The Dexter Leader
A Heritage Newspaper
Weekly Publication
Hospital CEO gives update on merger
By Edward Freundl, Staff Writer
PUBLISHED: July 10, 2008
The merger between Chelsea Community Hospital and St. Joseph Mercy Health System should be complete "some time this fall," according to Kathleen Griffiths, CEO of the Chelsea hospital.
Advertisement
Griffiths said last week that the boards of directors of both hospitals continue to hammer out the details to the agreement.
"We are getting to a definitive agreement that defines what the nature of the relationship will be," Griffiths said.
Griffiths noted that the plan calls for existing jobs to be safe.
"We do not anticipate any loss of jobs as a result," she said.
Steve Paulus, vice president of planning and network development for SJMHS, said his organization is pleased to offer new or expanded health care options and services to people in this area as its part of the agreement.
"Some of the new services will include cancer care and expanded cardiovascular care," Paulus said. "SJMHS is a leader in these areas, and offering advanced care options to patients right in the Chelsea community will be rewarding for us as caregivers."
Paulus and Griffiths made their remarks to ease public concerns about the progress of the deal, which was originally announced in March.
She also said once those details were finalized, officials from both hospitals would organize a community forum to answer questions from the public.
"We do want to do a community informational meeting, maybe in September," she said.
Griffiths explained why negotiations, already going on for months, will likely take several more to complete.
"We are in a process of due diligence," she said.
"They are undertaking a careful study of our hospital, and it also works in reverse; we are studying their operation.
"I expect we will finalize a transaction in late fall; that's what we're estimating now."
Both hospitals have built a strong reputation in the areas of orthopedics, spinal care, rehabilitation, women's health and behavioral health, and Paulus said the merger will benefit both.
"The affiliation will be mutually beneficial, allowing Chelsea Community Hospital and Saint Joseph Mercy Health System to learn from each other and to adopt best practices," Paulus said.
According to Griffiths, hospital officials are not ready to release all the details yet, but she did outline "key elements" of the merger.
Keep the Chelsea Community Hospital name:
"We are very committed to preserving the culture and reputation for service that this community has come to expect," Griffiths said.
Maintain a local governing board:
"That was very important to our board," Griffiths said. "The board will continue primarily in its current form, but the CEO of St. Joseph Mercy Health System will serve in an 'ex officio' (by virtue of his position) capacity.
"Also, in this arrangement there will be some powers that will be reserved for the St. Joseph board," she added. "Reservation of powers is a fairly common thing."
Establish a community foundation:
As part of this arrangement the hospital will establish a 501(c)(3) not-for-profit community foundation that will have "substantial, sustainable resources," Griffiths said.
It will have a board of directors with community representation separate from the hospital itself and will not be under the auspices of SJMHS.
Its purpose will be to fund significant community health improvement activities and initiatives, according to Griffiths, and will be separate from the Chelsea Community Foundation.
"I think this will be a wonderful asset for this community and the area we serve," Griffiths added.
"One of the things that's particularly nice is that it allows us to maintain resources here locally that have been so generously given to this hospital over the years."
SJMHS to fund the CCH master facilities plan:
"We need to replace a number of inpatient rooms, which can be very expensive," Griffiths said, "and it's a real challenge for a place this size to afford it."
Maintain the University of Michigan Family Medical Center at CCH:
There will apparently be no rivalry between the two large, Ann Arbor-based hospitals when it comes to the campus of the Chelsea hospital.
Griffiths said CCH is "very committed" to having the Family Medical Center and its physicians' residency program remain in Chelsea.
"Another concern people have heard from people is, will they have to change doctors, or will they not have choices anymore?" Griffiths noted. "Yes, they will have."
Continue to have a full-time CEO in Chelsea:
Griffiths assured people that she will remain at the helm of the hospital until the merger is complete and beyond.
"I will see the process through," she said. "I will stay on through the transaction, and stay as long as necessary."
Not all stories are guaranteed to appear
online. The Web edition contains a reasonable
sampling of the print edition stories.
For the most complete news coverage, we invite you to
subscribe
to the print edition of the paper.
Expanded
Web
Coverage
TOP JOBS
