The Daughters of Charity Health System, a regional health care system with 22 sites including Saint Louise Regional Hospital in Gilroy and five others along the California coast, is up for sale, according to a press release sent out today.
The DCHS Board of Directors announced its decision to solicit proposals from Catholic, public, nonprofit and for-profit organizations to purchase DCHS hospitals individually or the health system in its entirety.
Saint Louise, which has been under the DCHS system since 2011, has 96 licensed beds and saw 26,000 patients walk through its emergency room doors in 2012. Per the DOCHS policy, no one is turned away because of inability to pay. After a patient is cared for, a financial adviser will work with that patient if he/she is uninsured.
What’s next for Saint Louise remains to be seen.
The decision to sell follows a “lengthy process” during which DCHS leadership carefully reviewed its options to preserve its hospitals and access to care,” the press release states.
“After careful consideration, our Board, management team and advisors have determined that the sale of our hospitals is the most sound and responsible business decision,” said Robert Issai, President and Chief Executive Officer of DCHS. “Like other health systems across the country, we recognize that the way health care is provided today – where it is offered, how it is paid for, how it is measured – is changing dramatically, and we believe that new ownership is in the best interest of the communities we serve.”
DCHS continues to explore options to allow its hospitals to flourish and maintain access to care, while working diligently at the local, regional and system level, the press release states.
Last year, DCHS formed an affiliation with Ascension Health which remains in effect, but “while benefits have resulted from the affiliation, DCHS hospitals will not merge with Ascension Health,” according to the press release.
“This decision to sell our health care ministries has been difficult, particularly for the Daughters of Charity. But the realities of modern health care are harsh, and after prayerful discernment, it became clear that the responsible thing to do is to find new ownership, blessed with the resources necessary to thrive,” said DCHS Board Chair, Sr. Marjory Ann Baez.
“For DCHS, it is our hope that the buyer(s) share our vision to protect the legacy of care the Daughters of Charity have built, preserve jobs, and ensure that all members of the community have access to affordable, high-quality health care for years to come,” continued Issai.
Along with hospital transaction advisors, DCHS leadership has already begun pursuing the sale of its hospitals in Northern California and is commencing the process for its Southern California hospitals and the health system as a whole.
“As always, patient care remains our top priority. Access to patient care services at all of our health care ministries will remain uninterrupted as we move forward on this journey,” added Issai. “Our associates, physicians, patients and business partners should be assured that we remain very aware of our responsibilities to them as we navigate toward a solution.”
About Daughters of Charity Health System
DCHS hospitals include: Seton Medical Center, Daly City; Seton Coastside, Moss Beach; O’Connor Hospital, San Jose; Saint Louise Regional Hospital, Gilroy; St. Vincent Medical Center, Los Angeles; and St. Francis Medical Center, Lynwood. DCHS was formed in response to the health care needs of the people of California. Every day, more than 8,000 associates and physicians serve patients.
More details will be added to this story. Check back soon.
