Healthcare Business News

Statewide system planned in Kentucky

By Maureen McKinney
Posted: June 14, 2011 - 10:15 am ET

Three of Kentucky's largest healthcare providers have formally reached an agreement to form a single system.

The new health system will comprise six-hospital Jewish Hospital & St. Mary's HealthCare, Louisville; seven-hospital St. Joseph Health System, Lexington; 329-bed University of Louisville Hospital; and the James Graham Brown Cancer Center, Louisville, according to a news release.

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“There is so much more we can accomplish together,” Bob Hewett, board member of St. Joseph Health System and future chairman of the new system's board, said in the release. “That will lead to improving the health not only of individual patients, but of entire communities.”

The partnership will allow for more efficient use of evidence-based medicine and health information technology, the systems say. In particular, telemedicine technology will allow member physicians to more effectively reach underserved areas.

Jewish Hospital HealthCare Services, University of Louisville and Catholic Health Initiatives are sponsoring the deal, according to the release. St. Joseph Health System's hospitals are part of Denver-based CHI.

Under the terms of the deal, CHI will make an incremental capital infusion of $320 million to support the new system. The agreement is dependent on approval from the church and state regulators, a process that could take up to one year.

“We see a healthier future for the Commonwealth by combining our efforts to address the serious health challenges faced by the people of Kentucky,” Hewett said in the release.

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