St. Margaret's Health in Spring Valley and Illinois Valley Community Hospital in Peru have signed a binding definitive agreement to consolidate their healthcare operations to form a regional health network.
The new organization will be governed by SMP Health System, for which St. Margaret's is a member, through a new regional parent company that will have board members representing the local communities historically served by the two health systems.
Both St. Margaret’s and IVCH have recently submitted certificate of exemption applications to the Illinois Health Facilities and Services Review Board, for a change of ownership. After the affiliation is complete, IVCH will be known as St. Margaret’s Health — Peru. Likewise, St. Margaret’s Hospital will be known as St. Margaret’s Health — Spring Valley.
“We are extremely pleased that IVCH has chosen to partner with St. Margaret’s and the SMP Health System. SMP Health System is looking forward to working with our IVCH colleagues to create a vibrant healthcare network which will better serve the needs of the Illinois Valley community,” said Aaron K. Alton, President/CEO SMP Health System in a press release. “This new partnership will also help to expand the Mission of the Sisters of Mary of the Presentation.”
“Our collective efforts will allow us to better address the challenges we face in today’s healthcare climate,” added Tim Muntz, St. Margaret’s President/CEO in a press release. “This affiliation allows us the opportunity to enhance our operations and services, while also exploring the possibilities of bringing additional services to our community.”
St. Margaret’s and IVCH intend to finalize their affiliation by the end of this year, pending approval by the IHFSRB. Once the affiliation is complete, the combined entities will conduct a thorough assessment of both facilities, the services provided and the needs of the communities that they serve.
"Joining St. Margaret’s and SMP Health System provides us the best opportunity to preserve the care provided by IVCH and ensure the health needs of our community will be met long into the future,” said Tommy Hobbs, CEO at IVCH. “Nothing is more important to us than the well-being of those we serve.”
It is anticipated that the full integration of the two organizations will take one to two years.