Phelps Health and Salem Memorial Hospital have completed the due diligence process, where leadership teams from both organizations worked together to collect and share regulatory and financial information about SMH.
“Based on the results from the due diligence process, we will continue to work with SMH on the findings and how they impact our next steps,” Jason Shenefield, Phelps Health CEO, said. “Representatives from Phelps Health and SMH have collaboratively identified some areas that must be worked through to move forward.”
In the meantime, Phelps Health has shared definitive agreements with SMH, which outline the proposed transaction in detail and negotiate the terms and conditions.
While the contractual agreement is in the review phase, determining when an affiliation may occur is difficult.
“We know there is a lot of interest in identifying a timeframe for when an affiliation is anticipated,” says Brooke Bollman, SMH CEO. “Currently, a timeline remains unclear because of the current contract negotiation and the follow-up items identified during the due diligence process.”
Leadership teams from both organizations continue to work cooperatively to reach a mutually beneficial agreement. “If everything comes together as we intend, this potential affiliation could create a sustainable future for rural healthcare and Dent County,” said Shenefield.
Keeping accessible healthcare in the community remains a top priority.
“We are committed to ensuring that all of our community residents have the necessary resources and support for optimal health,” Bollman said.
ABOUT PHELPS HEALTH
Phelps Health serves over 200,000 residents in south-central Missouri. Phelps Health is county-owned, non-tax supported and is overseen by a five-member elected board. Phelps Health employs more than 1,900 people with 100-plus providers. Phelps Health, which includes a hospital licensed for 240 patient beds, serves a six-county area, with its main campus and several clinics in Rolla, Missouri. Phelps Health also has clinics in Salem, St. James, Vienna and Waynesville, Missouri. For more information, visit phelpshealth.org.
ABOUT SALEM MEMORIAL DISTRICT HOSPITAL
Salem Memorial District Hospital (SMDH) is a 25-bed Critical Access Hospital located in Salem, Missouri, in the heart of the Ozark National Scenic Riverways. SMDH offers the following services: a rural health clinic, an emergency room with a Level 4 Stroke and STEMI Center, an 18-bed long-term care facility, an ambulance service and an Air-Evac Life team on site. SMDH employs more than 200 people and proudly serves Dent County and a portion of Shannon, Crawford and Iron counties. For more information, visit smdh.net.