When the St. Vincent Regional Medical Center Board asked Newpoint to assess its growth strategy and options for affiliation, St. Vincent was already a high-functioning medical center, founded in 1864 and well-supported by its wealthy community. This hospital faced no severe financial crisis, but wanted to build a second campus and fund a further expansion of its mission to the less fortunate surrounding communities in its region.
Its Board also foresaw looming competition from a dominant regional system aggressively threatening to enter the local market in a big way. The Board asked us to help them study the option of continued independence, which we showed they could accomplish, albeit with some risk. The Board and Management chose instead to achieve their aspirations for excellence and mission expansion, without regard for the eventual “ownership” of the hospital.
After a thorough process with more than 10 candidates submitting initial proposals, the Board selected CHRISTUS Health, a large Catholic system, to join St. Vincent’s newly formed supporting trust as an equal co-sponsor (co-member) of the hospital in exchange for a substantial capital infusion from CHRISTUS and a reserve fund for future joint investment with the local foundation. St. Vincent has the benefit of a system relationship with a $4.5 billion Catholic health system, but retains its venerable corporate charter as a local not-for-profit organization.