BEDFORD, Va. (January 17, 2000) Carilion Health System and Centra Health have signed a letter of intent to jointly own and operate Carilion Bedford Memorial Hospital. The proposed partnership is the result of discussions with physicians, business leaders, board members, and community members. Both organizations think this is the most effective way to meet the future health care needs of the growing Bedford community.
"It's the best way to serve Bedford residents," said Dr. Ed Murphy, Carilion president and CEO. "Our not-for-profit hospital systems have similar missions. Together we can support this hospital as a vital health care resource in the Bedford area."
"Cooperation allows us to put the community's needs first," said George Dawson, president and CEO of Centra Health. "We can use our resources more effectively and efficiently, and patients will see the benefits."
The partnership will be effective upon closing which is expected within the next four months. To create the joint ownership arrangement, Centra and Carilion will each contribute $1.5 million to the Bedford hospital.
The hospital will be governed by an 18-member Board of Directors. Representation on the Board will be equally divided among Carilion, Centra and the Bedford Community. It will be the board's responsibility to make decisions regarding future operations of the hospital, including the hospital's name, management, and how support services are delivered. Howard Ainsley, the current Bedford Memorial Hospital Administrator, will continue in that role with the new organization.
"We're excited about the future," said Ainsley. "We're beginning 2001 with a new medical office building and the support of two excellent health care organizations. That support will allow our dedicated staff to continue to focus on providing the best patient care possible."
Joint operation of the hospital will bring several benefits to Bedford-area residents, including a wider range of local health care services and the joint creation of new health care services.
Currently, no staffing changes are planned as a result of this arrangement. Some reorganization may eventually occur as opportunities arise to work together and operate more efficiently.
Roanoke-based Carilion Health System is a comprehensive integrated healthcare organization serving approximately one million people with 11 not-for-profit hospitals, 9,000 employees and 1,000 affiliated medical staff physicians. Centra Health is a not-for-profit regional healthcare organization headquartered in Lynchburg. Centra Health has over 3,000 employees, a medical staff of 300, and operates two hospitals, a community health center, a nursing home and more. Both organizations provide a comprehensive range of services to their respective regions including emergency care, cardiac care, neo-natal intensive care, and nationally recognized orthopedic care.