St. Joseph Medical Center Board Recommends Transfer to University of Maryland Medical System
For immediate release: March 23, 2012
TOWSON, Md., – Catholic Health Initiatives (CHI) accepted the recommendation of the St. Joseph Medical Center (SJMC) board of directors at its meeting today to transfer SJMC to the University of Maryland Medical System (UMMS) from CHI, its current sponsor. The decision comes after a year-long evaluation of strategic alternatives and discussions in recent months with Catholic and other not-for-profit health care organizations that expressed interest in SJMC.
The board recognized that as health care reform continues to evolve, it will be critical for health providers to be part of a regional network of coordinated health care organizations including hospitals, physicians, payers and other related health entities in geographically proximate areas.
The parties have agreed to enter into exclusive negotiations with the intent of signing a non-binding Letter of Intent to transfer ownership of St. Joseph Medical Center to University of Maryland Medical System. Terms of the agreement will be negotiated and followed by a Definitive Agreement. The transfer will need to be approved by Catholic Health Initiatives, federal, state and Church authorities prior to the transaction closing.
UMMS has committed to honor SJMC’s Catholic identity and its religious heritage.
Catholic Health Initiatives is a national nonprofit health organization with headquarters in Englewood, Colo. The faith-based system operates in 19 states and includes 76 hospitals; 40 long-term care, assisted- and residential-living facilities; two community health services organizations; two accredited nursing colleges; and home health agencies. In fiscal year 2011, CHI provided more than $612 million in charity care and community benefit, including services for the poor, free clinics, education and research. With annual revenues of more than $10.5 billion, CHI is the nation's second-largest Catholic health care system.
St. Joseph Medical Center is a 263-bed nonprofit, regional medical center in Towson, Md., and a member of Catholic Health Initiatives. Founded in 1864 by the Sisters of St. Francis, St. Joseph is the only NCI Community Cancer Centers Program in Maryland and has been recognized by U.S. News & World Report as one of America’s best orthopaedic facilities. For more information about St. Joseph Medical Center, visit www.StJosephTowson.com.
The University of Maryland Medical System (UMMS) is a private, not-for-profit network of 12 academic, community and specialty hospitals throughout Maryland. As the third-largest private employer in the Central Maryland Region, UMMS generates nearly $3.5 billion in economic activity and has almost $3 billion of annual operating revenues. UMMS employs 15,000 people, has more than 2,300 licensed beds and more than 120,000 annual patient admissions; which is more admissions in Maryland than any other healthcare provider.