Cass City, Mich.-based Hills & Dales Healthcare and UnitedHealthcare Partners have signed a nonbinding letter of intent to combine the two organizations.
UnitedHealthcare Partners is an affiliate between Deckerville (Mich.) Community Hospital, Marlette (Mich.) Regional Hospital and Marlette-based Heartlands Marlette Senior Living. United Healthcare Partners CEO Angie McConnachie said in a Nov. 1 news release the organizations are eyeing a merger due to the pace of change and operational and financial headwinds in the healthcare industry.
Hills & Dales Healthcare President and CEO Andy Daniels said in the release that as three of the 12 independent critical access hospitals in Michigan, they are well positioned to come together and create a more connected care network.
As part of the agreement, the organizations have, among other things, committed to:
- Maintain and enhance the immediate and long-term financial viability of the combined health system.
- Maintain the hospitals as acute care facilities while continuing to invest and grow core and specialty services so that more complex cases can be treated locally.
- Invest in infrastructure improvements and updates.
- Devote resources to improve recruitment and retention across the entire workforce, including primary care and specialty care physicians and advanced practice professionals
The organizations are currently in a period of mutual due diligence to determine the details of a final agreement, according to the release. They hope to finalize an agreement in early 2024, pending further board approvals and regulatory reviews.