Interim Head of OHSU Health Leaves After Just Five Weeks

Ann Madden Rice is out immediately, and the hospital system hasn’t named a successor.

Ann Madden Rice, former interim CEO of OHSU Health (Business Wire)

Leadership turmoil continued at Oregon Health & Science University today as the interim head of OHSU Health, the unit that includes its two hospitals and myriad clinics, exited immediately without a successor.

Steve Stadum, the interim president of OHSU, informed employees Tuesday afternoon of Ann Madden Rice’s departure. Stadum, who took over from former president Dr. Danny Jacobs late last year, announced Rice’s appointment Dec. 9.

“I regret to announce that Ann Madden Rice is no longer interim CEO of OHSU Health, effective immediately,“ Stadum wrote in a message obtained by WW. “I recognize leadership changes are disruptive. I am committed to staying grounded in our mission and values and will continue to help us move forward. I will share next steps with the OHSU community as soon as possible.”

Rice’s departure is the latest in a series of exits, and it comes as OHSU is pursuing the purchase of Legacy Health, the largest combination in its history. Both institutions have lost money in recent quarters. OHSU expects to sell $1 billion in bonds to make the purchase.

Rice was working on routine matters until at least 5:21 pm yesterday, when she wrote an email describing changes to “tiered huddle” meetings at OHSU.

Huddles are meetings designed to “strengthen communication, resolve issues sooner, and increase engagement between frontline teams and leadership,” Rice wrote in the email obtained by WW.

The CEO job at OHSU Health opened up in June, when Dr. John Hunter stepped down after seven years. Joe Ness replaced him on an interim basis, while also working as chief operating officer of OHSU Health.

Ness served until December, when Stadum appointed Rice.

“Ms. Rice has extensive leadership experience at academic health centers and not-for-profit health care systems,“ Stadum wrote to staff at the time. ”She understands the unique way education, research and patient care converge at academic health centers and is committed to being of service in support of OHSU’s missions."

Before joining OHSU, Rice had retired as president of Abbott Northwestern Hospital and senior vice president of Allina Health, both in Minneapolis. Before that, she served as CEO of UC Davis Medical Center for 12 years.

The biggest change to OHSU’s top brass came in October, when Jacobs resigned as head of all OHSU operations. The board attempted to appoint medical school dean Dr. Nate Selden to a three-year term without a search but abandoned the plan after Gov. Tina Kotek publicly opposed it, choosing Stadum as interim president instead.

More change came in December, when Dr. Brian Druker, developer of Gleevec, a drug that revolutionized cancer treatment, stepped down as head of the Knight Cancer Institute because OHSU had “forgotten” its mission and was no longer a place to do cutting edge research.

OHSU Health includes OHSU Hospital and Doernbecher Children’s Hospital and medical practices on Marquam Hill, the South Waterfront, and elsewhere in Portland. It also manages affiliations with Hillsboro Medical Center and Adventist Health Portland.

A spokeswoman declined to say why Rice left, citing OHSU’s policy of not commenting on personnel matters.

Willamette Week’s reporting has concrete impacts that change laws, force action from civic leaders, and drive compromised politicians from public office. Support WW's journalism today.