VOL. 38, NO. 46
NOVEMBER 13 - 19, 2017
Source Lunch
Akron Loss of tax credits could curtail revitalization efforts of city. Page 26
Jeff Rolf, president and CEO, Ohio Aerospace Institute Page 31
CLEVELAND BUSINESS
The List Largest hospitals by net patient revenue Page 24
POLITICS
WHAT TO EXPECT FROM JACKSON’S FOURTH TERM Crain’s illustration by David Kordalski
Cleveland mayor reflects on grooming a successor, leadership, vision and unfinished business By JAY MILLER jmiller@crain.com @millerjh
Frank Jackson says campaigning for his fourth term as mayor of Cleveland this fall convinced him that he
made the right decision to run again. While Jackson believes there are capable people waiting in the wings, he said he needed to continue in the job to instill a sense of urgency in city government so that several key goals he has set for the city can be achieved. “One learning experience of the
Focus: Real Estate Businesses that cater to consumers renovating homes are thriving. Page 13 Entire contents © 2017 by Crain Communications Inc.
campaign (was that) it affirmed that we are moving in the right direction and that we have identified the right priorities,” he said as campaign workers were moving out of campaign headquarters on Prospect Avenue last Wednesday, Nov. 8, the day after voters gave him a 60%-40% victory
over councilman Zack Reed. “It also points out that the bureaucratic sense of urgency doesn’t match the public’s sense of urgency,” Jackson said. “Part of being successful is getting closer to the sense of urgency the general public has.” And while Jackson believes there
are people who could serve well as mayor, he doesn’t see it as his job to groom a successor. He remained expressionless as a reporter ticked off names of possible successors raised by civic and business leaders in the months leading up to the election. SEE JACKSON, PAGE 8
HEALTH CARE
Cuts to Medicaid could run deep By LYDIA COUTRÉ lcoutre@crain.com @LydiaCoutre
A proposed cut to the state Medicaid reimbursement rate could mean a loss of up to 2,500 health care jobs in Northeast Ohio, advocates say. The Ohio Department of Medicaid has proposed a rate cut of 5% over the biennium for the care provided to Medicaid recipients. The Center for Health Affairs, an advocacy group representing Northeast Ohio hospi-
tals, estimates that would result in a loss of $160 million over fiscal years 2018 and 2019 for the region’s hospitals, leaving them with few options to make up those costs. The center’s members are looking at cutting services or cutting between 2,200 and 2,500 employees, said Tim Jarm, president and CEO of the center. “It makes no sense to have $80 million a year taken out of the hospitals in Northeast Ohio, which is going to have significant ramifications both on shutting down programs and service lines or having to go and de-
crease employment at the hospitals,” he said. Advocates may get what they want. Sources last Friday afternoon, Nov. 10, indicated that the rule could be withdrawn or postponed this week. According to the proposed rule, the rate reduction, which applies to both inpatient and outpatient payments, is intended to “help balance state resources among competing demands while continuing to assure access to quality hospital care to Medicaid individuals in Ohio.” SEE MEDICAID, PAGE 25