Promising broader access to patient care and a wider selection of healthcare services, Sonoma Valley Hospital (SVH) and the Marin Healthcare District (MHD) have entered into a collaborative agreement.
“This is an innovative landmark agreement that will enable us to provide better and more cost effective healthcare while retaining our autonomy as your community hospital,” said Sonoma Hospital CEO Kelly Mather.
The deal gives the partners more negotiating power and the ability to merge administrative services, cost-cutting moves that will allow the partners to stay competitive while remaining independent.
“We will be able to call on Marin General’s deep management team and expertise, to streamline certain of our management functions and hone our strategic planning,” Mather said.
Hospitals all over the country are struggling, Mather said. “So, rather than sit alone, isolated and vulnerable, we have taken this step as a way to ensure our financial stability.”
The arrangement formalizes an affiliation agreement by MHD to provide management services, augmenting physician services as well as administrative depth through the newly combined organization.
“The synergies between the Marin and Sonoma communities make this an ideal partnership to benefit Bay Area residents,” says Joel Sklar, MD, Chief Medical Officer, Marin General Hospital. The new collaboration will enable Sonoma to offer Marin General Hospital’s additional specialty services, he said.
SVH will pay fees to MGH for “the fair value of their services,” Mather said. “We believe this will be an economical way to proceed in many management areas, and will save us money.”
Under the agreement, Mather will report to Lee Domanico, CEO of Marin General Hospital Corporation, who will be responsible for the overall performance of the allied management services. She will join the MGH Executive Management Team, and continue to oversee day-to-day management of the hospital under the direction of the SVH board of directors.