Ascension funds $50 million in projects at three Michigan health systems
Ascension Health said Tuesday that it will invest $50 million in three of its health systems in Michigan after previously considering selling them.
The systems receiving the investment from the nation's largest nonprofit health system are St. Mary's of Michigan in Saginaw, St. Mary's of Michigan in Standish, and St. Joseph Health System in Tawas City.
"During our discernment we reviewed options including partnering with other organizations in the operation of the three health systems as well as transitioning them to different systems," Patricia Maryland, Ascension's executive vice president and president and CEO of Ascension Healthcare, said in a statement.
"However, we determined that retaining and investing in these health systems will best serve them, their associates and physicians, the communities they serve, and our integrated national health ministry."
Maryland was CEO of St. John Providence Health System in Warren before going to the St. Louis corporate office in 2013. Ascension has 15 hospitals in Michigan.
In a statement, Joseph Cacchione, M.D., Ascension Michigan's interim ministry market executive and president of Ascension Medical Group, said he was part of the sale analysis process. Cacchione replaced Gwen MacKenzie last month.
"I'm excited to share that as part of our renewed commitment we are planning an infusion of $50 million in capital spending and resources to ensure these hospitals and related services are equipped to meet the evolving needs of those we are privileged to serve," Cacchione said.
"We also have begun planning for the transition to the unified Ascension identity for both St. Mary's of Michigan communities and St. Joseph in Tawas as part of our national branding work," he said.
Ascension Michigan operates 15 hospitals and hundreds of related health care facilities with about 26,000 employees.
Earlier this year, Ascension Michigan laid off more than 500 employees and reorganized many departments in an effort to reduce costs, improve efficiencies and develop new strategies to prepare for a transition to more outpatient care services.
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