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FSU Proposes Takeover of Tallahassee Memorial Hospital

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Aerial view of Tallahassee Memorial Hospital with sunset in background

News Summary

Florida State University (FSU) is considering a takeover of Tallahassee Memorial Hospital (TMH) to transform it into an academic medical center. This proposal has sparked controversy among local leaders and community members, particularly regarding governance changes and potential impacts on healthcare services. The hospital has proposed a new structure and rebranding as ‘Aerris Alliance,’ raising concerns about local control. Amid ongoing discussions, TMH urges the community to oppose the sale due to fears about healthcare corporatization and service availability.

TALLAHASSEE – Florida State University (FSU) is eyeing a takeover of Tallahassee Memorial Hospital (TMH) in hopes of transforming it into an academic medical center, stirring up controversy among local leaders and community members. A recent town hall meeting held at Bethel AME Church drew approximately 60 attendees who discussed the implications of this proposed shift.

The controversy began when TMH proposed changes to its governance structure, indicating a desire for a new board to oversee an anticipated regional expansion. This move prompted concerns among city officials, who fear it would decrease their oversight of the hospital. Tallahassee Mayor John Dailey articulated these concerns, stating that the proposal represents a significant expansion of TMH’s authority.

TMH’s restructuring proposal included a detailed 17-page document highlighting major changes, which are set to encompass a rebranding effort under the name “Aerris Alliance.” This document outlines new governance structures that could potentially alter the future of healthcare in the region.

Mark O’Bryant, CEO of TMH, criticized Mayor Dailey and City Manager Reese Goad for purportedly holding undisclosed meetings with FSU’s president, raising alarm about a perceived “hostile takeover.” In response, Goad confirmed that meetings with FSU had taken place prior to public discussions and emphasized that these discussions spanned several months, aiming at enhancing collaboration in healthcare services.

Amid rising tensions, TMH initiated a video and email campaign urging community members to oppose the potential sale, stressing that ownership could significantly impact local healthcare services. According to TMH, no formal request for a sale has been made, and they continue to support establishing an academic medical center in conjunction with FSU Health.

A city commission meeting is scheduled for Wednesday, March 26, where the future of TMH, including the prospect of a sale, will be discussed. Historically, TMH has operated under a lease agreement with the City of Tallahassee, costing only $1.00 per year, while serving as a crucial healthcare provider for the community over the decades.

City leaders emphasize the necessity for a comprehensive community discussion regarding the future direction of healthcare services in Tallahassee, particularly in light of TMH’s proposed governance changes. The anticipated changes come amid larger conversations about the expansion of healthcare facilities in the region, potentially in partnership with FSU.

Recently, TMH has opted to retract its proposal for an immediate governance overhaul. However, dialogues regarding potential mergers with FSU are ongoing, with both entities indicating that their conversations have been constructive. Still, various community concerns persist, such as potential loss of local control, fears of healthcare corporatization, and apprehensions about reduced service availability for vulnerable populations.

In light of these developments, Mayor Dailey has stressed that the city must evaluate its long-term interests concerning TMH’s ownership. He pointed out that any governance changes must be transparent and encourage active community input. The outcome of the upcoming city commission meeting is likely to shape the future of healthcare in Tallahassee.

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