Munson Healthcare officially assumed ownership of the former Mercy hospitals in Cadillac and Grayling on Sunday, opening a new era for the organization and strengthening access to quality health care in northern Michigan.
The purchase caps a successful long-term partnership with Trinity Health in both communities.
“This is a great moment in our organization’s history, and an important time for our region as we collaborate more closely than ever to bring the communities we serve top-quality care as close to home as possible,” said Ed Ness, president and CEO of Munson Healthcare. “We look forward to working with the staffs at both Munson Healthcare Cadillac Hospital and Munson Healthcare Grayling Hospital to put our shared values to work for our patients.”
Munson Healthcare and Trinity Health entered into purchase negotiations last May; the deal was finalized Friday. The hospitals have been affiliated with Munson Healthcare for more than 15 years.
The purchase also includes the former Mercy Manor in Grayling, now Munson Healthcare Crawford Continuing Care Center, and Mercy Home Care and Hospice Northern Michigan, now part of Munson Home Health. In all, the agreement brings some 1,500 former Mercy staff members under the umbrella of Munson Healthcare owned facilities.
As part of the transition to new ownership, ceremonies were scheduled at the facilities to honor founders the Sisters of Mercy and the rich cultural legacy they brought to their communities.
Ness also announced some changes to Munson Healthcare’s leadership structure in support of the growing health system. Al Pilong Jr., in addition to his current role as president of Munson Medical Center in Traverse City, will be taking on the additional role of senior vice president of hospital operations for Munson Healthcare. In his new role, Pilong will focus on common integration issues at each of the system’s four owned hospitals, specifically ensuring high quality continuity of care and a strong culture of safety.
Munson Healthcare is also developing other system leadership positions that will focus on areas such as oncology, surgical services, finance, and human resources, to provide greater coordination and support among system hospitals.
“We are making these changes to ensure we optimize collaboration and coordination of high-quality, low-cost care for all patients in northern Michigan,” Ness said. The seamless provision of quality care was a priority throughout the purchase process. A Transition Task Force, led by former Mercy Hospital Cadillac CEO John MacLeod, was established to ensure community needs were met, with input from leaders from the hospitals in Cadillac and Grayling, Mercy Home Care & Hospice Northern Michigan, Mercy Manor, Trinity Health, and Munson Healthcare. “This is a challenging time for all health care organizations, but it’s also an exciting time of opportunity for Munson Healthcare,” Ness said. “We appreciate and value the efforts of each staff member, physician, volunteer, and board member, as well as the tremendous community support – all of which has helped bring us to where we are today. Together we are stronger and more able to ensure our communities receive the health care they need.”
Munson Healthcare now consists of: four owned hospitals, the two in Cadillac and Grayling, Munson Medical Center in Traverse City, and Paul Oliver Memorial Hospital in Frankfort; one managed hospital, Kalkaska Memorial Health Center in Kalkaska; and three affiliated hospitals, Charlevoix Area Hospital in Charlevoix, Otsego Memorial Hospital in Gaylord, and West Shore Medical Center in Manistee.
Munson Healthcare also owns Munson Home Health, Munson Mobile Imaging, North Flight EMS, Munson Dialysis Services, and has joint ownership of Great Lakes Mobile PET, Northern Michigan Supply Alliance, and the Northwest Michigan Surgery Center.