Eleventh-hour power struggles may kill a partnership between two area hospitals because no one can answer a fundamental question: Who’s in charge at Hutcheson Medical Center?
On April 3, three of Hutcheson’s four decision-making boards approved a management agreement with Erlanger Health System, Chattanooga’s largest health care facility.
The lone holdouts – trustees from the Hospital Authority of Walker, Dade and Catoosa Counties – joined three days later, but a major “caveat” may nullify the deal, in which Erlanger would inject a $20 million line of credit into the ailing Hutcheson in Fort Oglethorpe.
A contingent resolution passed at the same time as the Hospital Authority’s pro-Erlanger vote would replace two long-existing Hutcheson boards – Hutcheson Medical Center Inc. and Hutcheson Health Enterprises Inc. – with the Hospital Authority’s nine trustees and their own appointees. The kicker is that the two boards must vote to relinquish their own power.
EXISTING BOARD STRUCTURE
Hospital Authority of Walker, Dade and Catoosa Counties: Owns the hospital building and oversees the lease. Its nine trustees are appointed by county commissioners.Hutcheson Medical Center Inc.: Private, nonprofit company that leases the facility and operates the hospital.Hutcheson Health Enterprises: Nonprofit parent company of Hutcheson Medical Center and Hutcheson Medical Division.Hutcheson Medical Division: For-profit sister company to Hutcheson Medical Center. Operates medical offices and practices. Its board oversees Hutcheson’s clinics.