Idaho Attorney General Raúl Labrador has completed his investigation into potential breaches of Idaho's antitrust regulations involving Coeur d'Alene, Idaho-based Kootenai Health and Grangeville, Idaho-based Syringa Hospital and Clinics.
The investigation, initiated in 2023 in collaboration with the Federal Trade Commission, occurred after Kootenai Health and Syringa entered into a management agreement in 2017. According to a May 16 press release from Mr. Labrador's office, Kootenai Health assumed responsibility for Syringa's CEO by hiring and compensating them, effectively integrating the CEO into Kootenai Health's workforce and granting the health system access to Syringa's confidential information.
Additionally, Kootenai Health acquired Cottonwood, Idaho-based St. Mary's Health and Orofino, Idaho-based Clearwater Valley Hospital from an out-of-state owner in 2020. According to the release, St. Mary's Hospital was Syringa's closest competitor, therefore providing Kootenai Health with access to both hospitals located in Idaho County.
The investigation concluded that St. Mary's and Syringa engaged in conduct violating Idaho's Competition Act. As a result, both Kootenai Health and Syringa have agreed to terminate their management agreement and sign a consent decree under the oversight of Mr. Labrador.
Key provisions of the consent decree include the termination of the employment of Syringa's CEO by Kootenai Health and the termination of all existing agreements between the hospitals, except those sanctioned by the attorney general. Additionally, the hospitals are required to notify the attorney general of any proposed agreements in the future.