Franklin, Tenn.-based Community Health Systems acquired an 80 percent ownership interest in a joint venture entity with Indianapolis-based IU Health in March, which included essentially all of the assets of 227-bed IU Health La Porte (Ind.) Hospital and 50-bed IU Health Stark Hospital in Knox, Ind. Now, LaPorte County officials are concerned about CHS' finances, according to The Northwest Indiana Times.
In November, LaPorte County commissioners asked CHS to publicly disclose the terms of the IU Health transaction. They specifically wanted to know if IU Health could buy back the majority stake in La Porte Hospital that CHS purchased earlier this year.
In a Dec. 12 letter to the county commissioners, Joyanna Kleinmaier, chairman of the board for La Porte Health System, which includes La Porte Hospital, an outpatient surgery center and a multispecialty medical group, said IU Health would have the first right to purchase back La Porte Hospital if CHS decided to sell the facility. However, she gave no indication in her letter that CHS intended to do so, according to the report.
"We value our relationship with the good people of LaPorte County and its elected leadership," Ms. Kleinmaier wrote in the letter, according to the report. "We look forward to continuing that relationship and creating a caring and healing environment that provides the highest quality of care possible."
Shaw Friedman, LaPorte County attorney, told The Northwest Indiana Times he was not satisfied with the response, as there is still a lot of uncertainty around the CHS-IU Health transaction. "This was a start but I think communication needs to continue," he said. "Hopefully, there will be a continued effort made by members of the community to press for answers from CHS."
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