COLDWATER, MI (WTVB) – The Community Health Center of Branch County remains on track financially to a possible breakeven year in 2015 as it moves forward following word late last week that CHC had settled an antitrust complaint filed against the hospital by the U.S. Justice Department and the Michigan Attorney General’s office. Health Center President and CEO Randy DeGroot said yesterday that the litigation involved in defending CHC since the complaint was filed a year ago had cost the hospital an estimated $150,000. The Community Health Center disputed the allegations that it had joined 4 other hospitals to unlawfully draw up territories for marketing purposes.
The CHC Board of Trustees held their regular June meeting last night and learned that the hospital in May had its fifth straight positive net income month compared to a year ago at this time when the Health Center had already lost more than $1.5 million in 2014. Last month’s net income was nearly $65,000, bringing the total profits for the year to almost $394,000.
CHC posted losses that totaled more than $7 million combined for last year and 2013. It’s one of the reasons the Health Center continues to pursue a strategic partner and that effort is heating up. The Board last night approved a letter of intent to enter into a management agreement with ProMedica Health Systems of Toledo, Ohio. The proposed deal ultimately could lead to ProMedica acquiring the hospital in Coldwater.
Any such agreement would have to be approved by the Branch County Board of Commissioners.
