VCU and Bon Secours Richmond named budget cuts, increased costs and the “already outdated” independent hospital model as reasons for killing the plan.
“Continuing instability in the health care industry and changes in best practice healthcare models were key forces driving the decision to focus on collaborative care rather than a freestanding independent children’s hospital facility,” VCU Health System President Michael Rao said in a statement.
After announcing the deal had been called off, Mr. Rao and Toni Ardabell, CEO of Bon Secours Richmond Health System, said they promised to work together to provide better healthcare to Richmond children.
“Collaboration among all providers is the key to advancing children’s health in Richmond,” said Ms. Ardabell. “We pledge to the parents and children of greater Richmond and Central Virginia that we will always strive for excellence and to grow pediatric specialty care in collaborative ways that will benefit all children and their families.”
More articles on hospital and health system management:
Hospital boards lack diversity, survey finds
Greatness runs in generations: The Chuck Lauer family
Improving the patient experience is no ‘fluff’ job: 4 CXOs weigh in
At Becker's 4th Annual CEO + CFO Roundtable, taking place November 2–5 in Chicago, more than 1,500 hospital and health system executives tackle decisions that determine whether organizations thrive or merely survive: protecting margins under cost pressure, choosing where to grow, renegotiating payer relationships, stabilizing the workforce and proving real ROI on technology. This is where leaders work through them together, face-to-face. Apply for complimentary registration now.