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NewsOctober 4, 1992

Earl Norman has been in the health services business almost a quarter century. As founder, chairman and chief executive officer of Health Service Corporation of America (HSCA), headquartered in Cape Girardeau, Norman keeps a close watch on the world of medicine...

Earl Norman has been in the health services business almost a quarter century. As founder, chairman and chief executive officer of Health Service Corporation of America (HSCA), headquartered in Cape Girardeau, Norman keeps a close watch on the world of medicine.

"The health care industry is expanding and the number of people entering health care professions is shrinking," said Norman. "Hospitals are having difficulty finding medical personnel."

Recognizing the need for more health care workers, two years ago HSCA founded the Health Careers Foundation.

Craig A. Boring serves as executive director of the foundation, which is headquartered at St. Louis. Boring previously served as vice president of HSCA's laboratory division.

"Response to the foundation has been great," said Norman.

This is reflected in the foundation's two-year history.

"During the first year of operation almost 200 individuals received scholarship assistance for careers in nursing and other health care professions," said Norman. "More than $420,000 was awarded in scholarships, ranging from a minimum of $500 to a maximum of $3,000."

Second-year totals almost doubled the first year. More than $800,000 was awarded to about 400 recipients.

"We had more than 1,100 scholarship applications during the first two years," said Norman.

Recipients represented 89 participating hospitals the first year and 191 the second year.

"We're anticipating that third-year totals will double those of 1992-93," Norman continued. "We anticipate more than $1.5 million in funding and as many as 1,000 scholarship applications."

Recipients from 39 states are currently studying under the Health Careers Foundation, either part-time or full-time. About 30 of the recipients are from the immediate tri-state area Southeast Missouri, Southern Illinois and Western Kentucky, with five of them from the Cape Girardeau area.

"The HSCA Foundation provides a great partnership for our own program," said John Fidler, president of St. Francis Medical Center. "We have our own foundation program. The Careers Foundation gives us additional growth. We have five of the foundation's scholarship recipients."

Fidler said the program meets a major educational need.

"Some of recipients continue to work for us while expanding their education," he said. "Once they get a degree, they will move into higher level positions, filling a need for the medical center and providing them with a higher level income."

Southeast Missouri Hospital administrator James Wente agrees.

"I will echo John's (Fidler) remarks," said Wente. "This is a positive program by HSCA. Many hospitals today have shortages within various departments professional nurses, pharmacy, rehab and therapy. The HSCA Foundation will make a significant impact to health care.

"It will enable Southeast and St. Francis to recruit and retain staff," added Wente.

The foundation was created in September 1990, designed specifically to provide scholarships and loans to those interested in pursuing a career in health care, said Norman.

The goal is pointed out in the foundation's mission statement:

To encourage education among the determined men and women who choose to devote their lives to preserving and bettering the lives of others through careers in health care.

HSCA, a group purchasing organization that has more than 1,600 health care provider members, pledged $2.5 million over 10 years to the program. It is making its third $250,000 award to the foundation this year.

The central fund-raising strategy of the foundation has two parts.

"Business corporations with major health care operations are asked to provide funds for awards to first-time recipient-scholars," said Norman. "Secondly, foundations and others are asked to provide funds to support the ongoing financial assistance during the second and subsequent years of the recipients-scholars' educational program."

Scholarship awards are to be used for education expenses for one full year of study, noted Norman. The scholarship may be renewed annually on the basis of satisfactory academic performance for up to four years.

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Educating nurses and other health care professionals is a high priority for hospital executives, noted Norman.

"Some 98 percent of the chief executive officers questioned in a 1991 survey conducted by HSCA expressed interest in a scholarship and loan program geared to health care professionals," said Norman.

More than 200 hospital CEOs responded to the survey by HSCA, which provides service in 49 states and Guam.

"The survey results mirror what we were hearing from our member hospitals, that staff shortages are becoming critical and are primary concerns of hospital administrators.

"These shortages have been increasing in recent years," said Norman, who cites four primary reasons for the problem:

An aging population. "In 1900, five of each 100 persons were over the age of 65. By 2020, about 20 of each 100 persons will be over 65. This reduces the pool able to work and increases the need for medical care."

AIDS and other infectious diseases.

More career opportunities. "Eighty percent of our nurses are female," said Norman. "Fifty years ago women's careers were limited to mostly nursing and teaching. Now women are involved in many careers."

Potential national health insurance. "We'll be seeing more people insured in the future," said Norman. "This will impact health care as more people will be seeking medical care.

"We feel that by the year 2000 that health care will be the largest growth industry in America. One-third of all jobs will be in health care," added Norman. "The education price tag will be too large for conventional tuition assistance and governmental programs to pay.

"This foundation will play a leadership role in the development of the intellectual and economic environment to attract well-qualified persons into health care fields."

The foundation's board of directors is composed of 13 executives 10 from the health care industry and three outside directors.

Board members, along with Norman, are:

Joel Allen, president/chief executive officer Driscoll foundation Children's Hospital in Corpus Christi, Texas.

Sister Mary Kevin Ford, administration, Carondelet Health Care Corporation, Tucson, Ariz.

Deborah Lott Holmes, vice president of academic affairs, Loyola University, Chicago.

Tom Jamieson, president of Health Services Corporation of America, Cape Girardeau.

Brien Laing, Greenville, S. C., corporation vice president, retired, Baxter Healthcare International.

Iran Lane Jr., president of Tennessee Hospital Corp.

Diane Moeller, president/chief executive officer of Catholic Health Corp.

Robert Norman, executive vice president and a co-founder of HSCA.

Dean Roe, president/CEO of Froedtert Memorial Lutheran Hospital.

Bernard Ross, CEO of Fitness Quest International.

Laurens Sartoris, president of Virginia Hospital Association.

Charles Thoele, consultant of sisters of Mercy Health System.

Foundation officers are Earl Norman, president; Jamieson, vice president; Gwyn E. Poston, secretary; and Timothy C. Goodman, treasurer.

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