Responding to a request under the Freedom of Information Act, Clarendon Health System released for inspection its board’s recent performance evaluation of Chief Executive Officer Richard Stokes.
Stokes, 52, was given a two-year contract extension after the March evaluation, and Clarendon Health System board Chairwoman Elaine Emore said Stokes’ salary is $225,000 a year.
“Mr. Stokes does a phenomenal job,” she said. Stokes is responsible for what Elmore characterized as a “major turnaround” for the hospital in his first year as CEO.
“We’re very pleased,” Elmore said.
Both the CEO and board chairwoman said the entire Board of Trustees conducted the evaluation, though only Stokes and Elmore signed the March 24 document.
The five-page evaluation reviewed Friday by The Manning Times begins with a lengthy paragraph summarizing Stokes’ job. The next section involves a scoring system for the person being evaluated, allowing for three possible responses to 13 subjects under a headline reading, “Demonstrates competency in the following areas.” The scoring system provides three choices: Exceeds the standards; meets the standards; or needs improvement.
In only one area was Stokes evaluated as needing improvement: “Selects, employs, controls and discharges personnel and develops and maintains personnel policies and practices for the healthcare system.”
Elmore said the NI grade didn’t reflect the view of the board as a whole, and may have only represented one trustee’s feelings.
“It’s not the consensus of the entire board,” Elmore said, acknowledging the need for improving diversity in upper management at the company. Stokes said the board wants him “to be mindful” of diversification.
“And we generally have been,” he said. Of the 13 areas within the first section – see sidebar – Stokes totaled seven “Exceeds the standards” and five “Meets the standards” to go along with the one NI. Though the evaluation awards 2 points for E, 1 point for M, and no points for NI, no grade or total was noted in the overall evaluation.
Elmore said the evaluation, provided by the system’s human resources department, wasn’t “formatted correctly,” resulting in skewed numbers, even had Stokes received high marks in every area.
Stokes said the system is in the process of overhauling the evaluation process for all employees.
“Most managers don’t like this tool,” he said. “Me being one of them.”
The next area of the evaluation, under the headline of “Professional requirements,” has 15 benchmarks for which Stokes totaled five “Exceeds standards” and 10 “Meets the standards.”
Stokes took issue with the necessity – and the awarding of points – with this section, singling out two benchmarks: “Adheres to the dress code; appearance is neat and clean,” and “Wears identification while on duty.”
“Those are just common sense,” he said. “I mean, either you do it or you don’t. It’s kind of silly. How can you get points for that?”
A more reflective evaluation system has already been researched, he said, and will soon be implemented. It looks more closely at internal measures, like financial operations and the quality of care received by patients.
“We’ve already selected and have done our homework about replacing it,” Stokes said.
The next section of his evaluation contains five bullet points under the headline “Regulatory requirements,” and seems to note only two areas of concern – “Recent experience as administrator of an acute hospital preferred” and “FACHE preferred.”
Stokes was named CEO after spending nearly a decade as the Clarendon Health System chief financial officer. He replaced long-serving CEO Ed Frye, who was in the position for 24 years.
FACHE stands for Fellow of American College of Healthcare Executives – another accreditation for hospital administrators. Elmore said Stokes is “highly qualified,” and has FACHE accreditation.
Stokes, who said he has a master’s degree in healthcare administration, admitted he hasn’t taken the FACHE exam, but he noted he has received e-mails saying that he qualifies.
An entire page of the evaluation that examines the physical demands of the job – as well as the work environment – was left blank.
It has charts detailing time spent standing or sitting, and the ability to push, pull, kneel or crawl, for instance. The work environment section rates conditions for more physical or industrial skill-sets, such as working with caustic chemicals or being subject to loud noise.
The evaluation’s final page leaves blank the scoring and grading area, and also leaves blank the recommended goals and actions.
Elmore said the board’s expectations for Stokes were laid out when he was hired as CEO in January 2013. The only comment on the evaluation is: “Board agreed to extend existing contract out two additional years.”
Elmore praised highly Stokes’ performance, and his entire management “team,” referring to Chief Financial Officer John Shaughnessy; Chief Operating Officer Paul Schumacher; and Dr. Catherine Rabon, the hospital’s chief medical officer.
She again noted how Stokes has worked hard to improve the system’s financial health.
“I know that’s what we have to do,” Stokes said. “We’ve got to continue this financial turnaround or it’s all for nothing.”
When Stokes interviewed for the CEO position, he said he asked for a salary “a little on the low side, given the scope of what we have to deal with.”
“I knew what I was facing and didn’t want any fingers pointed at me,” he said.
As for the loan package currently in the works and designed to re-finance existing debt, Stokes said he would like to have it finalized by the end of July, but he hopes to have it ready by the end of June.
