Reprinted with permission from Times Union
ALBANY – A state Health Department committee has approved Columbia Memorial Heath’s (CMH) request to make Albany Medical Center its new parent.
The decision of the Public Health and Health Planning Council is the final regulatory hurdle for the plan, with a hoped-for effective date by January 1, according to Albany Med spokesman Jeffrey Gordon.
In its proposal to the state, Columbia Memorial asserted that the move would make the delivery of health services in its region more efficient and stable, while also saving costs. The plan involves no exchange of cash or assets.
Columbia Memorial lost $2.2 million in 2013, $550,000 in 2014 and nearly $400,000 in the first half of this year, Health Department documents show. Albany Med had operating income of $10 million in 2013 and $34.7 million in 2014.
The proposal, which will undergo review by the hospitals’ lawyers, would make Albany Med parent and co-operator of Columbia Memorial. Albany Med would have the right to approve appointments to Columbia Memorial’s Board of Directors; the hiring and firing of the Hudson hospital’s CEO, in consultation with the Columbia Memorial board; budgets and strategic plans; and debt exceeding $1 million that the smaller hospital planned to acquire.
Medical services at the 192-bed Hudson hospital and its satellite clinics would not change, according to the proposal.