From Philly and the Pa. suburbs to South Jersey and Delaware, what would you like WHYY News to cover? Let us know!
Two Delaware Valley health care systems are considering a merger to form a larger operation spanning 10 counties across four states.
ChristianaCare and Virtua Health have signed a non-binding letter of intent to explore a new regional not-for-profit health care system serving communities in Delaware, Maryland, New Jersey and Pennsylvania, officials said in a press release Wednesday.
The two health care organizations reported a combined $6.3 billion in operating revenue before expenses last year.
If finalized, a new regional system would include 600 sites of care, including hospitals and outpatient offices, about 30,000 employees and academic programs that involve more than 500 medical residents and fellows, officials said.
“The future of quality health care in America will be shaped by those who take action today,” Dr. Janice E. Nevin, ChristianaCare president and CEO, said in a statement. “At a time of great uncertainty in health care, ChristianaCare and Virtua Health have the foresight and courage to explore what is possible.”
Health systems and hospitals across the United States are bracing for federal cuts to funding and safety net programs like Medicaid and Medicare in the coming years. Industry experts say those changes will disproportionately affect struggling practices and health providers in rural communities.
ChristianaCare and Virtua Health officials said the goal of forming a new regional health system is to increase access to services, especially primary care, urgent care, behavioral health and maternal care.
“This is an exciting first step in a collaborative journey to amplify the strengths of two trusted health systems,” Dennis W. Pullin, Virtua Health president and CEO, said in a statement. “We see this as a unique opportunity to shape the future of care in this region with innovation and intention.”
The nonbinding letter of intent to strike a potential deal, which still leaves room for parties to back out of the arrangement, is the beginning of a multi-step process. The two organizations are still in an exploratory phase, a ChristianaCare spokesperson told WHYY News.
ChristianaCare and Virtua Health will negotiate specific details and if the two parties sign definitive, binding agreements, they will then seek regulatory approvals. Officials did not say when any final deal might be completed, but stated that there will be no changes to patient care and day-to-day operations during this process.
WHYY is your source for fact-based, in-depth journalism and information. As a nonprofit organization, we rely on financial support from readers like you. Please give today.
English (US) ·