tBeaumont Health System in Royal Oak, Botsford Health Care in Farmington Hills, and Oakwood Healthcare in Dearborn signed a letter of intent today to combine their operations into a new $3.8 billion health system.
t“This is really all about improving patient care for men, women, and children in our respective communities,” says Brian Connolly, president and CEO of Oakwood Healthcare. “If we join forces, we will use quality data and standardized best-practice treatment protocols across the continuum of care for improved health and greater value for the families we serve.”
tThe new, not-for-profit health system would integrate eight hospitals and 153 other patient care sites into one network that combines assets, liabilities, and operations. As part of the proposal, all three organizations would maintain their existing medical school relationships, and their medical staffs would remain separate.
tIn addition to improving the value of health care services and the well being of patient populations, the new organization would seek to improve care efficiency and patient safety by integrating patients’ medical records across all settings of care. It would also increase operational efficiency by lowering and spreading costs over a larger system.
t“Physician collaboration and integration is a key priority for all three of our organizations,” says Paul LaCasse, president and CEO of Botsford Health Care. “We will use our combined resources to work collaboratively with our physicians. Employed and private-practice allopathic and osteopathic physicians will be partners in the creation of our new organization.”
tThe new health system will not be final until due diligence is completed, the boards of the three organizations approve a definitive agreement, and after appropriate regulatory approvals.