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GraniteOne Health, Dartmouth-Hitchcock in Merger Talks

Analysis  |  By John Commins  
   January 28, 2019

Dartmouth-Hitchcock Health is anchored by the 396-bed Dartmouth-Hitchcock Medical Center in Lebanon, the largest hospital in the state. GraniteOne Health includes flagship Catholic Medical Center, a 330-bed hospital in Manchester.

Two of New Hampshire's largest hospitals have signed a nonbinding letter of intent to combine their two organizations.

In a joint media release, Dartmouth-Hitchcock Health and GraniteOne Health said the merger "will build on years of successful community engagement and clinical collaboration in order to meet the growing demand for seamlessly integrated primary, specialty, ambulatory and inpatient care, offering patients a high-quality, lower-cost, New Hampshire-based alternative choice to out-of-state providers."

The health systems described the letter of intent is first step in what they expect will be a lengthy process of at least 18 months that will include due diligence, public input, and clearance from state and federal regulators.

"As the healthcare landscape continues to evolve, it is important for healthcare systems to evaluate how we can best serve our patients and communities, and prepare for the future so we can continue to provide the high level of care that people expect," said Dartmouth-Hitchcock CEO Joanne M. Conroy. 

"By combining these two top healthcare organizations, we would create a patient-focused, unique and unparalleled option for New Hampshire that is responsive to community needs and patients' desire for cost-effective, high-quality care," she said.

Dartmouth-Hitchcock Health serves New Hampshire and eastern Vermont, anchored by the 396-bed Dartmouth-Hitchcock Medical Center in Lebanon, the largest hospital in the state, and New Hampshire's only academic medical center. The health system includes the Norris Cotton Cancer Center, and the Children's Hospital at Dartmouth-Hitchcock, the state's only children’s hospital.

GraniteOne Health includes flagship Catholic Medical Center, a 330-bed hospital in Manchester, along with the New England Heart & Vascular Institute, Huggins Hospital in Wolfeboro, and Monadnock Community Hospital in Peterborough.

The merger would expand Dartmouth-Hitchcock's footprint in the Manchester service area.

Catholic Medical Center will continue to adhere to its Catholic care model while Dartmouth-Hitchcock will continue to serve its patients in all its existing healthcare venues. All care venues in the combined system will keep their current names, identities, and local leadership.

"I am impressed with the deliberate discussions that have taken place thus far and I believe that this combined system would strengthen Catholic Medical Center's ability to care for the suffering and sick in our community, while at the same time maintaining the integrity of its Catholic identity," said the Most Reverend Peter Libasci, Bishop of Manchester.

Conroy said Dartmouth-Hitchcock respects the historical role that Catholic Medical Center has played in the Manchester area. At the same time, she told Vermont Digger that Dartmouth-Hitchcock would continue to provide contraception, fertility treatment and sterilization services.

"Healthcare is a deeply personal experience and it is important to assure all our patients that they will continue to receive the healthcare services they want and need, at the place and time they want them," she said.

News of the proposed merger comes less than one year after the New Hampshire Attorney General's office gave the go-ahead to the merger of Elliot Hospital in Manchester and Southern New Hampshire Health in Nashua.

The approval was granted, even though state regulators said the information about the merger provided by the two hospitals "lacks the specificity needed to confirm that it is in the best interest of the communities the organizations serve." 

Among the concerns raised in the report is that the merger could reduce competition among health providers in Southern New Hampshire, possibly leading to increased costs for consumers. But state reviewers determined that the merger can proceed as proposed by the hospitals. 

Dartmouth-Hitchcock had attempted unsuccessfully to affiliate with Elliot before it merged with Southern New Hampshire Health.    

“By combining these two top healthcare organizations, we would create a patient-focused, unique and unparalleled option for New Hampshire that is responsive to community needs and patients' desire for cost-effective, high-quality care”

John Commins is a content specialist and online news editor for HealthLeaders, a Simplify Compliance brand.


KEY TAKEAWAYS

The merger would expand Dartmouth-Hitchcock's footprint in the Manchester service area.

Catholic Medical Center would 'continue to adhere to its Catholic care model.'

Dartmouth-Hitchcock would continue to provide contraception, fertility treatment, and sterilization services.


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