The Internal Revenue Service granted tax-exempt, charitable status to the new not-for-profit board of Atlanta-based Grady Health System, including 667-bed Grady Memorial Hospital.
Grady Memorial Hospital Corp., which announced it will take over the financially struggling system this month, obtained the status in less than a month, the corporation said. The state had promised funding to help the hospital, contingent upon the corporation becoming a charitable group.
The board assumes control of the hospital from the Fulton-DeKalb Hospital Authority. Under terms of the agreement, the not-for-profit group will be responsible for the health systems operations, and the hospital authority will continue to own the real estate assets. Originally the not-for-profit board was scheduled to take the reins May 1, but that target has been shifted to May 20. -- by Jean DerGurahian