In a short emergency meeting Monday, the Gov. Juan F. Luis Hospital Governing Board voted to reinstate Dr. Kendall Griffith as CEO. At the same time, Kye Walker resigned her position as board chair effective with the end of the meeting.
In 2011 the hospital’s governing board hired CEO Jeff Nelson, a specialist in turning around financially troubled hospitals, on a three-year contract, with the express intention of having him take unpopular measures to turn the hospital around.
When Nelson laid off 85 licensed vocational nurses and certified nurses aides with the goal of saving money and moving toward a registered nurse-based nursing staff, some hospital staff, along with local talk radio shows and Sen. Alicia "Chucky" Hansen, began demanding Nelson’s ouster.
Nelson resigned in January of this year, saying in his letter that he was asked to resign. The board then selected Griffith, a cardiologist who headed the V.I. Cardiac Center and had just been named the hospital’s chief operating officer, as interim CEO.
Meanwhile the financial situation at the hospital deteriorated further and Griffith laid off 24 more employees in April.
After several months with small profits last year, the hospital slid into ever-increasing cash shortfalls this year.
Griffith resigned July 7, citing the difficulty of maintaining his active medical practice while also managing the hospital.
“I knew that accepting the position of interim chief executive officer while also practicing as a physician would be a challenge," Griffith said in announcing his resignation.
On Thursday, Sens. Kenneth Gittens, Sammuel Sanes, Diane Capehart and Hansen visited Griffith at the hospital, and afterwards several of the senators said the Legislature would meet in session next week to address the situation with the hospital.
Hansen publicly stated she wanted all members of the board whose terms have expired to resign and Griffith reinstated.
Walker read a statement saying that the board had been warning of impending financial catastrophe at the hospital for several years, and if her resignation would result in the Legislature looking into addressing the problem and finding funding, she was happy to resign. Walker said she would no longer be chair as of the end of the meeting.
The board then passed a motion, from member Imelda Dizon, to formally reinstate Griffith.
