BIG BUCKS FOR MED SCHOOL DOCS

Dear Reader:
Thanks for dropping in on planet milwaukeeworld, where we have been busy poring through financial documents. Our focus this week is on Health Care -- that wonderful and marvelously expensive thing that keeps us (and much of our economy) alive.
We take a look at the leading breadwinners at a couple of our local health care companies, and also examine the money spent by the Medical College of Wisconsin in the purchase of goods and services from its trustees and their firms. Everything is on the up-and-up, and no improprieties are alleged.
But it is always fun to see the way this city works, and it is also fun to look into other people's pay envelopes, which we do here with the help of public documents and an otherwise slow news day.
Later on this evening I am off to Historic Turner Hall to catch the Governor's announcement of his candidacy for reelection. Lt. Gov. Barbara Lawton will also be there, so it will be a rare opportunity to see the two together, although not quite as rare or quite the opportunity of seeing Gov. Tommy Thompson and Lt. Gov. Scott McCallum together. Now that was priceless! I'll tell you about the gig tomorrow.
Thanks for stopping by,
Michael Horne
horne@milwaukeeworld.com
1 414 978-8039


MCOW A CASH COW
By Michael Horne

Wouldn't you be happy with a $100,000 paycheck -- every month? The Medical College of Wisconsin sent that much to Dennis J. Maiman, MD, PHD, the professor of neurosurgery and physician for 40 weekly hours of work in 2003. Maiman was paid $1,394,951 in compensation from the city's only medical college. Close on his heels was John G. Thometz, MD who was paid $1,162,601 for his forty hours weekly as Professor of Orthopaedic Surgery and Physician. Wade M. Mueller MD, a Professor of Neurosurgery and Physician, was the third-highest paid staffer, pulling in $1,112,222 in 2003. Fourth and fifth place honors went respectively to James S. Tweddell, MD, Professor and Chief of Cardiothoracic Surgery, and Physician, who earned $851,463 and Gregory J. Schmeling, MD, a mere Associate Professor of Orthopaedic Surgery and Physician who was only able to scrape together a $763,154 paycheck for the year.
In all, the Medical College of Wisconsin had a total of $1,429 employees who were paid more than $50,000 for their services in 2003, the most recent year for which results are available.
MCOW also paid Quarles and Brady $464,685 for legal services that year.
John W. Daniels, Jr., the Secretary and trustee of MCOW, is a partner in Quarles and Brady.
In fact, the Medical College did quite a bit of business with its trustees, which is perhaps inevitable in a small town like Milwaukee, where there is usually zero degrees of separation between any two, three or more individuals or organizations.
MCOW paid $1,325 for vehicle maintenance to the Bergstrom Corporation. John F. Bergstrom is the Chairman and trustee of MCOW.
If you're a hospital, you've got to keep the lights on, so MCOW paid Wisconsin Energy Corporation $2,750,421 for energy services for fiscal year 2003, which ended June 30, 2004. Richard Abdoo, the Immediate Past Chairman and trustee of MCOW served as Chair, President and Chief Executive Officer of Wisconsin Energy Corporation for a portion of that year.
MCOW bought hotel rooms and banquet services from the American Club in the amount of $30,127. Natalie A. Black, a trustee, is the Senior Vice President of the Kohler Corporation, which owns the American Club.
It doesn't look like MCOW is big on air travel and chocolate cookies, since it only paid $400 for air tickets from Midwest Airlines. Trustee Tim Hoeksema is the head of the Milwaukee-based airline.
It was "Take Me Out to the Ball Game" for MCOW -- the school / hospital bought $27,345 of baseball tickets from the Milwaukee Brewers back when Ulice Payne, a trustee, served as President and CEO of the Brewers.
MCOW bought newspaper subscriptions and advertising from Journal Communications, Inc. in the amount of $14,739. Trustee Steven J. Smith runs that company.
MCOW paid $138,990 for investment management and broker services from Robert W. Baird & Co. and Baird Advisors. Trustee G. Frederick Kasten, Jr. is the Chair of R.W. Baird, and trustee Mary Ellen Stanek is the Managing Director and Chief Investment Officer of Baird Advisors.
Trustee Jon McGlocklin is the president of a firm called Healy Awards, Inc. which was paid $875 for the purchase of award and commemorative plaques.
MCOW purchased excess life and disability insurance from Northwestern Mutual in the amount of $522,314. Donald J. Schuenke, retired Chair of NML and Edward J. Zore, the current President and CEO of NML are both trustees.

All the contracts for goods and services "were negotiated by management on an arms-length, fair market value basis," according to the hospital's financial statements.
"Arms Length," as defined in Milwaukee, is the distance it takes to scratch your buddy's back.
The trustees of MCOW do not receive compensation for their services.

COLUMBIA ST MARY'S HEAD NETS $659,524

Tax documents show that Leo Brideau of Mequon, the President and CEO of Columbia St. Mary's Inc. received compensation of $659,524 for the fiscal year ended June 30, 2003. Second place at the hospital corporation went to Therese Pandl of Bayside, who pulled in $336,108 for her work as Executive Vice President - Hospital Operations. Charles Dreher, the VP and Chief Financial Officer received $306,510 for his work. -- Michael Horne

AURORA FUNDRAISER A LOSS

It appears that the Aurora Health Care Futures Golf Classic held on May 30 - June 2, 2003 was not a good revenue producer for the health care firm. The Futures tour is considered the path to the LPGA. The event was heald at the Ironwood Golf Club in Sussex to benefit the Healing Center for victims of sexual abuse and Aurora Sports Medicine. It brought in gross receipts of $154,547 and had direct expenses of $177,616 for a net loss of $23,069. Oh well, you can't win them all!
One winner at Aurora was Broydrick Associates which received $369,681 and Lynne Broydrick Group, which was paid $117,935 for services that, under Federal law are not considered "lobbying" but which may (or may not) be construed as "lobbying" under the laws of the State of Wisconsin. Aurora listed the payments anyway, just to be safe.
-- Michael Horne