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After three years of pandemic response, recovery and reorientation to a new normal, 2023 was the year we truly turned our attention back to building for the future. While we can’t leave COVID-19 behind, we can learn from it, continue to heal and work to ensure we come out of this era stronger than ever. Those efforts are not just underway across our organization, they are gaining momentum.

To the brink ... and back
A Message from President and CEO Dr. Steve Gordon

Historically, our annual report has acted as a snapshot of St. Charles’ activities within a given 12-month period. This year, however, we are bookending our 2023 report with a look back at some key metrics that illustrate the profound impact of the COVID-19 pandemic on our health system, and a look ahead to where we go from here.

As for 2023, it’s the year we regained our footing and started to more confidently move forward, with the wind of a rebuilt workforce and a remarkable financial turnaround at our backs. We will never forget the profound emotional and physical toll the pandemic took on our workforce, our patients and our world. So, to be clear: We are not leaving the pandemic behind. In fact, we are taking some of the qualities that helped carry us through the past few years – tenacity, resourcefulness, teamwork, compassion and an unwavering commitment to caring for all – and working to ensure they are embedded within the very fabric of our organization. We are working hard to stay agile and adaptable in the face of many challenges, including some we cannot control. And we are pleased to be on solid ground as we consider the next steps we need to take to remain viable – not just for our patients, but for all of Central Oregon. As a local, nonprofit organization, we know St. Charles is a vital and valued pillar in this community.

As you take in the information in this annual report, please do so knowing that St. Charles has cared for Central Oregon for more than a century, and we intend to be here for the next 100 years, too. I am incredibly proud of the progress our health system made in 2023, and the momentum we’ve gained as we head into a very bright future.

Sincerely,

Steve Gordon, MD, MPP, FACP
President and CEO
St. Charles Health System

2020-2022: One storm after another

The impacts of COVID-19 have been significant and far-reaching, both within our health system and across Central Oregon. At St. Charles, we need great caregivers to care for the people we serve, and we need to invest in our facilities and our services to ensure we’re well-positioned to provide world-class care for our communities. The pandemic made it difficult to meet either of those needs for a few years. The statistics below clearly show the direct relationship between resource scarcity, hospital performance and patient outcomes.
WORKFORCE SHORTAGES

St. Charles was not immune from a nationwide increase in the number of health care workers leaving the industry over the past couple of years. This left us short-staffed, affecting patient flow, hospital capacity and morale.

FINANCIAL SHORTCOMINGS

In recent years, St. Charles significantly reduced capital spending, first as a precaution in response to the pandemic and later because of financial concerns. Now, we are working hard to catch up on facility improvements, equipment upgrades and other projects.

HOSPITALS STRUGGLING TO KEEP UP

There is no way to sugarcoat it: In-hospital mortality spiked globally during the pandemic and St. Charles was no exception.

Risk-Adjusted Mortality Index (RAMI)
 
 
 WHAT'S RAMI?
 

A hospital’s risk-adjusted mortality index (RAMI) is a comparison of actual deaths in the hospital to expected deaths based on the acuity of patients. A RAMI below 1.0 means fewer patients died than expected. A RAMI above 1.0 means more patients died than expected. RAMI is used to assess the quality and safety of care being provided in the hospital.

2023: Shoring up our system

In 2023, we focused our recovery efforts in two key areas:

  1. Rebuilding our workforce by ramping up recruiting and improving retention of current caregivers. And...
  2. Improving the health system’s finances by operating effectively, reducing waste and pursuing fair payment in a high inflation environment. These efforts were successful, allowing us to achieve financial stability, return to normal staffing levels and continue to provide the high level of care that is the standard at St. Charles.

Download campus stats

2024 and beyond: On the rise

Following the great strides of 2023, St. Charles is aiming high in 2024, intent on getting back to the business of innovation, development and expansion. Signs of stability abound, including:

  • Positive outlooks and status upgrades for St. Charles from two large, influential credit-rating agencies.

  • A $74 million capital spending plan to fund facility improvements, equipment upgrades and more.

  • Groundbreaking planned for a new St. Charles Cancer Center in Redmond, expected to open in 2025.

  • New services to meet the community’s needs, including Urology, Gastroenterology and more.

  • Our three-year strategic focus on initiatives that support people, clinical and operational excellence, and transformation, growth and innovation.

  • Launching a comprehensive St. Charles Foundation campaign to raise philanthropic support and expand health care services.

After being grounded by the COVID-19 pandemic, St. Charles turned a corner in 2023 by rebuilding its workforce, restoring its financial stability and readying for takeoff into a very bright future.