The Central Community Hospital (CCH) Board of Directors and Mercy Health Network (MHN) announced today that a Letter of Intent for Mercy to acquire CCH and fully integrate the hospital into Mercy Health Network has been signed. The agreement is pending the results of a mutual due diligence period, with the official ownership change set for July 1, 2018.
The agreement is aimed at providing long-term sustainability for CCH, as well as stability for the community. Besides strengthening the overall position of the hospital, CCH leaders also stress there are a number of other benefits to being an owned affiliate of MHN. For example, employees will benefit from being a part of a larger system, which will provide them enhanced career path options. Patients will also benefit from this new relationship.
“We have been in a successful management relationship with Mercy Health Network for the past 17 years, and aligning ourselves now as an owned affiliate strengthens this relationship and takes our partnership to a new level,” explained Robert Bodensteiner, president of the CCH Board of Directors. “As a hospital, we are making this decision from a position of strength, so the board is confident this is the right move for the hospital and the community.”
CCH is an important employer in Elkader and continues to remain financially strong despite growing pressures on small, rural hospitals nationwide due to lower reimbursements, changing demographics and declining populations. This transition will allow the hospital to remain financially strong and serve the community far into the future.
“We are committed to enhancing the health and wellness of area residents, so becoming a full affiliate of Mercy Health Network will bring more services and enhanced access for our patients,” said Brooke Kensinger, CEO of Central Community Hospital.
Likewise, MHN officials are pleased with the addition of CCH and what it means to the residents of Northeast Iowa.
“We are excited to have Central Community Hospital transition to a fully-aligned affiliate of Mercy Health Network,” says Bob Ritz, CEO of Mercy Health Network. “Our long-standing relationship has been very positive and we are pleased to continue partnering with Central Community Hospital and the community they serve.”
Kay Takes, President of Mercy– Dubuque, adds “Mercy Dubuque has enjoyed close ties to the Elkader community for many years. I’m looking forward to the opportunity to work even closer with the wonderful staff and physicians of Central Community Hospital. The prospect of CCH fully integrating with Mercy Dubuque and Mercy Dyersville is exciting. These three hospitals working in concert with MHN’s latest affiliate in Guttenberg will provide all of us the opportunity to collaborate and innovate for our patient's benefit.”
About Central Community Hospital
Based in Elkader, Iowa, Central Community Hospital (CCH) was first founded in 1961. The hospital is managed by a board of directors and has a long history of serving the residents of Elkader and surrounding rural areas. They are one of the smallest critical access hospitals in the state and are well-respected in the medical community for the quality of care they provide. For more information on CCH, go to: http://centralcommunityhospital.com/.