Kennewick General Hospital

Kennewick General Hospital (KGH) is a not for profit, publicly owned hospital located in Kennewick, WA.  KGH is the anchor facility of the Kennewick Hospital District, which consists of a network of health centers, doctors, and clinics.  The Hospital owns various urgent care and other clinics including the Medical Mall, Cancer Center, and soon another full-fledged hospital near Southridge High School.  KGH’s rapid growth is a direct result of the population growth that Kennewick (as well as Pasco and Richland) have seen over the years.

Established in 1952, KGH was the result of a population explosion during the war.  It was clear that the area needed a hospital, and concerned citizens decided they would make it happen.  The Kennewick Hospital Association was formed and began a fund drive that to erect the early building.  The drive started in 1949 and included the auctioning of a home that was built for $20,000, concerts, rummage sales, and even circuses.  The county of Benton also established a taxing district for the hospital and were able to pass a bond issue for $350,000.  In March of 1951, ground was broken for KGH.  It took until August of 1952 to complete, at which time the doors opened with 46 beds.  At the time, the Tri-City Herald published a special column stating that “Kennewick General Hospital is a symbol of what a community, this community, or any other community can do if it gets solidly behind a single project, and, with unity and selflessness, drives on to ultimate victory.”

KGH Management Over the Years

Once upon a time, KGH was run by very different CEO’s than it is now.  Most of them lasted a few years at best because some of them were about as good at running a financially stable organization as a monkey.  The hospital would do well, then it would lose money, it would do well, and then it would lose money.  Interestingly enough, the CEO always blamed the good times on his leadership and the bad times on the ‘economy.’  Yet when the hospital was losing money, it was always after a major project was started, like a new wing or additional building.  The monkeys just couldn’t figure out how to waste all that money and expand at the same time.

It was amazing to see how the hospital would begin the process of downsizing.  Hours got cut, positions eliminated, but yet the work still got done.  After all these deep cuts, but really because the project ended, the money started to return as did the wasteful spending.  Once a new project started, the cycle began once again.  Each time I shook my head wondering when the idiot with the business degree would learn how to balance a checkbook.  Each time the cycle continued because the CEO could never figure out that keeping costs low ALL the time may be a good idea.

Enter Glenn Marshall, the CEO of Kennewick General Hospital for the last 7 years.  He has kept the hospital in the black by running the hospital more like a business than a government; choosing to cut costs rather than wait until they were out of control.  I never thought it would happen, but KGH has finally found a CEO that is actually worth the six figure income they pay him!