California hospital ends merger talks with Dignity Health

County officials overseeing Ventura (Calif.) County Medical Center have ended months of partnership talks with Dignity Health after leaders from both parties deemed an affiliation too risky, according to a VC Star report.  

Advertisement

County Health Care Agency Director Bill Foley said San Francisco-based Dignity approached county officials last year for preliminary talks about a partnership. The parties discussed various models, including one in which Dignity would lease and manage VCMC’s main hospital in Ventura and its affiliated Santa Paula Hospital. 

Mr. Foley said Dignity officials considered it a risk to take on public hospitals, while county managers were concerned they would give up control but still face risk for buildings and finances. County officials were also concerned VCMC would lose its designation as a public hospital under either a lease or a contract with Dignity, which would put roughly $150 million in annual funding at risk. 

VCMC’s search for a partner continues. “We are looking at strategic relationships with other systems where we maintain our identity,” said Mr. Foley.

At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.

Register to Attend Webinar

Reconsider What’s Possible: Enterprise RCM and the Pro-Fee Practice

Tuesday, July 28
11:00 AM - 12:00 PM CDT

Presenters: Garett Kreitz, Med-MetrixJohn Stefanowicz, Med-MetrixPaul Summers, Nevada Heart & Vascular

Advertisement

Next Up in Transactions & Valuation Issues

Advertisement

Comments are closed.