Hamilton County Commission to vote next week for Erlanger's transition to private corporation

Staff photo by Matt Hamilton / Erlanger Hospital on Friday, August 12, 2022.

Hamilton County commissioners will vote next week on an agreement that would allow Erlanger Health System, the Chattanooga region's largest hospital and only safety-net provider, to transition from a government entity to a private, nonprofit corporation.

The 50-page agreement was distributed following Wednesday's county commission meeting and is the product of eight months of negotiations between lawyers representing the county and the Erlanger Board of Trustees.

The document contains 13 covenants that the new nonprofit organization, Erlanger Health, must adhere to once it becomes private and is therefore no longer subject to the sunshine laws that currently provide a window into operations at the health system, which brings in more than $1 billion net revenue annually and is the county's largest employer.

An Oversight Monitor Board will ensure that Erlanger upholds the covenants for 15 years after the transition is complete.