
Thurston (4)
101:14,16,17,18
tied (1)
110:7
times (12)
29:15;47:18;48:21;
86:24;114:5;123:17;
125:9;129:15;162:14;
169:20;189:5;196:15
tip (1)
61:17
tired (3)
159:9,9;160:4
today (60)
7:7;8:19,25;9:7,22;
13:16;14:8,12;15:8;
23:8;33:2,14;35:8;52:3;
63:25;64:6;70:23;77:22;

88:12;90:17;93:5;97:6;
99:3;114:9;120:11,22;

121:15;122:16;126:9,
16;131:14;133:3;
134:20;135:20;138:17;
151:21;152:11,13,17;
153:1,8,20;155:1,9;

Min-U-Script

156:19;159:12;161:3, transaction (68)


120:1
22;162:5;164:9;166:6;
7:10;9:25;10:12;12:8, tremendous (3)

167:15;172:6,11;
177:16;178:16;180:10;

181:23;194:16;198:3
today's (6)
7:9,20;8:13,20;9:3;
200:20
together (3)
21:6;108:7;159:14
token (1)
116:16
told (11)
22:7;41:8;78:12;
93:22;95:1,6;99:15;
120:7;157:25;158:9;
177:18
tolerate (1)
123:17
tomorrow (1)
200:16
ton (1)
75:5
tonight (5)
104:20;108:2;161:23;

15:25;24:22

10,23;13:1,9;15:17;
55:22;103:11;173:13
17:15,16,25;18:15,23, trespass (1)
25;20:16,22;33:24,25;
67:9
UC (1)
73:19,25;74:10,19,25; tried (2)
98:24
75:4,7,24;76:9,12;
103:19;131:21;136:13,

19;142:4,16,20,24;
143:4,13;144:13;146:9;

147:21;149:12,22;
151:17;153:12;154:24;

178:22;179:3,22;
180:11;181:2,21;182:6,

6,9,25;185:9,19,21;
186:8,23;187:8,15;
188:4;191:9,25;198:9

transactions (3)
132:15;140:25;144:18

transcribes (1)
14:22
transcript (1)
7:19
transfer (11)
10:13;11:23;93:16,21;

94:4;136:14
trip (2)
152:17;172:1
true (3)
109:9;121:3;135:11
truly (3)
85:12;91:14;199:18
trust (7)
62:9;63:8,9,10,11;
165:1;187:7
trustee (2)
115:14;138:10
truth (1)
139:21
try (14)
36:2,12,18;54:6,9,19;
78:10;123:11;133:7;

uh (8)
43:23;46:19;71:25;
73:9,18;78:25;170:5;
175:4
ultimate (1)
106:13
ultimately (1)
107:8
um (15)
48:20;59:9,9;156:23,
24;157:6,13;166:13;
170:5,9,24;171:4,4;
172:2;174:24
un- (1)
95:4
UNAC (1)
52:6
136:21;156:21;180:23; UNAC/UHCP (5)
185:17;187:20
64:1,14;65:7,13,22
trying (16)
UNAC/UHCP's (2)
22:10;51:18;55:7;
64:7;67:4
61:16;75:6,7;94:1;
unacceptable (2)
100:19;106:8;109:25;
70:6;71:22
134:5;172:3;185:8; unanimous (2)
187:4;194:17;197:12
65:24;174:11
Tucker (1)
uncertainty (1)
50:6
125:10
turmoil (1)
uncompensated (1)
46:10
192:2
turn (1)
under (27)
82:15
7:15;10:8,14;20:13;
turned (2)
21:23;26:10;28:1;42:10;
56:17;125:5
56:25;61:8;77:11;79:1;
turning (1)
106:2;109:8;128:13;
102:11
139:24;140:24;145:10,
Twelve (1)
18;146:1,16;147:11;
109:3
149:7;150:14;165:2;
twice (1)
181:25;186:6
117:23
under-bedded (1)
two (50)
20:6
8:4,11,21;16:13;
underinsured (1)
21:13;22:11;24:12;25:4;
118:13
31:10;33:20;51:14; underlying (1)
52:13;58:22;60:13,16;
66:19
61:25;62:2;68:12;70:15; underserved (3)
71:1;72:10;80:19,23;
83:23;118:10;126:21
81:18;83:21;85:7;94:19; understands (4)

176:7;200:19
94:5;95:10;98:23;99:3,
took (7)
5;100:4;132:22
69:1,7;74:22;93:12; transferee (1)
95:12;136:10;163:13
147:23
top (20)
transferred (2)
29:8,9,15,17,19;57:4;
94:25;166:8
58:3;111:13;114:24,24; transition (2)
121:22;123:1,3,7,12;
78:19;191:10
162:22;196:17,19;
transitioned (1)
197:6;199:21
78:11
top-ten (1)
translate (1)
29:6
161:25
totally (3)
translator (2)
37:20;92:13,14
9:7,8
touched (1)
translator's (1)
150:2
9:9
tough (3)
trash (1)
48:21;84:19,19
193:10
town (4)
travel (2)
46:17;47:7;122:3;
28:24;118:20
124:2
travesty (1)
track (4)
40:4
24:1;47:15;102:10; Travis (1)
103:11
9:1
tract (1)
treasurer (1)
57:11
23:6
trade (2)
treasury (1)
115:20;162:9
145:14
tradition (1)
treat (1)
96:8;111:10,21;119:21;
102:9;106:15;192:11;
141:2
22:5
120:13;133:17;143:22;
193:13
train (1)
treated (3)
144:21;146:20,22,24,24, undisputed (2)
90:10
43:7;58:11;100:9
25;147:2;148:17,18;
74:18,18
trained (1)
treating (2)
149:6;153:11;157:22; undue (1)
162:9
41:17;47:4
174:5,13,23;198:15
83:20
training (1)
treatment (6)
type (6)
unemployment (8)
115:18
10:4;93:18;120:10;
52:16;81:23;100:10;
20:23;87:16,17;105:5;
trains (1)
166:20,22;168:8
101:5;106:20,22
112:14;117:21;122:2;
123:23
trembling (1)
typical (2)
125:9
Barkley Court Reporters

(31) thousand - unemployment

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


unfair (5)
30:16;66:3,13,16;
76:20
unfair-labor-practice (2)

66:21;67:1
unfortunate (3)
105:12,24;116:6
unfortunately (9)
44:21;80:16;85:3;
105:19,20;112:3;
122:16;161:19;188:8
UNIDENTIFIED (4)
155:17;160:19,21;
177:25
uninformed (1)
182:11
uninsured (3)
17:6;18:6;118:13
unintelligible (7)
36:8;46:5;84:2;
105:14;124:8;147:19;
155:13
unintentionally (1)
145:3
union (8)
30:20;54:17;63:3,22;
66:24;67:8;80:7;200:3
unionized (1)
85:16
unions (1)
107:16
unit (6)
16:2;108:19;170:11;
171:19,20;189:11
United (11)
34:2;51:5,6;54:17;

up (106)
5,17;23:12,19;33:2,13;

52:6,7,24;54:4;55:9;

126:5;130:13;142:9,
10
174:4,5;175:7,8;177:12; Victor (260)
178:8;179:19;181:17;
7:11,14;9:5;10:1,5,9,
182:8,12,20;183:2,2,7;
20,23;11:6,9;12:23;
17,21;167:7,8,13,23;
168:10;169:2;172:21;

123:11

58:13,20;59:21;60:15; V-A-L (1)


62:4;72:5;74:4;78:14;
119:13
84:12,13;85:4;86:19; Valerie (8)
87:17;91:24;94:17,22;
175:22;176:2,5,8,9,10,

184:9,18;185:3,4;186:5;
187:11,12,12,23;188:5;
191:10,22;193:13,15,18;

95:2,23;97:23;98:13,20,
194:1,5,6,8;195:15,17;
10,15
21;101:5;104:1;105:21; V-A-L-E-R-I-E-J-O-H-N-S-O-N (1)
197:8,19,20;198:16;
114:6,9;127:11;129:18;
199:9,17,20,24;200:8
176:11
132:18;133:2,8;134:15; Valley (328)
Valley's (6)
146:21;150:10;151:10;
26:20;27:11;28:16;
7:11,14;9:5;10:1,5,9,

152:7;153:18;154:7;

20,23;11:6,9;12:23;

155:23;158:8;161:4,8,
10;162:17,19;163:3,5,9,

18;164:8,16;165:15;
166:5,10,11,14;167:5,
16,24;170:21;173:10;
174:24;176:7;177:3,10,
24;183:11;185:15,16,24;

186:10,17,23;188:3;
191:11;194:13;195:14;

196:4
upgrade (1)
20:11
upon (8)
12:3;30:21;76:7;
142:23;144:25;146:18;

180:19;186:7
urge (6)
64:9;68:16;72:1;
112:18;135:20;188:13

15:14,23;16:3,5,10,13,

19,25;17:7,10,13,19;
18:2,20;19:7,14,19;20:3,

8;21:11,16;23:10,22;
24:4,7,19,23,25;25:1,3,
21;26:13,15,17,22;27:2,

9,15,22,22;28:4,22;
29:14;30:7,13,15,17;
31:1,2,12;32:16,24;33:7,
10,12,15,18,22,22;34:5,
7;35:16,25;36:1,3,6,13;

37:10;38:12,13,15,18,
20;39:1,9;40:21,24;41:6,
20;43:22;44:19;45:3,23,
23;46:10,13,16;47:3,14;

48:6;51:8;52:18;53:1,
14;55:5,12,15,21;56:1;
58:1,3;61:17,23,24;64:5,

10;65:4,21;67:20,22;
68:3,14;71:5,7,11,25;
72:10,11,15;73:14,17;
74:14,21,24;78:1;80:3,3,

17;81:1,2,7,8,13,23;
82:1,5,6,9,10,18;83:4,10,

17;85:9,22;86:8,16,16;
87:21;88:5,8,13,15,17,
19;89:12,14,16;90:2,3,7,

9,18;91:17;94:1,4,20;
95:11;96:3;97:7;101:20,

24;102:8,12,16,17;
103:6,7,10,16,20;
104:25;105:1;106:11,12,

14,19;107:7,14,22,24;
108:9;109:16,19;110:12,
13;111:2,5,16,22;112:3,

7,9,18,19;113:7,9,23;
114:4,20;115:2;116:11;
117:9,12,24;118:12,15;
119:15;120:16;121:12,

21;122:4,7,13;124:13,
17,18,20,23,25;125:17,

21;126:11,15;127:3,4;
128:23;129:18;130:3,4;
131:11,16;134:12;138:8,
23;139:11;140:11,12,23;

141:1;142:15;154:20;
155:2;156:16,19;157:3,

95:3

162:18;165:6,7;166:12, Vicky (4)

34:23;35:1,6,6,25;36:13, Val (6)


17;38:17,21;41:4;47:21;
119:9,11,12,12;120:3;

urinary (1)
57:2;58:15;59:18;63:22;
57:11
67:2;108:22;138:19 urine (1)
units (2)
100:24
69:14;131:2
Use (6)
unlawfully (1)
7:20;14:14;121:18;
65:22
200:5,5,6
Unless (5)
used (10)
9:23;43:4;145:20;
7:23;15:3;59:12;62:7;
181:24;182:1
86:16;88:25;114:3;
unlike (2)
165:3;171:6,11
31:14;136:13
uses (1)
unquote (2)
81:17
180:7,8
ushered (1)
unreasonable (1)
95:5
44:13
Using (3)
unreasonably (1)
142:23;151:6;187:18
180:6
usual (1)
unresolved (1)
56:15
138:24
usually (4)
unsecured (5)
36:18;87:14,14;
178:8,12,18,24;179:9
105:23
unselfish (1)
utilization (1)
21:19
41:21
unspecified (1)
utilize (1)
68:10
167:22
unsubstantiated (1)
21:10
Min-U-Script

10,19;158:2;159:4;

8:14,24;13:21;14:3,5,

107:24;111:21;196:21

15:14,23;16:3,4,10,25;
17:6,10,13,19;18:2,19;
19:7,13,19;20:3,8;21:11;

23:10;24:7,19,23,25;
25:1,3,20;26:13,15,17,
20,22;27:2,9,11,15,22,
22;28:4,16,22;30:12,15,
17;31:1;32:16,23;33:7,
10,12,15,18,21,22;34:4,
7;35:14,16;36:1,6,13;
38:9,10,11,13,15,18,20;

valuable (2)
51:16;82:16
value (1)
39:1;40:21;41:20;43:22;
96:6
44:18;45:2;46:10;47:3,
values (1)
13;48:6;50:2;51:8;
190:7
52:18;53:1,14;55:5,12,
variables (1)
15,21;56:1;61:16,23;
189:20
64:10;67:20,22;68:3,14;
various (9)
71:5,11,25;72:10,11,15;
15:16;30:10;46:1,9;
73:13,17;74:14,21,24;
48:7;127:13;178:16;
78:1;81:1,8,13;82:1,5,9,
179:21;182:10
10,18;83:17;86:16;
vast (3)
87:21;88:5,8,13,17;
50:10;51:10;150:17
89:16;90:1,7,9,18;91:17;
vendors (1)
96:3;101:24;102:8,12,
118:3
16,17;103:6,7,9,16,20;
venture (1)
104:25;105:1;106:11,12,
161:11
14,19;107:7,14,22,23,
Ver (1)
24;110:12,13;111:2,5,
99:1
20,21;112:3,7,9,18,19;
Verdugo (1)
113:6,8;114:20;115:2;
93:24
116:11;117:9,12,24;
verge (2)
118:11,15;119:14;
125:4;141:4
121:11,21;122:4,7,13;
verify (1)
124:12,16,18,20,23,25;
78:15
125:17,20;126:10,15;
Vernanda (1)
127:2;128:22;129:18;
166:23
130:4;131:11,16;
versus (1)
134:12;138:8,23;
76:23
139:11;140:23;142:15;
vested (3)
154:20;155:2;156:16,
33:1;163:23;195:24
19;158:2;159:4;162:18;
via (2)
166:12,17,21;167:8,13,
167:23;168:25
23;168:9;169:1;174:4,5;
viability (2)
175:7;176:19;177:11;
138:7,13
178:8;179:19;181:17;
viable (7)
182:8,12,20;183:2,7;
49:2,8;73:18;102:15;
184:9,18;185:3,4;186:4;
103:10,12;104:25
187:12,12,23;188:5;
vibrant (1)
191:10,22;193:13,15,18;
103:10
194:5,8;195:15,17;
vice (5)
196:21;197:8,19;
35:15;72:9;114:19;
199:24;200:8
115:15;161:7
VICTORVILLE (19)
Vice-Chairman (1)
7:1;10:4;26:4;64:6,13;
119:5
67:24;68:4;70:1,24;
Vickie (1)
71:2,10,25;83:2,9;96:8;

Barkley Court Reporters

(32) unfair - VICTORVILLE

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


120:16;143:20;167:14; VVCH (1)

weighed (1)
120:11
weighs (1)
120:12
74:1,5,11;178:15,20,25; weight (1)
179:7;181:1
80:23
WEISBERG (5)
W
54:13,14,14;56:6;
180:9
welcome (3)
wait (4)
70:2;84:5;125:17
28:7;80:22;155:24;
welfare (1)
157:9
105:10
waiting (4)
98:18;114:7;134:16; well-being (4)
38:5;83:16;109:7;
157:7
167:22
waiving (1)
49:17,22,23,23;50:1,1,
well-intentioned (1)
76:5
2
175:5
walker (1)
Villarosa (5)
wellness (1)
120:19
34:22;35:12,13,14;
26:6
walking (1)
36:21
well-respected (1)
170:21
violation (1)
19:7
walks (1)
62:9
well-run (1)
100:20
violations (4)
86:9
wall (1)
66:10,12;67:1;74:20
Wendi (4)
158:10
virtual (1)
7:7;15:21,23;72:8
wants (7)
175:6
wendihorwitz@dojcagov (1)
14:12;28:3;44:18;
virtually (1)
200:17
107:23;151:11,19;
73:15
weren't (5)
175:25
visionary (1)
13:17;53:3;137:5;
warns (1)
107:23
177:13;183:19
96:7
visit (4)
west (6)
Washington (2)
26:7;128:1;196:8;
29:8,16;54:17;57:25;
66:16;181:5
199:11
69:7;196:18
Watch (3)
visits (2)
59:23;104:16;153:2 western (1)
16:4;67:5
175:7
watching (1)
vital (3)
what's (5)
153:20
49:9;119:3;128:2
86:19;140:3;181:10;
way (25)
vitally (1)
192:23,23
14:16,17;40:24;41:19;
115:1
47:1;70:7;72:25;74:24; whatsoever (2)
vocal (1)
100:6;148:1
78:20;85:9;87:10,10;
110:10
91:22;93:7;106:8;116:1; whenever (2)
voice (5)
21:14;36:2
137:4;141:22;167:18;
64:6;173:10;199:23,
172:19;176:12;188:12; Whereas (2)
25;200:7
46:20;47:3
192:17;195:1;196:4
voiced (1)
whereby (1)
ways (1)
182:12
151:6
126:14
voices (1)
whole (5)
Website (7)
110:7
37:19,21;45:25;54:10;
12:17,19,20;13:13,13;
volume (1)
195:12
15:20;145:8
39:5
who's (9)
WEDNESDAY (2)
volunteer (1)
13:4;34:25;35:3;63:8;
7:1;158:9
199:9
66:4;74:17,17;130:22;
week (4)
volunteered (1)
196:3
105:8;119:24;181:25;
134:17
whose (2)
186:11
vote (3)
57:20;200:4
weekend (2)
67:22;145:21;191:22
widespread (2)
89:19;157:15
voted (2)
66:5;118:6
weekends (1)
65:6;139:8
wife (2)
196:8
vu (1)
85:5;114:6
weeks (2)
133:13
William (4)
180:14;185:25
vulnerable (2)
23:21;72:7,8,8
W-E-I (1)
52:15,21
willing (5)
54:15
176:17
VIDEOGRAPHER (1)
8:17
videotape (1)
8:13
view (4)
20:15;36:15;103:19;
183:8
viewed (1)
16:25
viewpoints (1)
153:23
views (2)
19:24;49:10
VIJAY (7)

Min-U-Script

72:15
VVHA (12)
72:13;73:1,12,14;

34:7;78:16;83:5;
125:14;191:16
winning (1)
178:17
win-win (1)
82:19
wiping (1)
179:9
wish (6)

25:10;77:2;106:4;
134:17;136:23;158:1;
159:3;166:13;167:9,13,

14;169:24;179:21;
189:10;192:22
worker (1)
173:7
Workers (4)
54:17;89:22,22;
39:14;48:15;84:24,24;
199:16
105:5;183:25
working (7)
wishes (2)
11:3;28:21;34:25;
67:22;145:24
39:10;68:2;90:2;167:4
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works (3)
95:21
13:22;35:3,5
within (6)
world (1)
39:19;62:1;112:5;
75:20
133:18;146:13;186:2 worried (1)
Without (24)
172:8
17:6,10,12,24;22:5; worries (3)
42:12;49:1;55:18;59:17;

113:20;170:25;176:14

68:1;71:1,17;91:4;
worry (1)
118:2;124:25;125:6;
173:5
129:11,13;135:21;
worrying (1)
144:6;145:9;150:21;
37:24
163:11;195:11
worse (1)
witnessed (3)
95:3
102:18;197:15;199:16 worst (1)
woefully (1)
177:20
20:6
worth (2)
woke (1)
92:23;94:12
158:8
write (2)
woman (3)
37:18;100:21
71:20;160:19,21
writing (6)
women (1)
94:2;117:6;169:6,6;
165:7
181:10,11
Women's (4)
written (2)
10:6,21;21:2;27:19
169:4;200:15
won (1)
wrong (2)
33:23
74:17;95:3
wonder (2)
wrote (2)
41:7;171:16
77:5;131:24
wondered (1)
wwwagcagov/charities/nonprofithosp (2)
180:15
12:21;13:14
wonderful (1)
48:14
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wondering (1)
192:23
X's (1)
word (8)
58:18
71:20;84:22;94:11;
97:16;188:21;193:9;
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194:9;199:19
words (1)
yard (1)
58:10
98:15
work (23)
year (28)
13:24;35:15;53:22;
16:4,5,7;17:22;20:13;
69:8;78:7,10;79:17;
26:1,2,5;29:11;33:8,19;
90:4;110:9;118:2;
53:4;64:20;68:13;69:16;
136:22;167:5;169:24;
81:9;89:4;113:25;
170:14;171:4,10;172:5;

192:14,15;193:1,3;
196:6;197:13
worked (15)

Barkley Court Reporters

114:25;133:14;136:21;

138:16;139:9;146:18;
181:12;184:10,13;195:4

years (78)

(33) VIDEOGRAPHER - years

PUBLIC HEARING PROCEEDINGS


August 17, 2011

Attorney General Public Meeting


17:20;20:9;21:12,13;
22:11;25:11,14;26:24;
27:21;29:4;37:5,6;38:2;

40:1;43:18;45:17,18;
46:1;48:13;50:5;59:13;
60:16;64:23;66:5;68:24;

69:12;70:21;71:20;
80:18;82:12;83:10;88:8,

17;89:13;90:20,20,23;
101:21,22;102:18;
108:18;109:3;120:15;
122:7,14;123:13;
126:15;128:18;134:24;
146:24,24,24,25;147:2,

3,7;156:23;157:5,22;
158:17;161:12,17;
164:24;168:8;169:23,
25;174:4;175:3,3;
176:18;179:20;183:18,
19;187:9;191:5;192:22;

194:4;199:22
yellow (1)
57:17
yesterday (3)
27:23;61:14;63:1
yield (1)
106:22
young (1)
115:22

Z
Zumbrunn (6)
169:10;173:19,20,22,
22;174:1
Z-U-M-B-R-U-N-N (1)
174:1

Min-U-Script

Barkley Court Reporters

(34) yellow - Z-U-M-B-R-U-N-N

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