Sutter Health will bid farewell to its top executive in early 2016, but his replacement is a long-familiar face.
Pat Fry, president and CEO of Sacramento-based Sutter Health, announced Tuesday that he will retire, effective Jan. 4. Sutter said that its board of directors has named Chief Operating Officer Sarah Krevans to succeed Fry.
Fry, 57, put in more than 30 years with the Northern California not-for-profit Sutter Health network of doctors and hospitals, the past 10 in the top executive posts.
“Pat leaves an incredible legacy of achievement and decisive strategies to improve quality, access and affordability,” Sutter board Chairman Todd Smith said in a statement. “Under Pat’s leadership, Sutter Health became a national leader in clinical quality and greatly expanded community access to health care in big cities and small towns throughout Northern California.”
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During Fry’s tenure, Sutter Health said its annual revenue grew from $6.7 billion to more than $10 billion. Fry also is credited with the creation of the Sutter Medical Network, which unites Sutter’s 5,000 aligned and affiliated physicians around common quality commitments; My Health Online, which provides more than 1 million Northern Californians with anytime online access to their personal health records; and the Sutter Health Plus health plan.
In a phone interview, Fry said the transition “is basically part of our process” to maintain top executive talent and that he and Krevans “have probably been working on this for the past 15 months or so …Really, there couldn’t be a better time.”
Fry noted that he plans to remain “engaged” in the health care sector, saying he has been asked to serve on other boards. He said he could not elaborate.
Chief operating officer since 2012 and a Sutter Health executive for 16 years, Krevans, 56, has nearly 30 years of executive experience in the health care industry.
“Sarah is a respected, community-minded leader who is exceptionally well qualified to assume the role of Sutter Health’s chief executive,” Smith said in a statement.
she will be focused on providing “the most appropriate care in the right setting.” She said that includes offering top-tier health care to patients who have the ability to pay for health coverage as well as those who are less fortunate.
“In our Northern California service area, our hospitals care for more low-income patients covered by Medi-Cal than anyone else. What Medi-Cal pays us doesn’t cover our total costs. In 2014, the shortfall totaled more than a half billion dollars,” Krevans said.
Fry holds an undergraduate degree from UC Davis and a master’s degree from George Washington University. He came to Sutter Health as an administrative resident at Sacramento’s Sutter General Hospital. . Fry went on to hold region and division executive leadership positions, assuming the position of Sutter Health’s chief operating officer in 2000. He became president and CEO in 2005.
Krevans holds master’s degrees in both business administration and public health from UC Berkeley. At 29, she was appointed acting director of Medicaid, health planning and licensing programs for the state of Maine after serving as deputy director of that state’s Bureau of Medical Services.
She returned to California in 1987, joining Kaiser Permanente and serving as assistant administrator at Kaiser’s South San Francisco medical center, as medical group administrator of The Permanente Medical Group Sacramento and as senior vice president and area manager of Kaiser’s six-county Valley Service Area, serving more than a half-million members.
In 1999, Krevans came to Sutter Health as senior vice president of managed care and subsequently was named regional executive officer and president of the Sutter Health Sacramento Sierra Region.
Krevans is past chair of the northeastern California chapter of the Make-A-Wish Foundation and Sierra Forever Families. In 2011, Northern California’s Women Healthcare Executives named her “woman of the year.” That same year, she received the “humanitarian of the year” award from United Cerebral Palsy of Greater Sacramento.
Sutter Health affiliated doctors and hospitals serve more than 100 communities in Northern California, including the greater Sacramento region, the Central Valley, the San Francisco Bay Area, Marin County, the Sierra Nevada foothills and Santa Cruz.