Cleveland Clinic and Martin Health System have signed a definitive agreement for the Florida-based three-hospital system to become a full member of the Clinic, pending federal and state regulatory reviews.
As part of the agreement, which comes six months after the two signed a letter of intent, the Clinic plans to commit $500 million over five years into Martin Health System in Stuart, Fla. The funds will support strategic and capital needs, as well as other programs and services, according to a news release.
"We are pleased to welcome Martin Health to join Cleveland Clinic," said Dr. Tom Mihaljevic, Cleveland Clinic president and CEO, in a prepared statement. "By working closely with Martin Health, we will enhance access to the highest quality care, improve outcomes and increase efficiencies to advance healthcare together in the Treasure Coast."
As part of its strategy to build a system in Southeast Florida, the Clinic also is in talks with Indian River Medical Center in Vero Beach, Fla., to take over the county-owned hospital. According to TCPalm.com, the Clinic has agreed to invest $250 million in the medical center in the next decade, and assume $102 million in liabilities as part of the takeover. TCPalm.com also reports that the two boards that oversee Indian River Medical Center, are to vote on the deal at separate meetings on Wednesday, Oct. 3.
Martin Health has three hospitals with 521 beds, a 150-member employed physician group, and a range of outpatient services in southeast Florida.
Recognizing synergies and a similar mission, the two systems in January entered into a heart and vascular affiliation, in which teams with both organizations have worked closely to develop processes, procedures, protocols and data reporting within the Frances Langford Heart Center at Martin Health. Dr. Edward Savage, a cardiothoracic surgeon from Cleveland Clinic Florida, recently joined Martin Health and is performing heart and lung surgeries at Martin Medical Center, according to the release.
"As part of Cleveland Clinic, we look forward to enhancing our services now and in the future," Robert L. Lord Jr., Martin Health president and CEO, said in a prepared statement. "I believe joining Cleveland Clinic will be extremely beneficial for Martin Health and Treasure Coast residents. Our organizations share similar cultures and a mission to provide exceptional care to the communities we serve."
The definitive agreement also lays out several other details, according to the release:
- Martin Health associates' employment and benefits will be maintained for at least one year from the finalization of the agreement.
- The Clinic will support Martin Health's commitment to its retirees.
- Cleveland Clinic will support the open medical staff model of Martin Health and work collaboratively with independent physicians.
- Cleveland Clinic will continue to support the nonprofit organizations that Martin Health has worked with through the years to enhance the health and well-being of residents of the community, including wellness initiatives, health education and community programs.
- Together Cleveland Clinic and Martin Health will continue to provide financial assistance to those in need.
As this agreement moves to regulatory review, Martin Health will continue its current operations, services and programs; patients will continue to see their same physicians and providers; and all procedures and outpatient appointments will proceed as scheduled, according to the release.
"Martin Health System of Florida to become full Cleveland Clinic member" originally appeared in Crain's Cleveland Business.
