Hardin County government will negotiate exclusively with Baptist Health as efforts continue that could lead to the sale of Hardin Memorial Health’s network of medical facilities including the local hospital.
A letter of intent was approved today by the hospital’s board of trustees, which is comprised of the nine members of Hardin Fiscal Court, to enter into an agreement with Baptist Health, which is based in Louisville. The parties are intimately familiar with each other. For the past 20 years through a series of agreements, Baptist Health has provided management services for the county-owned hospital and its health system.
Hardin County Judge-Executive Harry Berry said the hospital’s prosperity and its history and culture shared with Baptist was a factor in deciding with whom to exclusively negotiate. The HMH board announced plans last fall to seek a broad range of proposals for partnerships, lease or purchase arrangements. The request for bids were prompted by the expiration this December of its current management contract with Baptist Health.
By state statute, Hardin Memorial was prevented from renewing its management agreement beyond 20 years without going to market for proposals. With that in mind, Berry said expanding consideration to include a sale of the county-owned facilities had been under consideration for roughly two years.
Details of the proposed transactions will be released once the letters of intent have been signed, according to HMH’s formal announcement. The county received 36 responses to its request for proposals and culled that list to roughly 10 for more in-depth analysis. Because of non-disclosure business agreements common to transactions of this magnitude, Berry declined to identify the number of other finalists under consideration.
While detailed negotiations remain, Berry said the process to this point has been intense.
In addition to the 300-bed hospital that has served the region more than six decades, Hardin Memorial Health includes more than 40 outpatient facilities including the Cancer Care Center and Outpatient Surgical Center. It is associated with more than 300 physicians with more than 40 specialties.
HMH has 2,389 employees, which makes it the third-largest employer in the county.
Berry anticipates the exclusive negotiations to continue for months. Contract language, debts, values, revenue and transition details all remain to be worked out.
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