The purchase is pending regulator approval which will be done when the formal purchase is announced. A plus coming from this will be the expansion of psychiatric and substance abuse services in Lynn. The US Department of Justice and state Attorney General Martha Coakley’s office is expected soon to release their results and conclusion of an anticompetitive behavior from Partners so that as I read it has to come first. BD
Partners HealthCare System unveiled a regional strategy Wednesday for expanding medical services on the North Shore, acknowledging for the first time it has signed an agreement to acquire the Hallmark Health hospitals in Medford and Melrose.
Under the plan, which needs state and federal approval, Boston-based Partners would absorb Melrose-Wakefield Hospital and Lawrence Memorial Hospital in Medford. It would convert Lawrence Memorial from an acute care hospital with 134 beds to a short-stay hospital with 20 to 40 beds, while renovating the 234-bed Melrose-Wakefield Hospital.
Gottlieb said Partners plans to spend $300 million at the Hallmark hospitals, $190 million at Salem Hospital, and $30 million to $40 million at Union Hospital to expand primary care and community health and upgrade facilities and information technology. The moves are expected to reduce Partners’s total medical expenses by $300 million over five years, he said.
Gottlieb said Partners executives planned to formally notify regulators of its plans in the coming days. They include the Justice Department and the state Attorney General’s office, which monitor antitrust issues; the state Department of Public Health, which issues hospital licenses; and, the state’s new Health Policy Commission, which works to reduce health costs.