By Gail Bulfin - Florida Catholic
MIAMI — Mercy Hospital Board of Directors, Catholic Health East and the Sisters of St. Joseph of St. Augustine recently announced plans to sell Mercy Hospital to Hospital Corporation of America for an undisclosed amount. It would mean that Miami-Dade’s only independent Catholic hospital would now become part of the investor-owned HCA chain.“This will be a seamless process for patients, their families, our associates and physicians,” said Dr. Manuel P. Anton, III, president and chief executive officer of Mercy Hospital. The hospital will remain Catholic. Daily Mass will continue as will the display of crucifixes and other religious symbols.
Mercy Hospital is a 473-bed acute care hospital, staffed by over 700 physicians with over 1900 employees.
Officials from Mercy Hospital, Catholic Health East and the Sisters of St. Joseph said that this was not an easy decision. Several years were spent reviewing and implementing different strategies as Mercy continued to face declining revenue.
In 1998, an offer from Baptist Health South Florida was considered but differences in Catholic teaching were viewed as too wide to overcome when it was learned that one of Baptist’s facilities, South Miami Hospital, performed abortions. Later that year, Mercy Hospital became part of the Catholic Health East network. Mercy also forged an arrangement to share some business services with Holy Cross in Fort Lauderdale, hoping to gain efficiencies.
Catholic Health East says it supports the decision to sell Mercy to HCA. Archbishop Thomas Wenski also has given his approval. Upon completion of the sale, Holy Cross will be the only remaining Catholic Health East hospital in south Florida.
While the details are still being worked out, the process for the sale began a few weeks ago with the signing of a letter of intent. HCA is now engaged in the due diligence process, examining financial records and evaluating the possible sale. Once complete, the parties will sign an official agreement, followed closely by closing of the transaction. Sources are hopeful the deal will be completed by the end of the year.
HCA is the largest for-profit hospital operator in the United States with over 160 acute care facilities. The company is divided geographically. Mercy Hospital will be administered by the HCA East Florida Division which currently oversees 12 hospitals, 12 outpatient surgery centers and numerous other facilities in south Florida, including Kendall Regional Medical Center, Westside Regional Medical Center and Plantation General Hospital.
It is this experience in local communities that first appealed to Catholic Health East and Mercy Hospital. “They already have a hospital in Miami. They know how to work with this community. And they bring a lot of knowledge on how to be successful here,” said Sister Barbara Cekosh, the Sister of St. Joseph who chairs the board of Mercy Hospital.
Mercy Hospital’s long history in Miami-Dade began in the late 1940’s. Miami’s population grew dramatically around the time of World War II and there was a shortage of medical facilities. The Church bought the land south of Vizcaya and began fundraising. The hospital opened in late 1950 under the auspices of the Diocese of St. Augustine, the only diocese for the state at the time.
The Sisters of St. Joseph of St. Augustine were asked to help staff the hospital and in 1966 became the hospital’s sponsor. They continue in that role today.
“In the ‘50s, our order was primarily devoted to teaching and nursing,” said Sister Catherine Bitzer, archivist for the Sisters of St. Joseph and the Diocese of St. Augustine. The order traces its roots to the 1600s in France and arrived in Florida in 1866.
The proposed deal with HCA would allow the sisters to continue in the role of sponsors of Mercy Hospital.
According to Sister Ann Kuhn, general superior of the Sisters of St. Joseph of St. Augustine, sponsorship is a very critical responsibility and one that is not taken lightly. “Being a sponsor ensures that the hospital is Catholic not only in name but in fact.”
The initial discussion indicates that both a Catholic identity committee and Mercy ethics committee will be formed; and the sisters will continue to retain a presence on the board.
While not typical, for-profit health care companies do have a track record in dealing with religious health facilities. There are several faith-based within the HCA chain including St. David’s Healthcare in Texas and Menorah Hospital in Kansas. HCA officials were not able to confirm whether any were Catholic. Locally, St. Mary’s Medical Center in West Palm Beach is one of several Catholic institutions in the Tenet chain.
Mercy has a strong commitment to emerging community needs. In 1960, they opened their doors to Cuban-exiled physicians, helping them to rebuild their lives in the U.S. Mercy Hospital School of Nursing was founded in 1981. And the St. John Bosco Clinic in Little Havana was created in 1992 to help the poor and disadvantaged.
Nursing is another area in which HCA and Mercy Hospital share expertise. The Research Medical Center in Kansas City, Missouri, is home to a nursing program that started in 1905 and still remains as part of the hospital’s identity.
Sister Cekosh said she feels comfortable with the new situation. “We are impressed with HCA. We are both committed to maintaining our high quality standards in health care.”
In recent years, Mercy has received many awards including Center of Excellence Award from the American Society of Bariatric Surgery, and was named one of the best hospitals of 2009-2010 in the U.S. World & News Reports evaluation. In January, a nationwide survey named Mercy Hospital one of the top 5 percent in the nation for outstanding clinical performance.
