PeaceHealth says this was not personality driven, nor was it a disagreement over philosophy, but rather the inability to come to an agreement on technical financial issues that had to do with contracts and financing.
In August, PeaceHealth signed a letter of intent with CHI to form a new organization with the goal of creating an integrated health system in the Pacific Northwest.
PeaceHealth says it was excited because this was an innovative venture.
The new system would have incorporated 20 percent of CHI hospitals and all eight of PeaceHealth’s medical centers.
The challenge was creating a new organization while still having two parent organizations.
“I think there is not a sense of surprise because we knew it was a difficult and uphill challenge to build this new organization,” said Jenny Ulum, PeaceHealth spokesperson.
Patients won’t notice a difference, but PeaceHealth says this is symbolic of what’s happening in health care.
We are embarking on an area of unprecedented reform. We don’t know what the future holds, but PeaceHealth says the sense in the industry is that that it does have to become stronger to survive in the future.