Saturday, November 24, 2012

Vatican steps into fray on hospital sale

The Vatican has put the brakes on Mercy Health’s plan to sell one of its Arkansas hospitals.

Tim Johnson, chief executive of Mercy Hospital Hot Springs told employees in an e-mail that the Vatican has ordered Mercy Health executives to sit down with Bishop Anthony Taylor of Little Rock and try to resolve all of their differences.

Taylor has opposed the pending hospital sale to Capella Healthcare Inc. on various grounds, and accused Mercy Health chief executive Lynn Britton of pushing the deal forward at the expense of the nonprofit’s long-time charity mission in that community.

In a written statement, Mercy Health spokeswoman Barb Meyer acknowledged that the Chesterfield-based health system has received new marching orders from the Vatican.

“Rather than provide approval or denial of our petition at this time,” the statement said, “the Vatican has asked that Mercy engage in further discussions” with the bishop to address his concerns about “ongoing care for the poor, the continuation of Ethical and Religious Directives and the impact of the transition on co-workers.”

Capella, a for-profit health system based in Franklin, Tenn., issued a written statement from Mike Wiechart, its chief operating officer, who indicated that Capella "remains committed to the vision of a united health system in Hot Springs."

Wiechart also vowed to observe the Catholic traditions of the hospital, which established an infirmary in Hot Springs in 1888. 

"We are deeply committed to honoring the ethical and religious directives of the Catholic Church at Mercy Hot Springs and to caring for the neediest of patients," he said. "We look forward to working with Mercy and Bishop Taylor to clarify any concerns, provide assurances, and together, find a solution that is best for Hot Springs."

Meanwhile, the Post-Dispatch has learned that Mercy Health’s chairman of the board, Ronald Ashworth, resigned from the board earlier this month. 

Meyer said she was unaware of any differences that Ashworth might have had with other board members or Britton. She said that Ashworth has worked increasingly with Mercy International Association, an organization that assists the Sisters of Mercy.

Meyer also confirmed that Ashworth has been replaced by board member Charles Thoele.