Friday
Feb092007
WRMC Lease Signed
Friday, February 9, 2007 at 4:16PM North Wilkesboro Town Board members voted unanimously to approve the lease agreement for Wilkes Regional Medical Center, and agreement that had been in negotiations since late last fall when the board chose the Hospital Operating Board to lease the facility for the next 30 years.
The Winston-Salem Journal reports that with the lease in place, the hospital board will initiate a new long-term management agreement with Carolinas HealthCare Systems of Charlotte for day-to-day operations of the hospital. An agreement will also be in place for Wake Forest University Baptist Medical Center to help expand clinical programs and recruit physicians and other medical personnel.
In making its selection, the town board rejected a bid by a for-profit hospital company that would have paid lump-sum payment of $51 million.
It also turned down a proposal from Novant Health, a nonprofit company based in Winston-Salem. The company's hospitals include Forsyth Medical Center. Novant had offered annual lease payments of $1 million a year. Hearings during the hospital-lease process drew hundreds of people to a series of meetings. Many speakers said they favored keeping local control.
The lease decision drew a standing-room only crowd to the town commission meeting in October, with the issue decided by a single vote. After that, it was a matter of working out the details, and the audience was small at Tuesday night's meeting for the vote that approved the new lease. Wilkes Regional will pay $1 million to the town for the initial lease. Annual lease payments will be at least $600,000, with the actual amount based on net revenues.
The Winston-Salem Journal reports that with the lease in place, the hospital board will initiate a new long-term management agreement with Carolinas HealthCare Systems of Charlotte for day-to-day operations of the hospital. An agreement will also be in place for Wake Forest University Baptist Medical Center to help expand clinical programs and recruit physicians and other medical personnel.
In making its selection, the town board rejected a bid by a for-profit hospital company that would have paid lump-sum payment of $51 million.
It also turned down a proposal from Novant Health, a nonprofit company based in Winston-Salem. The company's hospitals include Forsyth Medical Center. Novant had offered annual lease payments of $1 million a year. Hearings during the hospital-lease process drew hundreds of people to a series of meetings. Many speakers said they favored keeping local control.
The lease decision drew a standing-room only crowd to the town commission meeting in October, with the issue decided by a single vote. After that, it was a matter of working out the details, and the audience was small at Tuesday night's meeting for the vote that approved the new lease. Wilkes Regional will pay $1 million to the town for the initial lease. Annual lease payments will be at least $600,000, with the actual amount based on net revenues.
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