WTOC Investigates: Memorial Health sale close to being final - WTOC-TV: Savannah, Beaufort, SC, News, Weather & Sports

WTOC Investigates: Memorial Health sale close to being final

(Source: WTOC) (Source: WTOC)

The sale of Memorial Health is close to being finalized. 

This comes just four months after Memorial board members and the Chatham County Hospital Authority voted to approve the sale of the non-profit hospital to the for-profit organization, Hospital Corporation of America, for $710 million.

We've learned hospital officials are hoping to get this finalized by the end of the year. At a Memorial board meeting on Thursday, they gave members permission to "sign off" on the final details - which should be ready in a couple of weeks.

The details of that final agreement are not yet public, but it's likely based on this letter of intent that HCA sent out in April.

The details of the final agreement are still being finalized but here is a reminder of what was laid out in the letter of intent that the Hospital Corporation of America sent to Memorial Health Board Members and the Chatham County Hospital Authority on April 19th. 

HCA is offering a $710 million package - $430 million of that would pay off the bonds and debt. They are offering $280 million over the next 10 years for capital expenditures and improvements - which includes the Children's Hospital and development in Pooler. All other proceeds will go in a Hospital Authority Trust Fund - money that the hospital will no longer benefit from because it will no longer be a non-profit organization. Instead they'll have to give it other organizations. 

A for-profit organization like HCA does not have to guarantee certain services but charity care for the uninsured would be continued for at least five years. Core services like Level 1 trauma and neonatal care would be continued for at least the first 10 years. And key services like oncology and cardiovascular would be continued for at least five years.  

HCA also intends to continue its affiliation with Mercer University School of Medicine and is looking to potentially expand its facilities in the southeast. 

The existing name of Memorial University Medical Center and its affiliates are expected to remain the same. HCA also plans to offer employment to all of the employees of the system - other than senior management. 

It's unclear if these details will be reflected in the final agreement. Again - that is what they are working on right now.

Of course, we will continue to keep you updated as soon as we get word that the sale is final. Officials expect to sign off on it in September which means the Attorney General would have until December to give the final approval. 

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