Possible Deal Between KCH, M-TEMS Topic Of Special Meeting

A possible deal between Kosciusko Community Hospital and Multi-Township EMS will be discussed at a closed meeting Monday.
A letter from M-TEMS sent last week to several towns it contracts with invites them to attend the special board meeting Monday evening in Warsaw. M-TEMS said Tuesday the meeting is closed to the public “due to the sensitivity of everything being presented,” and that the agency will make an announcement following the talk.
The letter instructs town representatives to sign a confidentiality statement when entering the executive session, when an asset purchase agreement the board received June 10 will be discussed. The agreement was reviewed by M-TEMS directors, attorneys and a special committee, but no formal decision has been made, the letter states.
M-TEMS has been in negotiations with KCH and parent company Community Health Systems for several weeks “to evaluate the possibility and feasibility of (an) EMS acquisition,” according to the letter, signed by EMS Chief Scott Sigerfoos. The letter cites “an overall trend downward” financially, due to factors such as Obamacare and increasing insurance and operational costs.
Partnering with a larger organization brings benefits such as tapping into the purchasing power of a bigger agency, allowing benefits, supplies and services to become cheaper, the letter states. Negotiating power with insurance companies is another benefit, according to the letter, which says CHS is the largest hospital system in the U.S., with 199 hospitals in 29 states.
The letter to member towns also includes a proposed contract under the new ambulance service, which M-TEMS says will be a savings over current contracts – something it says it cannot otherwise guarantee without increased tax subsidies.
A message left seeking comment from KCH was not returned as of late this morning.