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Oktibbeha County Hospital Negotiates Sale to Baptist Health Care

Exterior view of Oktibbeha County Hospital surrounded by greenery

News Summary

The Oktibbeha County Board of Supervisors has initiated negotiations to sell the Oktibbeha County Hospital to Baptist Memorial Health Care. The announcement was made by Board President Marvel Howard, highlighting plans for a formal agreement by July 31. While the sale price remains undisclosed, the deal aims to alleviate the hospital’s $15.6 million debt and retain current employees. This marks the third attempt by the Board since 2012 to sell the facility, amidst efforts for improved community healthcare services and operational stability.

Starkville, Mississippi – The Oktibbeha County Board of Supervisors has moved forward with negotiations to sell the Oktibbeha County Hospital Regional Medical Center (OCH) to Baptist Memorial Health Care. The announcement was made by Board President Marvel Howard during a press conference at the hospital, marking a significant step in the hospital’s future.

Baptist Memorial Health Care currently operates 24 hospitals across the southern United States, including the Baptist Memorial Hospital-Golden Triangle located in Columbus. While the sale is not yet finalized, a formal agreement is projected by July 31 following a due diligence period. Specific details, including the sale price of the hospital, have not been disclosed by Howard.

The hospital, a publicly-owned facility for over 45 years, represents a significant asset funded by taxpayer contributions. In a move that may reassure employees, Howard indicated that Baptist has committed to retaining all current OCH employees, though no specific timeline for this commitment has been provided. This acquisition is also anticipated to alleviate OCH’s existing debt of $15.6 million, which is currently serviced through property tax millage.

The Board of Supervisors has emphasized the need for improved transparency throughout the negotiation process to foster trust among taxpayers who hold an interest in the sale. This attempt to sell the hospital marks the third effort made by the Board since 2012; past attempts included a failed ballot referendum in 2017.

The Board aims to complete negotiations and finalize the deal by fall of this year. Baptist Memorial Health Care was selected as the preferred buyer after a months-long request for proposals (RFP) process. This process included insights from various stakeholders, such as Mississippi State University and the Greater Starkville Development Partnership, highlighting the significance of collaborative effort in healthcare decisions.

During the negotiations, the Board is prioritizing confidentiality while acknowledging the necessity of sharing certain information to prevent past issues of information withholding. OCH Regional Medical Center CEO Jim Jackson expressed optimism that partnering with a larger healthcare system will enable the hospital to better address community healthcare needs and operational challenges.

Feasibility studies indicated that collaborating with a “strategic partner” could enhance hospital services significantly. The RFP issued by Oktibbeha County included minimum requirements that potential buyers needed to meet, particularly regarding financial stability and the ability to support local healthcare initiatives.

During the RFP process, proposals were submitted from multiple healthcare providers, with both Baptist Memorial Health Care and North Mississippi Health Services showing interest. Importantly, the board’s decision was influenced not just by financial considerations but also by a shared vision for the future of healthcare in the community.

As discussions progress, community members and existing hospital staff remain hopeful that the sale will usher in growth and enhance healthcare services in Oktibbeha County. The focus continues to be on ensuring that the healthcare needs of the population are met effectively while navigating this significant transition.