Two regional healthcare systems that run five hospitals in four counties are set to join forces in an effort to provide more accessible and affordable healthcare to Southern Tier and Finger Lakes residents.
Officials from Arnot Health and Cayuga Health held news conferences in Ithaca and Elmira on Tuesday to announce the two systems were merging to form a new entity — Centralus Health.
Arnot Health operates three hospitals — Arnot Ogden Medical Center and St. Joseph’s Hospital in Elmira, and Ira Davenport Memorial Hospital in Bath.
Arnot Health also offers walk-in care clinics in Horseheads and Erwin.
Cayuga Health System owns Cayuga Medical Center in Ithaca and Schuyler Hospital in Montour Falls.
“This is an absolutely huge deal for all of us,” said Jan van den Blink, chairman of the Arnot Health board of directors. “This is a relationship built on shared values. We’re bringing two $500 million entities together to make a $1 billion entity. It’s not a small thing.”
In the past few decades, more and more hospitals in New York have merged into larger regional systems, something the state Department of Health has encouraged.
“Consolidation is happening in the industry,” said Dr. Martin Stallone, CEO of Cayuga Health and Centralus Health. “This is an extension of that. We’re very like-minded. This gives us a fresh start. We also complement each other.”
Under the merger, which has been in the works for nearly two years, Centralus Health will focus on capital upgrades to its facilities, providing better access to underserved areas, and improving technology that will enhance patient care, including the rollout of EPIC, an industry-leading health record system, officials said.
It won’t all happen at once, but consumers will notice changes fairly quickly, said Jonathan Lawrence, CEO of Arnot Health and executive vice president of Centralus Health.
“It will be an evolution,” Lawrence said. “Some changes will be made immediately as we expand access to care.”
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A single unified board will oversee the combined organization, but each hospital will retain its own local board, according to Tom LiVigne, chairman of the Cayuga Health board of directors.
“Our collaboration isn’t just about joining forces. It’s about reimagining how we can best serve our communities,” LiVigne said. “This partnership is rooted in shared values, a deep commitment to local communities, and unwavering focus on delivering superior healthcare.”
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