Also freshly minted is CHC’s first Chief executive officer, Juan N. Babauta; sworn into the new post by the governor on October 24.
For the new CEO, congratulations consisted of only a few quick handshakes and brief conversations before he and the newly appointed board of directors dashed down the hill to convene their first meeting as an organization.
The grueling pace has only intensified during the first 12-days for the man whose mission consists of rescuing — some would say saving — CNMI’s healthcare delivery system.
If the eyes are the window to the soul, then CEO Babauta seems to need a good night’s sleep and a meal of something more substantive than take-away sandwiches brought in for working lunches.
When asked about his schedule since the swearing-in ceremony, the CEO paused and offered the non-committal description of “from morning until whenever.”
Although the former governor is running at break-neck speed, his positive energy and physical stamina are on full display.
“Is this a massive undertaking?” he asked rhetorically with a wide smile.
“Absolutely, but I’m cautiously optimistic that with a solid five-year business plan and the buy-in from staff and Capital Hill, we can create something of great value for the islands.”
In addition to the upbeat attitude, one of the first things noticeable about Babauta is his business-centered point of view.
He peppers his speech with business terms such as “transparency,” “efficiencies,” and “clients,” which demonstrates a calculated choice to infuse the new corporation with an entrepreneurial mindset to enable a clean break from a history of bureaucratic inefficiency and financial meltdown.
The 30-year legacy of CHC’s operational apathy is obvious to the new CEO, as basic information — including financial statements — is proving almost impossible to locate.
When the government’s private audit firm met with Babauta, they could not provide detailed CHC financial data because the Department of Public Health was historically blended into the government’s general fund.
“In a large sense we’re starting from zero and assessing our money situation as we pull the information together from various sources,” explained the CEO.
On a personal level, the same holds true as Babauta still awaits an employment contract from his board of directors.
When Variety joked that in essence he was working free of charge, the CEO responded with a quick one-liner and a laugh.
“Call me a volunteer at ‘Ground Zero’ for the present time — although a vacation would be tempting.”
Joking aside, Babauta’s re-vamp plan is ambitious and includes drafting a five-year organizational strategic plan as well as releasing monthly financial statements for public review.
The timeline he set for himself and the corporation to formulate a road map forward is also ambitious, just 180 days.
“We’ve got to organize ourselves in a compressed time-period to prove this corporation is capable of transforming itself to better serve the community and be worthy of continued support from the legislature.”
Crucial to CHC’s success is future financial support from Capital Hill.
The new health corporation began its first chapter on Oct. 1 with only $5 million in government seed money, which equates to a paltry 23 percent of CHC’s 2011 budget.
The massive financial disparity is front and center on the CEO’s radar screen and considering he was a CNMI governor and resident representative in Washington D.C., his lobbying skills should be better than most on Capital Hill.
“Obviously, we will need more resources from the legislature during the transition period, but we’ve got to have a detailed business plan in hand to justify our requests.”
Part of the corporation’s business plan will be an analysis of “staff efficiencies” and the results will affect — in some form — all 600 people who currently work in the healthcare system.
“Future staffing decisions concerns me of course … we’re talking about people’s jobs and lives … and the quality of our services to clients.”
For the time being however, the inch-thick pile of pink slips on his desk has nothing to do with staffing changes; they are in fact messages from the continuous string of phone calls received by his office from the public.
“The community is reaching out to me with stories and experiences that offer valuable input as well as to vent their frustration about years of healthcare system neglect.”
A sympathetic ear from the new CEO should not, however, be translated into unrealistic expectations of the public.
“Granted, I’m the leader and I’m accountable, but I ask the community to be patient…we can’t reform this complex system in months, but I guarantee we’ll move in the right direction with great commitment.”
The responsibility of radically improving CNMI’s healthcare system now rests in the hands of a seasoned politician who holds a master of science degree in health planning and administration with seven years experience as executive director of the Commonwealth Health Planning and Development Agency.
Considering that lives literally hang in the balance, let us hope that Babauta allows himself enough rest and nourishment to see the job through to the finish line.


