Providence Medical Center was sold to a for-profit hospital system, Prime Healthcare Services Inc., today shortly after the Kansas attorney general's announcement that the sale could go forward.
Cheston Turbyfill, director of public affairs for the Sisters of Charity of Leavenworth Health Systems, confirmed that the sale had taken place earlier today.
Pirme Healthcare bought both the Providence and St. John hospitals.
"Prime Healthcare understands how important these acute care hospitals are to the residents of Wyandotte and Leavenworth counties and intends to help the facilities provide the high quality of healthcare that they deserve." said Dr. Prem Reddy , in a news release. He is the chairman, president and CEO of Prime Healthcare Services. "Prime Healthcare's motto is saving hospitals, saving jobs and saving lives, and we expect to continue that in Kansas."
At a presentation last week, the sale was estimated at $60 million. But SCL Health Systems officials said last week there would be no net proceeds from the sale, because bond debt was estimated at $103 million and operations losses were estimated at $78 million for the past 10 years, leaving a $121 million deficit to be absorbed b the SCL Health Systems. Last week, SCL Health Systems officials said there would be no community charitable fund established by the sale, but SCL Health Systems would continue operating the Duchesne Clinic here for the needy.
An official of Prime Health last week stated that there would be no major changes visible to patients after the hospitals are sold.
An agreement is in place for Prime to keep emergency room and acute care services open for five years, and also agreed to maintain at least the same level of charity care, according to a spokesman. The charity care provision is now a binding agreement with the Kansas attorney general. Prime also has promised to provide at least $10 million for capital and other investment projects during the next 10 years. There also will be a community advisory board.
SCL Health Systems officials testified last week that this was the best offer for the hospitals. Several testified the hospitals might have to close unless they were sold. Most people testifying at the public hearing were in favor of the sale, although there were two opposed, and one wanting to get all agreements in writing.
Providence Medical Center, 8929 Parallel Parkway, is the only acute care hospital on the west side of Wyandotte County. It has 400 beds. St. John Hospital, which has 80 beds, is in Leavenworth.
Prime Healthcare is based in Ontario, Calif.