Ashland Community Hospital Presentation to City Council
Why was Dignity Health selected for an affiliation with Ashland Community Hospital? What benefits does the Board believe Dignity will bring? What would the proposed merger mean for retaining services at the Hospital?
These and many other questions will be answered in a televised public meeting of the Ashland City Council on Tuesday, October 16 at 7:00 p.m. at 1175 East Main Street.
The Board of Directors of Ashland Community Hospital will make a presentation to the Council during the Councilís regular business meeting on how they arrived at their decision to affiliate with Dignity. This will not be a public hearing, although Councilors will be able to ask questions of the Hospital board. City Council meetings are broadcast live on channel 9 and are streamed live via the Rogue Valley Community Television website.
Ashland Community Hospital has been working for more than a year on a plan to affiliate with another hospital or a hospital group, in light of financial projections showing that current hospital operations are unsustainable. The ACH Board contracted with a consultant to conduct a national search for a partner. That search elicited five proposals, and the Board selected the proposal submitted by Dignity Health, a San Francisco-based hospital chain with 42 hospitals in its portfolio. Since last spring, ACH and Dignity have been engaged in a due diligence period. The boards of both entities have now voted to move forward with a merger and details of an affiliation agreement are being worked out.
Because the City is the sole shareholder in the ACH corporate structure and because the City owns the hospital building and property, any affiliation agreement between Dignity and ACH will have to be approved by the City Council. The Council will also have to enter into a new lease agreement with Dignity.
Itís expected that the affiliation agreement and the lease will be forwarded to the Council at its November 6 meeting. The Council will take public testimony on those agreements at that time. Both agreements will be posted on the City web site as soon as they have been completed.
For more information about the Cityís process regarding hospital affiliation, please contact Dave Kanner, city administrator, at 541-488-6002, or at email@example.com.
Release Date: 10/3/2012