With the stroke of a pen, Erlanger Health Systems took the second-to-last step toward managing Hutcheson Medical Center and injecting millions into the North Georgia community hospital.
Erlanger President and CEO Jim Brexler signed the 48-page document first, followed by representatives from Catoosa, Dade and Walker counties. The Chattanooga hospital is expected to funnel a $20 million line of credit into Hutcheson, which is losing physicians, patients and $1 million a month.
On Monday, various Hutcheson boards are expected to approve the deal, officially closing it, but Brexler emphasized that the hospital rescue still is in its earliest stages.
“This isn’t the magic bullet,” he said.
Hutcheson laid off about 75 employees on April 4, and officials from both hospitals gave no specific word Thursday whether more staff reductions will follow.