Following groundbreaking on a competing orthopedic hospital, the board of eight-hospital OhioHealth, Columbus, voted to deny staff privileges as of Oct. 1 to physicians with investments in for-profit specialty hospitals. The 30-bed orthopedic hospital in New Albany, Ohio, a Columbus suburb, is slated to open in 2003, and OhioHealth officials have estimated the system will lose $28 million in business annually to the hospital. About 28 doctors have invested in the $38 million joint venture with Surgical Alliance Corp., Nashville, which will have a 40% stake in the new facility. "When physicians own hospitals to which they refer patients, there is an unavoidable and inherent conflict of interest," OhioHealth board Secretary John Zeiger said. The for-profit venture was launched after OhioHealth converted its Doctor's North Hospital to an outpatient center, displacing 18 surgeons. Officials with Surgical Alliance and OrthoNeuro, Columbus, a large orthopedic and neurological practice whose physicians are among the investors, could not be reached for comment by deadline. -- by Mark Taylor
OhioHealth to drop docs investing in hospitals
Send us a letter
Have an opinion about this story? Click here to submit a Letter to the Editor, and we may publish it in print.