Officials at Robinson Memorial Hospital in Ravenna, Ohio, are hoping to change the hospital's state from a county-owned entity to a non-profit facility, according to a Record Publishing report.
President and CEO Stephen Colecchi and Board President Gordon Ober argued the change is necessary in light of changing Medicare and Medicaid reimbursements. They said the status change would allow the hospital to have more flexibility in investments and partnerships and lower employee costs. Under the state Constitution, county-owned hospitals are restricted in what kind of partnerships and investments are made, according to the report.
If the hospital is granted a status change, a separate corporation would be created to operate the hospital through a lease agreement with county commissioners, according to the report. This would allow the financial obligations to be shifted to the potential corporation as well, though county commissions would retain the title to all hospital real estate under any lease agreement. For now, the hospital is expected to pen a potential lease document for county commissioners to consider.
Read the news report about Robinson Memorial Hospital's plan to switch to non-profit status.
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President and CEO Stephen Colecchi and Board President Gordon Ober argued the change is necessary in light of changing Medicare and Medicaid reimbursements. They said the status change would allow the hospital to have more flexibility in investments and partnerships and lower employee costs. Under the state Constitution, county-owned hospitals are restricted in what kind of partnerships and investments are made, according to the report.
If the hospital is granted a status change, a separate corporation would be created to operate the hospital through a lease agreement with county commissioners, according to the report. This would allow the financial obligations to be shifted to the potential corporation as well, though county commissions would retain the title to all hospital real estate under any lease agreement. For now, the hospital is expected to pen a potential lease document for county commissioners to consider.
Read the news report about Robinson Memorial Hospital's plan to switch to non-profit status.
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