Health network to invest $3 million over the next five years
SCOTTSBURG, Ind. (Jan. 2, 2013) – The Regional Health Network of Kentucky and Southern Indiana, a joint venture of Norton Healthcare and LifePoint Hospitals, today announced that it has finalized the acquisition of Scott Memorial Hospital, a 25-bed critical access hospital serving Scott County, Ind.
Under the terms of the agreement, the Norton Healthcare and LifePoint joint venture will invest $3 million over the next five years in the hospital and collaborate with Scott Memorial to strengthen the services it offers, invest in new technology, recruit needed physicians, and ensure the continuum of care for patients through specialized healthcare services provided by Norton Healthcare. Other terms of the agreement were not disclosed.
“Scott Memorial is very pleased to finalize this acquisition,” said Donna Faris, chair of the Scott Memorial Hospital Board of Directors. “We chose Norton Healthcare and LifePoint as the best owner for Scott Memorial Hospital because of the clinical and operational resources and expertise they bring to our community as well as their commitment to quality care and the future of this hospital. We are excited about the many advantages this acquisition will bring to our patients, employees and medical staff.”
All Scott Memorial employees were offered employment at the hospital, subject to pre-employment screenings. Additionally, the services offered at the hospital will be maintained and expanded as capital investments are made in technology and new physicians are recruited. Norton and LifePoint have agreed to maintain Scott Memorial’s commitment to provide charity care. Because the Norton Healthcare and LifePoint joint venture is a tax-paying organization, the community also will benefit from new tax revenues the hospital will provide.
“Norton Healthcare and LifePoint are excited to partner with Scott Memorial to enhance care in Scott County and the surrounding areas,” said Stephan A. Williams, president and CEO of Norton Healthcare. “Together, with the hospital’s management team, employees and medical staff, we look forward to enhancing the services Scott Memorial offers and ensuring the continuum of care for its patients today and for years to come.”
The acquisition of Scott Memorial Hospital by the Regional Health Network of Kentucky and Southern Indiana will be the first for the joint venture between Norton Healthcare and LifePoint, which was formed in May 2012. LifePoint is the managing partner and Norton Healthcare serves as the clinical partner.
“We are pleased that Scott Memorial Hospital is the first hospital to join the Regional Health Network of Kentucky and Southern Indiana,” said William F. Carpenter III, Chairman and Chief Executive Officer of LifePoint Hospitals. “We see great opportunities to enhance the care provided in this region. We are excited to partner with Scott Memorial to expand the hospital’s services to meet the needs of the community and make investments in new technology, physician recruitment and other key areas that will help strengthen its operations.”