Two neighboring hospitals in Pennsylvania and New York are considering whether to reach across the state line and form a new parent company to operate both.
Bradford (Pa.) Regional Medical Center, a 96-bed facility, and Olean (N.Y.) General Hospital, a 156-bed facility, announced Oct. 20 that the boards of both hospitals have signed a nonbinding letter of intent to integrate the two hospitals under one company. Due diligence and regulatory approval are expected to take about a year, during which time it will be business as usual at both hospitals, a news release said.
Although theyre in separate states, the hospitals are only about 10 miles apart. Bradford President and Chief Executive Officer George Leonhardt and Olean President and CEO Timothy Finan would retain their titles, although both hospitals have expressed intent to name Finan the president and CEO of the new parent company, the release said. The hospitals would retain separate boards and charitable foundations.
Integrating the hospitals was recommendedbut not mandatedby New Yorks Commission on Health Care Facilities in the 21st Century, a 2007 statewide effort known as the Berger Commission that sought to close some hospitals across the state and merge others in an effort to right size New York healthcare. -- by Joe Carlson
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