Committee Returns To Square One In Search For Hospital Operator

 

Huntsville, TN (2011-04-04) Nearly a year after Mercy Heath Partners announced its intention to terminate its lease with the County on the Scott County Hospital, Scott County has been forced to return to the beginning in its search for a new operator for the facility.

Mercy Health Partners has apparently notified the County that the two finalists for acquiring the Knoxville assets of the financial struggling healthcare corporation have indicated they will allow the lease on Scott County Hospital to lapse next year. 

On March 31, 2011, County Mayor Jeff Tibbals and Community Development Committee Chairman Paul Strunk met with Mercy President and CEO Jeff Ashin and Jack Bryan, interim CEO of Saint Mary’s Medical Center of Scott County, to discuss recent developments in Mercy’s search for a company to acquire its remaining assets. At the meeting, Ashin reported that the search committee had narrowed the choices to two candidates. Both of those candidates have apparently expressed their intention to allow the lease on the Hospital to lapse without intervention. “This means that on May 24, 2012, the lease will expire, and we will be without an operator,” Strunk said.

In response, Strunk recommended that the Commission put into action a Request For Proposals (RFP) that was drawn up in December 2010. The original RFP was drafted to work in concert with the Mercy RFP, but that cooperation was withdrawn while Mercy searched for a company to acquire all its Knoxville assets, including Scott County. “I regret that we’re in this spot. We’ve lost four months, but it’s time to move forward,” said Strunk.  Despite the current situation, Mercy has pledged its support in assisting Scott County find an operator for local hospital. “(Mr. Ashin) said he would help look over anyone we found,” Tibbals said.

Strunk hoped the Commission would approve the RFP at its next meeting on April 18, 2011 and set a tentative deadline of June 3, 2011 for responses to the RFP.

Mercy Health Partners, per terms of its lease agreement, notified Scott County in May 2010 that it would cease operations of the local hospital on May 24, 2012.