Montefiore Health System
, Bronx, N.Y., has signed a letter of intent to absorb a hospital that is an affiliate of one of Montefiore's competitors, NewYork-Presbyterian Healthcare System
Nyack (N.Y.) Hospital, a 375-bed facility that is a member of NewYork-Presbyterian's network, has agreed to join the Montefiore system. A NewYork-Presbyterian official was not immediately available to comment on the proposed transaction.
Nyack is about 20 miles north of Montefiore's flagship campus. Officials expect a definitive agreement will be completed in a few weeks, a Montefiore spokeswoman said.
“We see great opportunity in working with Nyack Hospital and enhancing its rich history of providing excellent care in the community,” Dr. Steven Safyer, president and CEO of Montefiore, said in a news release. “Montefiore is focused on building a regional healthcare delivery system that is closely aligned with community physicians and groups.”
Montefiore's attempts to build that regional system have intensified in the past year. In addition to the Nyack transaction, Montefiore signed a deal to add White Plains (N.Y.) Hospital as an affiliate in February. White Plains Hospital is a mere mile away from New York-Presbyterian's Westchester Division. A definitive agreement between Montefiore and White Plains has not yet been reached.
Last November, Montefiore officially acquired Sound Shore Health System, a two-hospital system based in nearby New Rochelle, N.Y., that went through bankruptcy.
Montefiore has been one of the few Medicare Pioneer Accountable Care Organizations to make money since it started
, saying its success has been driven by its growing network, and focusing on the sickest patients who account for the highest share of healthcare costs.Follow Bob Herman on Twitter: @MHbherman