August 12, 2019 | Modern Healthcare 23
On the other side, Catholic authorities tout their height-
ened fidelity to the religious rules. The bishops’ revised
ERDs state that in collaborations with non-Catholic or-
ganizations, everything the Catholic organization con-
trols by acquisition, governance or management “must
be operated in full accord with the moral teaching of the
Catholic Church.” Additional language bars the estab-
lishment of an independent entity to “oversee, manage,
or perform immoral procedures.”
The Catholic Health Association declined to comment
for this article.
The most conservative Catholic hospital
Dr. Joseph Pepe, CEO of GraniteOne Health and of the
Catholic Medical Center, said CMC performs thorough
aud its to ma ke su re t he hospita l abides by t he ER Ds. “Ou r
Catholicity has strengthened over the last seven years to
the point where I believe we are the most conservative
Catholic hospital in New England,” he boasted.
Even so, he and other hospital leaders involved in the
proposed partnerships in New Hampshire and North-
ern California stress that those deals are structured to
preserve the governing autonomy and philosophical
positions of both the Catholic and non-Catholic orga-
nizations.
The combination between Dartmouth-Hitchcock and
GraniteOne would establish two corporate co-mem-
bers—Dartmouth Hitchcock Health GraniteOne and the
Catholic Medical Center Health System. The latter would
continue to be controlled by the bishop of the Manches-
ter, N.H., diocese. The bishop would have the power to
ratify or veto any decisions by the system’s board relating
to CMC, particularly regarding adherence to the ERDs.
The partnership between Adventist Health and St. Jo-
seph would set up a joint operating company, with each
partner retaining management and control over its own
facilities. Neither would be allowed to cause the other to
violate its religious rules. The agreement would establish
a process for resolving any religious conflicts over care.
If no resolution were reached, either party could dissolve
the joint operating company.
The Catholic partners in these proposed deals hope
the way they’ve structured the agreements will convince
Catholic religious authorities that they don’t violate the
ERDs. They stress that the Catholic organization will
maintain the religious care rules within its walls, and
won’t control or profit from prohibited services provided
by the partner organization.
John Haas, president of the National Catholic Bioeth-
ics Center, said the proposed agreement in Northern
California appears carefully designed to avoid any kind
of oversight or financing by St. Joseph of services provid-
ed in Adventist facilities that violate Catholic rules, thus
avoiding “immoral cooperation with illicit activities.”
Pepe said his organization learned from the failed
merger with Dartmouth-Hitchcock a decade ago to
build in ironclad protections for continued adherence to
Catholic rules.
“There will be clear prohibitions preventing other
TOTAL PROFIT
HOSPITAL^ CITY, STATE^ MARGIN
St. Elizabeth Community Hospital Red Bluff, Calif. 18.83
St. Thomas More Hospital Canon City, Colo. 0.18
Mercy Regional Medical Center Durango, Colo. 12.3
St. Mary’s Medical Center Grand Junction, Colo. 9.61
St. Joseph Regional Medical Center Lewiston, Idaho -1.79
OSF St. James - John Albrecht Medical Center Pontiac, Ill. 28.08
Franciscan Health Crawfordsville Crawfordsville, Ind. 16.78
St. Anthony Regional Hospital Carroll, Iowa 7. 8 7
MercyOne Clinton Medical Center Clinton, Iowa 5.29
MercyOne North Iowa Medical Center Mason City, Iowa 8.36
Morton County Hospital Elkhart, Kan. -23.75
St. Catherine Hospital Garden City, Kan. -7.59
Ascension Via Christi Hospital Pittsburg. Kan. -6.29
Bob Wilson Memorial Grant County Hospital Ulysses, Kan. -15.64
St. Claire Regional Medical Center Morehead, Ky. 2.59
Natchitoches Regional Medical Center Natchitoches, La. 5.05
OSF St. Francis Hospital Escanaba, Mich. 4.92
Ascension St. Joseph Hospital Tawas City, Mich. 2.8
Essentia Health - St. Joseph’s Medical Center Brainerd, Minn. 13.01
Essentia Health St. Mary’s - Detroit Lakes Detroit Lakes, Minn. 8.05
Mercy Hospital Lebanon Lebanon, Mo. 28.3 4
SSM Health St. Mary’s Hospital - Audrain Mexico, Mo. -14.32
St. James Healthcare Butte, Mont. 7.72
CHI Health Good Samaritan Kearney, Neb. 17.82
Christus St. Vincent Regional Medical Center Santa Fe, N.M. 11.58
Genesis Hospital Zanesville, Ohio 4.57
Mercy Hospital Ada Ada, Okla. 0.24
Mercy Hospital Ardmore Ardmore, Okla. 3.11
Jane Phillips Medical Center Bartlesville, Okla. 15.11
St. Francis Hospital Vinita Vinita, Okla. NA
St. Alphonsus Medical Center - Ontario Ontario, Ore. 3.1
Mercy Medical Center Roseburg, Ore. 21.86
Avera St. Luke's Hospital Aberdeen, S.D. -3.76
Avera Queen Of Peace Hospital Mitchell, S.D. 4.02
Avera St. Mary's Hospital Pierre, S.D. 0.79
Avera Sacred Heart Hospital Yankton, S.D. 13.82
Christus Spohn Hospital Alice Alice, Texas 12.27
Christus Spohn Hospital Beeville Beeville, Texas 18.92
Ascension Seton Highland Lakes Burnet, Texas 1.3
Christus Spohn Hospital Kleberg Kingsville, Texas 14.81
Covenant Health Plainview Plainview, Texas 2.81
PeaceHealth St. Joseph Medical Center Bellingham, Wash. 3.83
Providence Centralia Hospital Centralia, Wash. 8.33
St. Agnes Hospital Fond Du Lac, Wis. 1.78
Ascension St. Mary's Hospital Rhinelander, Wis. 18.97
Howard Young Medical Center Woodruff, Wis. 15.41
Sources: MergerWatch, Modern Healthcare MetricsWA MTOR IDCACONM
TXOKKSNESD MN WIILMI
INOHKYIA
MOLACommunities where Catholic-owned
facilities are the sole community hospital= hospitalNote: As of 2017%