Samaritan, Confluence drop negotiations for affiliation

MOSES LAKE — Samaritan Healthcare and Confluence Health will keep working on collaboration efforts, but negotiations for an affiliation agreement have been dropped, at least for the time being.
The two organizations had been working on what was called "a vertically integrated healthcare delivery system" for about 18 months, according to a joint press release.
"In May, both parties signed a Memorandum of Understanding (MOU) and began the process of due diligence, to evaluate and plan various aspects of the proposed affiliation including further assessment of the proposed financial models," the press release said.
"Through this process it has become clear the work group would not be able to find a sustainable financial model that is acceptable to both parties. While no action has been taken to suspend the MOU, the organizations have determined the integrated model proposed in the MOU is not workable," the press release said.
Samaritan CEO Teresa Sullivan said the two organizations "remain committed to working collaboratively toward the future."
Gretchen Youngren, director of development and communications for Samaritan, said the end of the model envisioned in the MOU - at least for now - it doesn’t mean the end of working together. "The original purpose of the affiliation was to increase access to care for patients in the Moses Lake area," Youngren wrote. "Although there will not be a vertically integrated model between Samaritan and Confluence at this time, both organizations are committed to pursuing ways they can work together in the future. This means the original intent of the guiding and critical success factors for affiliation will still be at the forefront of partnership and collaboration discussions."
Hospital district officials will continue talking with Confluence officials about cooperation options. "The affiliation planning team will be meeting again in the coming weeks to discuss where we go from here," she wrote
"As it has been in recent years, Samaritan Healthcare’s financial position is very strong," Youngren wrote. "We continue to look at the ever-changing healthcare reimbursement environment and its potential effect on all healthcare economics."
So far, hospital district officials haven’t looked further for affiliation partners. "At this point in time there has been no discussion with any other entities on affiliation. Both Samaritan Healthcare and Confluence Health remain committed to working together collaboratively toward the future," Youngren wrote.

Cheryl Schweizer can be reached via email at education@columbiabasinherald.com.