Renown Shake-Up: Should Board Stepdown?

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Updated: 4/02/2013 11:25 pm
RENO, Nev. (KRNV & - Renown Medical Center is experiencing major fallout as the hospital's top four executives have all stepped down - effective immediately. This happens as the Hospital Board tries to shake off some major legal issues that have plagued Renown recently.

The health system board at Renown has been mum for several weeks, Tuesday they broke their silence - announcing the management changes. The board is not accepting any responsibility for the problems that taken place.

Board Chairman David Line told News 4 that in the case of the FTC investigation of Renown's acquisition of two local cardiology groups, Renowns' lawyers failed to inform the board the FTC had warned Renown against the acquisition.

When a group of local doctors claimed Renown had changed the terms of the contracts without telling them, Line again said he was never informed of that, even though the doctors told the board face to face what was happening. That case then went to court and Renown paid out nearly $5,000,000 in a settlement.

Line says he and the board are not to blame. The Fact Finder team asked Line: Given everything that happened have you considered stepping down. Lane told News 4, "At this point in time no. All of the board members are community based and we had the review committee come in, I told them to start looking at myself all the way on down."

The board has hired a new interim CEO and will conduct a search for a permanent replacement.

Jim Miller will continue to earn his full salary $916,000 for one full year even though hes no longer working for Renown.
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