Saturday, September 10, 2011

Carolinas Medical Center Wins

CMC posted this response to the SC DHEC announcement:We are delighted to share with you a recent announcement from the South Carolina Department of Health and Environmental Control (DHEC).  Carolinas HealthCare System has been selected to build and operate the new hospital in York County, South Carolina.

It looks like Piedmont hurt their own chances since they would be taking patients away from their current base of customers.
"The Department is concerned with the declining utilization at PMC, the heavy dependence of recapturing significant lost market share which would require a significant reversal of market trend, the impact of redirecting existing patients away from PMC, the substantial cost of the project, and the ability to finance the project."
"...the heavy dependence of recapturing significant lost market share..." that sounds like the heavy advertising and use of the phrase "we're taking you to Piedmont" by Piedmont EMS.

"CMC - Fort Mill proposed project adequately demonstrated that its current significant level of market share and utilization will be sufficient to justify the implementation of the project, appears to be financially feasible and proposes to shift current market share to a facility in SC, resulting in less adverse impact to existing facilities."
CMC's campaign included York county has been coming to use for years, now we can come to you. Will CMC pull some of Piedmont's customers away from Rock Hill? Probably, but a majority of non-Piedmont bound ambulances are bound for CMC-Steel Creek or CMC-Pineville.

Concerns with Presbyterian:
"The Department is concerned with [the] fact that it would be difficult for Presby to meet proposed utilization projections, and if they are not met, this will affect the financial viability of the project. Presby will also have to capture a high level of market share that is held by other providers, resulting in adverse impact to these providers, primarily PMC."
 
Overall comments appear that the State of South Carolina is concerned about Piedmont's future in York county. According to the State, Piedmont's utilization is on a decline. Adding another Piedmont hospital would reduce the number of Fort Mill area patients at the Rock Hill complex. CMC provided the number of current patients it has in York county and how many York county residents that visit their hospitals. 
 
Truthfully, I didn't hear any good arguments for Presby, other than some wish there was a Presby, but are glad that Piedmont did not win the hospital bid.

I expect to hear about appeals for the next few weeks, but I honestly don't think that Piedmont has a leg to stand on for winning an appeal. I also don't know that Presby has been vocal enough in the hospital fight to get any real support from the public for an appeal.

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