The history of FDF began in 1899. Ward S. Ferguson was twelve years old and attending school in Sparta. His brother, Lynn, was eight years old and also attending school in Sparta. James C. Droste was thirteen years old and was attending school in Grand Rapids.
In 1899 Dr. Willard M. Burleson began medical practice in Grand Rapids. His practice grew and in 1906 his brother, Dr. John Burleson, joined him in partnership. In 1911, with a growing number of patients, Dr. Ward S. Ferguson joined the partnership. Also, in 1911, the need for more space led to the purchase of the Wellington Flats, a large apartment building at Fulton and Jefferson streets. This building became Burleson Sanitarium. In 1911 the doctors certainly did not need all of the building so the remainder of the apartments were leased. The name and fame of the Sanitarium spread and the need for additional doctors resulted in the addition of Dr. James C. Droste in 1914, Dr. Fred Burleson in 1916, Dr. Lynn A. Ferguson in 1917, Dr. E. L. Collins in 1918, Dr. William Forman in 1919 and Dr. Howard Osborne in 1920.
By 1920 the entire building was being utilized by the Sanitarium indicating the rapid and substantial growth of the practice. The partnership continued to enjoy good growth and harmony for the next six years. However, in 1927, the first voice of dissent was raised by Drs. Ferguson, Droste and Ferguson. The issue in 1927 concerned moving the Sanitarium from its Fulton and Jefferson location to the top two floors of the Morton Hotel. Dr. John Burleson led the faction favoring the move. He did persuade enough votes to affect the move over the protests of Drs. Ferguson, Droste and Ferguson. The decision was made but lost in the shuffle was a prospect of substantial growth and partnership harmony which the Burleson Sanitarium would never again experience. After the move to the Morton Hotel, the number of patients diminished. Dr. Willard Burleson died five months after the move and Dr. John Burleson became the Sanitarium President. Drastic changes in policies regarding the practice ultimately led to a partnership split in December 1928. Drs. Ferguson, Droste and Ferguson formally severed relationships with the Sanitarium.
In January 1929, the building at 6 Park Place was leased, occupied and named Ferguson-Droste-Ferguson Sanitarium by the three doctors. They were well pleased with the volume of patients coming to them. Dr. Droste was elected the first President of the partnership. By April of 1929, business was so good they decided to purchase the Park Place building for $15,000. Eleven beds were established for treating inpatients.
The first year progressed beyond their greatest hopes until that fatal Black Friday in October. The depression affected the partnership the same way it did everything else. A re-adjustment of expenses enabled the group to continue in practice over this lean period in American history. In December of that year a decision was made which started a tradition at FDF: the payment of the first Christmas bonus to all sixteen employees.
By the mid thirties, space was becoming a problem and the doctors started looking for a new building. The Browning Hotel, located at Sheldon and Oakes Streets, which had been built in 1919, was put up for sale in 1938. The doctors jumped at this opportunity and purchased the hotel for $91,461.22. In moving their hospital operation into this much larger facility many changes were developing. More personnel and more equipment were needed. It was at this point that the first hospital Board of Trustees was formed. In addition to the three doctors, Benjamin T. Batsch and Douglas M. Ray formed the first Board.
The year 1939 almost saw the collapse of FDF. Prepaid hospital insurance was one of those new ideas that people had not yet accepted. The accounts receivable continued to mount. The number of bad debts was very high. Coupled with this was the additional cost incurred with the new building. The low point came on December 19, 1939, when Dr. Ward Ferguson wrote to Mr. John Frey of the Union Bank this note: "Because our business is very seasonal from November 15 to January 1, we find ourselves short of funds for our last payroll of the year, also for the payment to the sinking fund of $850, due December 21. We wish to ask the Bank if they will let us have $1,000 at this time and allow us to pass the sinking fund payment of $850 until the latter part of our second year on our mortgage, which would be October 21, 1940."
Following this bleak December, the tide turned. In 1940 the doctors averaged 44 new cases per month, a gain of 25% over 1939. At the July 1940 Board of Trustees meeting a proposal to equip a new operating room was approved. The new room would be equipped with operating table, anesthesia table, instrument table and stools with a total cost of $1,250. A new elevator was installed in March 1941 at a cost of $3,600.
In July 1941 the doctors added their first partner, Dr. James A. Ferguson. His stay was interrupted by induction into the Medical Battalion of the Army Air Force on May 20, 1942.
Despite the war, the volume of patients continued to grow. A nurse’s station was constructed on the third floor in 1942 because the second floor could no longer hold all the patients. In 1943 the mortgage was paid up. The hospital continued to prosper and grow through the late 40's. Dr. James A. Ferguson returned to the partnership in 1950 just at the retirement of his father, Dr. Ward S. Ferguson. A nurse’s station was constructed on the fourth floor to accommodate patients. The third floor could no longer hold all the patients. This increased the bed capacity to 78.
In 1951 a non-profit corporation was formed to run the hospital. The first Board of Directors of this corporation, known as Ferguson-Droste-Ferguson Hospital, was made up of Dr. Lynn A. Ferguson, Dr. James C. Droste, Dr. James A. Ferguson, George L. Young and Platt W. Dockery. Dr. Lynn A. Ferguson was elected president of the new Board.
This was the first time in FDF history that the hospital operation was completely divorced from the doctors’ partnership medical practice. The doctors’ partnership continued to rent office space in the hospital. This group was known as Ferguson-Droste-Ferguson Clinic, later changed to Ferguson Clinic to help differentiate the medical practice from the hospital. The doctors sold the hospital lock, stock and barrel to the non-profit corporation. Included in the corporate charter is a provision that if the hospital ever discontinues operation, all assets must be given to a non-profit charitable institution.
A blow was dealt the partnership in successive years with the deaths of Dr. Ward S. Ferguson in 1953 and Dr. James C. Droste in 1954.
In 1953 the hospital was surveyed by the Joint Commission on Accreditation of Hospitals. The result was a full three years accreditation which the hospital has received on every survey since then.
The hospital Board of Trustees underwent an expansion with the addition of three new members in 1954. They were Abraham H. Kollenberg, William Schuiling and Charles Kindel. The monogram was also adopted in 1954.
FDF had trained young surgeons in Colon and Rectal Surgery for many years. It was not until 1955 that the hospital was formally approved for residency training in Colon and Rectal Surgery by the American Medical Association. Doctors were eligible for this specialty training after completing four years of general surgery residency. The first two residents accepted for the two year program were Dr. James P. Muldoon and Dr. John R. Heaton. Both joined the doctors' partnership following their residencies.
By the late 50's space again became a problem. In 1959 an additional floor (the sixth) was added to the hospital. This floor included new operating rooms, central supply, kitchen and employees' dining room, affectionately known as "The Top of the Pile".
In 1962 property across Sheldon Avenue was purchased for a future hospital research building. It was evident that space would soon be needed because patients were being placed on the fifth floor and the new bed capacity was 92.
A renovation program was started in 1966 to upgrade the entire building to current standards. A new nurse’s station was constructed on the fifth floor and the bed capacity increased to 110 beds making FDF the largest hospital in the world specializing in Diseases of the Colon and Rectum. There was no more expansion space available within the building. A large two story brick building across Sheldon Avenue was purchased to relieve storage and parking problems.
In March of 1966, Dr. Lynn A. Ferguson, the last of the founders, died. With his death an era ended; an era that started with three doctors scraping every cent they could find to invest $15,000 in a hospital devoted to excellence in patient care. They had no magic formula and they had some lean periods. But they did know how to give quality care. Their efforts were rewarded several fold with a hospital now worth over 21/2 million dollars which is the largest of its kind in the world.
