What did the Board decide to do?
After weighing a wide range of multiple factors, the Board has decided to pursue other ways to affiliate with Spectrum Health, instead of a merger. Additional affiliations to provide services for northern Michigan will continue to be explored throughout the Munson Healthcare system, with Spectrum Health, Trinity Health, Northern Michigan Regional Health System and University of Michigan Health System. The goal remains unchanged - ensuring that Munson stays a Top 100 quality provider long into the future.
Is Spectrum now out of the picture?
Spectrum Health remains a preferred partner and we will continue to have discussions about future projects that we might accomplish together to enhance services to patients in northern Michigan. All of the analysis done by national experts confirmed that Spectrum Health would be a good partner because we share similar quality, culture, geography and financial strength.
What were the specific factors that impacted the decision?
The analysis was exhaustive, and many factors came into play. While no one factor trumped the others, the board recognized that:
After considering all of the factors, all partnership and affiliation options needed to be explored and fully vetted. There is significant opportunity to achieve many of the benefits sought through a merger by strengthening existing affiliations and partnerships, and creating new relationships.
The community's need for a greater understanding of the challenges we face and possible solutions, as well as the community's desire to explore all options. We listened to the community, and that input told us the time wasn't right.
What were the results of the FTI Cambio review?
The key takeaways from the FTI Cambio review are:
The Munson Healthcare Board's premise for exploring potential partnerships and affiliations is valid.
There will be a need for more inpatient beds at Munson Medical Center in the future.
Future capital access for Munson Healthcare will be difficult without making some trade-offs; if MHC continues forward as a stand-alone entity, it will likely have to accomplish its objectives with more limited resources.
A significant financial gap exists between what needs to be done and what Munson Healthcare can fund on its own.
Did the community's reaction to a merger sway the decision?
It's important to note that only 12% of those surveyed said they were against a merger with Spectrum Health. But another 42% said they needed more information, and we took that seriously. The need for more information and education in the community was among the many factors that impacted the Board's decision.
Will the Board be talking with U of M?
The Board is committed to following up on this communication, and we will be meeting with U of M in the next couple of weeks.
What was Spectrum Health's reaction to the decision?
They are respectful of the Board's decision and are interested in talking with us about how we can continue to work together to improve care in northern Michigan.
Is Spectrum still interested in working with Munson?
Yes. We will continue to discuss how we might work together, but no specific projects are currently on the table.
Will Corporate Members meet to discuss this decision?
Yes. An informational session is scheduled with Corporate Members. We have already communicated with the Corporate Members about the decision. This will be a follow-up meeting to answer questions they may have.
What are the next steps?
All of the challenges we have talked about in the past few months are not going to go away. Our needs and our goals have not changed. Our next steps are to redouble our efforts to provide the community with a greater understanding of the challenges we face and the possible solutions. At the same time, we are continuing to explore alternative ways to meet those needs.
How will this decision impact what you said you needed, such as a cancer center and a bed tower?
Again, the needs are very real. We continue to experience days when patients have to spend the night in the Emergency Department because all of our beds are full. The needs haven't changed, and we have to find ways to provide the capacity and the services our region needs. Our financial analysis clearly indicated that we can't do this on our own. Partnerships are essential, and we are focused on strengthening existing partnerships and creating new relationships so that we can address these critical needs.
How are you going to communicate with the public going forward?
This is complex issue and we've learned that the best way to communicate is in person. Munson Healthcare leaders will continue to meet with people in small group settings, like the Lunches with Ed. We will also continue to keep the community informed through other face-to-face meetings, through the media and in our publications. Educating the community is going to take time, but we're in it for the long haul. We are very interested in hearing your views, so please call us on the Voices and Views phone line at (231) 935-2000, or e-mail us at voicesandviews@mhc.net. You also can find updated information at munsonfuture.org. Please tell us what you think.
What has Munson learned through this process?
We learned these important things:
Our key assumptions were on target. The needs and challenges we originally outlined are real and imminent.
Spectrum Health would be a good partner for us because we have a lot in common in terms of quality, culture, geography, and sound business practices.
Additionally, we have many partners and affiliations that currently join with us in providing services for northern Michigan. These relationships need to and will continue to be explored for ways we might work together to further improve and coordinate health care services in the region.
Our community has strong feelings about this hospital. It really values the personalized, friendly care people get here, and the community does not want that to change.
Spectrum's interest, and the interest of other high quality health systems to create partnerships with Munson Healthcare, is a testament to the high quality system we have here.
