Case Details

Year Initiated/Committed

2015

Year Resolved

2015

Settlement Amount

n/a

Court

Cabell County Circuit Court, West Virginia

Docket Number

15-C-542

Lead State

WV

Participating States

WV

Defendant(s)

Cabell Huntington Hospital, Inc.; St. Mary’s Medical Center

Case Description

The attorney general reached an agreement with two hospitals in the Huntington WV area who were merging. The agreement requires, among other things 1) that St. Mary’s Medical Center will be maintained as a free-standing, general acute care, faith-based organization for the seven-year period;2) Neither hospital will increase its service rates beyond the benchmark rate established by the West Virginia Health Care Authority; 3) If the combined operating margins of the hospitals exceed an average of 4 percent during any three-year period, the hospitals’ rates will be reduced by the amount of excess for the following three years; 4) Both hospitals will release employees from any non-compete agreements following the termination of their employment 5) The hospitals will maintain open staffs and grant privileges to all qualified physicians, and not terminate privileges to those who start offering services in competition to the hospitals (excluding groups that historically have operated under exclusive agreements) 6) The hospitals will not oppose the award of a certificate of need by the state Health Care Authority to any health care provider that seeks to provide services in their market area; 7) the hospitals will establish a fully integrated and interactive medical record system at both facilities so that patient encounters can be readily available to physicians at both hospitals; 8) they will notify the Attorney General’s Office within 90 days of any proposed addition or deletion of any health care service line.