Potential buyer steps forward for HSHS hospitals facing closure

A Wisconsin independent physician network has reached out to Springfield, Ill.-based Hospital Sisters Health System hoping to purchase some of its hospital properties in Wisconsin.

Eau Claire, Wis.-based OakLeaf Medical Network, the largest independent physician network in the state, has 26 clinics that operate across 15 counties in Northwestern and Western Wisconsin, according to a Feb. 1 network news release. 

The network reached out to HSHS on Jan. 31 hoping to begin negotiations to purchase some of its hospital properties that are slated for closure with the intent of creating an independent community hospital, Kyle Dettbarn, MD, chair of the board of directors for the network, said in the release. The network said it is working to keep HSHS open in the short term and expand the number of hospital beds in the other hospitals in the region. 

"We are optimistic that we can work together to preserve these critical hospital beds and services quickly," he said.

HSHS recently shared closure plans for Chippewa Falls, Wis.-based St. Joseph's Hospital along with Eau Claire, Wis.-based Sacred Heart Hospital and multiple regional health centers the health system operates with Green Bay, Wis.-based Prevea Health. The two hospitals were expected to close on or before April 21, with the health centers closing on or before June 30, according to a Jan. 22 joint HSHS and Prevea Health release shared with Becker's.

News of the potential purchase comes as Wisconsin Gov. Tony Evers addressed the HSHS and Prevea Health closures with annoyance, noting that the state had not received a warning regarding the closures, the La Crosse Tribune reported Feb. 1.

"I'm a little frustrated in that we didn't get any heads up on that, nor did their employees. We can't be happy about what's going on here as part of the state. In Eau Claire and the area north, people aren't getting the services they need," Mr. Evers said during a Jan. 31 visit to La Crosse, Wis.-based Western Technical College, the publication reported.

The Evers administration is also checking in on how the state can provide aid to both the healthcare workers and areas affected by the closures. The administration plans to use its new healthcare task force to pinpoint solutions for the state's ongoing healthcare marketplace struggles. Along with concerns over a growing healthcare workforce shortage, Mr. Evers pointed to the state's failure to pass Medicaid expansion plans as a contributing factor for the ongoing healthcare issues.

Richard Helmers, MD, regional vice president of Mayo Clinic Health System in Northwest Wisconsin, also expressed thoughts and sympathies to patients and staff affected by the closure announcements. 

"Though we are exceptionally busy at all of our locations, we are actively working to identify opportunities to safely increase our ability to serve more patients," Dr. Helmers said in a statement shared with Becker's. "We are committed to continuing to provide safe, high-quality care to those who need us, and we look forward to collaborating with others in the community to support everyone through these changes to our regional healthcare landscape."

The HSHS spokesperson also told Becker's the health system is committed to providing information and resources to patients to help with the care transition, including supporting their employees as well.

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