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County Manager Recommends Early End to Contract With Carolinas HealthCare

Harry Jones, manager of Mecklenburg County, N.C., is recommending the county end its contract with Charlotte, N.C.-based Carolinas HealthCare System at the end of June 2013, a year earlier than the system proposed, according to a Charlotte Observer report.

In the past Mecklenburg County has paid CHS to offset operating losses at the psychiatric hospital CMC-Randolph in Charlotte; care for indigent patients; and provide some public health services. The county’s contributions totaled approximately $60 million for the year that ended June 30.

Recently, however, the county and hospital system have been in a dispute over the county's funding and CHS' plans for a new psychiatric facility in Huntersville, N.C. Mr. Jones has said the county is not legally obligated to provide hospital-based psychiatric services or money toward indigent care.

In May Mr. Jones recommended the county phase out money for CMC-Randolph over three years but is now recommending phasing out reimbursement over two years. Last month, county commissioners halted payments for indigent care.

Earlier this week CHS sent a proposal to county commissioners that suggested capping the county's cost for CMC-Randolph to $20 million this year and then decreasing payments by $2.5 million each year for the next two years before ending payments in June 2014. CHS also proposed the county transfer ownership of CMC-Randolph to the system by the end of 2011 and take over certain public health services, such as school nurses, within the year.

Mr. Jones opposes deeding CMC-Randolph to CHS on the grounds that the county may need additional office space in the area. He said the county should not take over certain public health services until the county's contract ends in 2013.

Read the Charlotte Observer report on Carolinas HealthCare System.

Related Articles on Carolinas HealthCare System:

County Officials Reject Contract Between New Hanover Medical Center and Carolinas HealthCare

Carolinas HealthCare to Manage North Carolina's Murphy Medical Center

Carolinas HealthCare System, County Relations Heat Up Over Proposed Psychiatric Hospital

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