Princeton hospital and OSF agree to consider partnership options

After a year of exploring transformation pathways for the hospital's future, the Perry Memorial Hospital Board has decided to look further at partnership options with OSF HealthCare.

A news release issued by OSF HealthCare Tuesday morning states Perry's hospital board plans to make this recommendation to the Princeton City Council at its next meeting on Monday, Aug. 5.

The release also states that additional information will be made available following the vote.

Perry Memorial Hospital and OSF HealthCare have had a relationship for nearly 50 years, with Perry formally being an independent affiliate of OSF since 2007.

Perry's CEO and President Annette Schnabel stated, "As we think about the future of health and wellness in the communities we serve, we know that a partnership with a comprehensive and integrated delivery system is in the best interest of our patients.

"We don't know what form that may take, but we look forward to further discussion with the City of Princeton and OSF HealthCare to explore the ways in which we may work together," she stated.

OSF HealthCare CEO Bob Sehring stated, "We have a longstanding relationship with Perry Memorial Hospital, marked by a deep mutual respect and a desire to keep quality health care services available and close to home for those we serve."

Sehring continued, "Our work in innovation has helped provide access to medical expertise and subspecialities for residents of rural communities who would have otherwise had to travel long distances to obtain the care they need."

Tuesday's announcement likely comes as no surprise to the Princeton City Council, which will consider the proposal at next month's meeting.

In May, Schnabel completed a three-part presentation series to the council where she unveiled information that the hospital board had been exploring collaboration models, partnerships and what it would look like for Perry if it remained an independent hospital.

Schnabel explained how trends in rural health care and the digital age were transforming the health care industry, which has resulted in big changes for small hospitals all over the state.

She made it clear that Perry was not in financial distress. In fact, Perry ended its most current fiscal year with a $764,000 profit, a big turnaround after coming off a 10-year profit loss streak.

Schnabel said this was Perry's way of getting ahead of the curve and looking at options from a strategy perspective for the hospital's future.

Perry Memorial Hospital is a municipally-owned hospital in Bureau County that dates back to 1903. The 25-bed critical access facility is one of Bureau County's largest employers with a workforce of more than 370 people.

OSF HealthCare is an integrated health system owned and operated by The Sisters of the Third Order of St. Francis, headquartered in Peoria. OSF HealthCare employs nearly 21,000 employees in 126 locations, including 13 hospitals — nine acute care, four critical access — and two colleges of nursing.

Its physician network employs more than 1,200 primary care, specialist physicians and advanced practice providers.