April 25, 2024
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Bill passes General Assembly to allow St. Margaret’s to operate under one license

State Rep. Lance Yednock (D-Ottawa) leads push to allow hospitals in contiguous counties to do so

By Shaw Local News Network
St. Margaret's and IVCH had signed a binding definitive agreement to consolidate their health care operations to form a regional health network. The new organization will be governed by SMP Health System, of 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.

A bill sponsored by state Rep. Lance Yednock (D-Ottawa) to allow hospitals in contiguous counties to operate under the same license and lower administrative costs passed both chambers of the General Assembly. (Shaw Local News Network)

A bill sponsored by state Rep. Lance Yednock (D-Ottawa) to allow hospitals in contiguous counties to operate under the same license and lower administrative costs passed both chambers of the General Assembly.

The bill heads to Gov. JB Pritzker’s desk for consideration.

“The recent merger of St. Margaret’s Health and Illinois Valley Community Hospital helped the General Assembly recognize a gap in existing law,” Yednock said. “Senate Bill 1435 is a common-sense solution to a significant problem in our community and streamlines hospital operations and administration.”

Senate Bill 1435 allows St. Margaret’s Spring Valley and St.Margaret’s Peru to operate under a single license even though they are in separate counties. Current law dictates hospitals in two separate counties must operate under separate licenses, which means although the two branches of St. Margaret’s are less than five miles apart, they still would have to operate under two different licenses. Senate Bill 1435 solves this problem and allows the two branches to operate under one license, with a single board of directors, staff and CEO.

“St. Margaret’s Spring Valley and St. Margaret’s Peru may be separated by a county line, but they are one health care system serving one community,” Yednock said. “I thank my colleagues on both sides of the aisle for their support for this bill. When we work together, we improve communities across the state.”