Mercy and Catholic Health Initiatives have signed a nonbinding letter of intent to transfer ownership of Mercy Hot Springs hospital and physician clinic to CHI and its St. Vincent Health System in Little Rock, Ark.
Chesterfield, Mo.-based Mercy and Englewood, Colo.-based CHI said in an Oct. 14 statement that they want to enhance the Catholic health ministry and strengthen access to health care through the proposed deal. They hope to complete the transaction by Dec. 31.
Mercy President and Chief Executive Lynn Britton said in a statement, "Ultimately, the (Mercy) board determined that the transfer of Mercy Hot Springs to CHI has the best opportunity to ensure a strong, sustainable future for Catholic health care in Hot Springs, enhance health services across the region, and provide opportunities for our coworkers and physicians."
CHI's St. Vincent Health System plans to offer employment to those currently working for Mercy Hot Springs, the systems said. It also intends to retain the charity care and core health services provided by Mercy in the Hot Springs, Ark., area, they said.
Mercy Hot Springs includes a 282-bed acute care hospital, the only Level II trauma center in southwest Arkansas and an 80-physician clinic organization.
Bishop Anthony B. Taylor of the Diocese of Little Rock said the proposed sale will provide a way for Catholic health care to continue Jesus' healing ministry in Hot Springs and the surrounding area. In a statement, Bishop Taylor said he looks forward to working with CHI and Mercy during the period of due diligence and negotiations. He said he is hopeful that the synergy in the resulting CHI network "can improve service to the poor and provide even better service to all the people of central Arkansas."