In an effort to help ensure future growth and the continuation of high quality healthcare for Saline County and central Arkansas residents, the Board of Directors for Saline Memorial Hospital has voted to create a public-private partnership with Capella Healthcare.*
How does a partnership between a public, not-for profit hospital and a private, for-profit company work? And the answer to that is actually very simple. Saline Memorial Hospital will remain a tax-exempt, not-for-profit charitable status, the county will continue to own the hospital property, and the hospital will continue to provide charity care. Capella Healthcare will create a for-profit entity that will funnel profits back into the organization, creating margin to invest back into the hospital
While this sounds a bit confusing, Saline County residents can rest assured that this partnership is in the best interest for the local community. According to Bob Trautman, CEO of Saline Memorial Hospital, “We are excited about continuing to enhance our services and having support for recruitment efforts—which this partnership will allow. Operationally and culturally, we will remain who we’ve always been, but we’ll now have the ability to expand our footprint in the region, becoming more accessible to our community.”
When asked where this will take Saline Memorial Hospital in the future, Bob responds, “This partnership gives us the financial support to not only take care of facilities, but it will also help us grow and enhance our services. In order to be competitive in the care we provide, we must have a partner to sustain our organization. We are confident it will be a productive collaboration.”
Capella Healthcare just completed a merger with RegionalCare Hospital Partners, becoming RCCH HealthCare Partners, creating an even stronger partner for Saline Memorial Hospital. RCCH is a private company with 16 regional health systems in 12 states, including two in Arkansas—National Park Medical Center in Hot Springs and Saint Mary’s Regional Medical Center in Russellville.
With the philosophy that all healthcare is local, RCCH collaborates with each hospital’s medical staff, board and community leadership to take patient care to the next level. Based in Franklin, Tennessee, Capella Healthcare has access to significant leadership and financial resources, investing 100% of net cash flow in its family of hospitals to strengthen and expand services and facilities.
“We are honored to be chosen as Saline Memorial Hospital’s partner for the future,” shares Michael Wiechart, President and CEO of RCCH HealthCare Partners and former President and CEO of Capella. “We look forward to working with the outstanding team to determine how we can best meet the needs of this community and the surrounding region in the future.”
He adds, “Thanks to the strong commitment of the co-workers and medical staff, Saline Memorial Hospital is an outstanding community hospital. With more than 60 years of service and national recognition for their high quality, we look forward to learning from Saline as well as sharing with them. Our guiding principle is that ‘all health care is local’ and that’s why partnering with strong, progressive organizations like Saline Memorial Hospital makes sense.”
That ‘all health care is local’ principal means that local leaders operate the hospital. Shares Michael, “The added resources we bring to the table – with best-in-class vendor partners, leadership development support and capital investments – help support the initiatives hospital leaders prioritize.”
Also, Bob Trautman reassures the welcoming feeling that greets patients when they walk in the door of the hospital or clinic will also remain. “Saline Memorial Hospital has a lot to offer, and the new partnership doesn’t change this. Our family-like atmosphere and friendly culture will remain. This partnership will allow us to continue serving the Saline County community even better than in the past.”
With these benefits in mind, it looks like this partnership is a definite win for Saline Memorial Hospital, and an even bigger win for the central Arkansas community as a whole.
*Capella is now RCCH HealthCare Partners, following its merger with RegionalCare Hospital Partners on April 30.