Published in the November 11-24, 2015 issue of Morgan Hill Life
By Sister Margaret Keaveney
Sister Margaret Keaveney
In an effort to answer questions and clarify facts, I offer the following information regarding the future of Saint Louise Regional Hospital, a member of the Daughters of Charity Health System.
California Attorney General Kamala Harris will soon decide whether to approve DCHS’s proposed transfer of ownership to Verity Health System, a new nonprofit corporation. Under the agreement, Verity Health System will receive financial backing from BlueMountain Capital Management, and management services from Integrity Healthcare. Upon approval of the proposal, Saint Louise Regional Hospital will no longer be a Catholic institution but will continue operating as a nonprofit hospital. More importantly, it will remain open and be able to provide the consistent, excellent care this community needs and deserves.
Saint Louise Regional Hospital is the sole provider of acute services in South County. The closest non-Kaiser acute care facility is more than 30 miles away. The same high quality and compassionate care is available to all members of the community including the commercially insured, the Santa Clara Family Health Plan and the Valley Health Plan members, and the Blue Cross MediCal populations. Our Health Benefits Resource Center helps the uninsured obtain coverage through the Affordable Care Act.
Saint Louise is proud of the physicians, nurses, volunteers and members of our staff who are part of this community. They dedicate their time, wisdom and expertise to the sick and injured who find solace, treatment and healing.
Our hospital successfully completed its three-day Joint Commission for the Accreditation of Healthcare Organizations triennial survey. The survey team spoke with one voice when they said, “This hospital has an incredible team of healthcare providers.” During the past 90 days, we have delivered 85 babies, performed 600 surgeries, and served nearly 7,000 patients in our emergency department.
The attorney general holds the future of Saint Louise in her hands. This decision will either allow the hospital to continue operating and providing service to South County, or it could cause the closure of this hospital. The members of our community certainly agree the closure of Saint Louise is not an option. The impact would not only burden the sick, the pregnant and the injured, but would also cause a significant negative impact on the economy through the loss of hundreds of union and non-union jobs.
DCHS has examined the Blue Mountain/Integrity Healthcare offer carefully. This transaction protects pension plans and union contracts. Additionally, $260 million of capital will be infused into the hospitals by BlueMountain to support a successful turnaround and growth strategy. Perhaps most important, under this transaction, hospital operations will continue uninterrupted.
The attorney general can approve the sale with conditions. We pray the conditions will be reasonable. Placing burdensome conditions on the transaction could hinder the future viability of the hospital. BlueMountain intends to keep them operating and it’s in the company’s best interest to do so. Burdensome conditions are those preventing changes to the present operating system. The system is losing money. The rapidly changing healthcare environment demands making changes if Saint Louise, and all DCHS hospitals, are to survive.
Sister Margaret Keaveney is a Daughter of Charity of St. Vincent de Paul and the current president and CEO of Saint Louise Regional Hospital. She wrote this column for Morgan Hill Life.
