WakeMed leaders hosted a listening session at the Cary Hospital Wednesday to discuss the independent nonprofit hospital system’s proposed $2 billion merger with the state’s largest healthcare system, Charlotte-based Atrium Health.
Earlier this month, the Wake County Board of Commissioners was slated to amend WakeMed’s articles of incorporation and property agreement for the merger via a vote on its consent agenda.
Under the proposal, the county would retain appointments to eight seats on WakeMed’s 14-member board of directors and Atrium would appoint the remaining six. But commissioners delayed their vote by 90 days in response to concerns about the speed and secrecy surrounding the deal.
At the community forum Wednesday, WakeMed President and CEO Donald Gintzig told a room of some 50 people that the so-called strategic combination proposal was a three-year effort between the two nonprofit hospital systems’ boards and leadership to reflect on the state of healthcare and develop a strategic plan that includes partnerships and collaborations with other local healthcare systems.
Gintzig emphasized that WakeMed’s commitment to charity care and supporting local communities would remain unchanged.
While the bulk of the $2 billion investment will go to redeveloping WakeMed’s aging flagship campus in Southeast Raleigh, the merger will also see expansions of the Cary Hospital and Raleigh’s North Hospital campuses with the addition of inpatient beds and new clinical services.
Cary Hospital is the only full-service, inpatient hospital serving the town of around 200,000.
Residents still have concerns as hospital consolidations across the country frequently drive up healthcare costs.
“Before we hand over control of WakeMed Cary, we need clear protections for local patients and a lot more transparency than we’ve seen so far,” Cary Town Councilmember Lori Bush told the INDY in an email earlier this month.
“The pattern we see nationally, and in N.C., is that when large systems like this acquire local hospitals, competition shrinks and prices rise. That’s not what our neighbors need now.”
After news of the proposed merger between Atrium and WakeMed became public, WakeMed competitor UNC Health offered to invest $5 billion in WakeMed as part of a proposed merger; WakeMed turned down the offer.
Wake County commissioners do not have the authority to approve or block the merger with Atrium but their signoff on legal changes is required and if the arrangement with Atrium fails, WakeMed facilities revert back to the county. Commissioners have asked WakeMed leaders to attend a work session early next month to answer questions about the merger and have a joint discussion.
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