New talks planned as Partners-CNE deal put on hold

By DANIEL KITTREDGE
Posted 6/5/19

By DANIEL KITTREDGE Massachusetts-based Partners HealthCare has withdrawn its proposal to acquire Care New England, while new talks are planned with the goal of creating a combined academic medical center that includes Care New England, Lifespan and

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New talks planned as Partners-CNE deal put on hold

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Massachusetts-based Partners HealthCare has withdrawn its proposal to acquire Care New England, while new talks are planned with the goal of creating a combined academic medical center that includes Care New England, Lifespan and Brown University.

In a press release issued Tuesday by Gov. Gina Raimondo’s office, Dr. Anne Klibanski, Partners’ interim president and CEO, said her health system is pulling its proposal “in order to give this effort the best possible chance for success and to provide maximum flexibility to the governor and the leadership of these three institutions.”

“We look forward to reengaging at the appropriate time – especially with a fully integrated local system. We greatly value our relationship in Rhode Island and want to do what's best for the state and its citizens,” Klibanski said.

Raimondo said that in recent months, she has “increasingly heard from a number of stakeholders and understand the appeal of a locally-run, academic medical center based in Rhode Island.”

“With that in mind, I have called on Care New England, Lifespan and Brown to sit down once again and consider a joint solution,” she said. “While I have little control over private hospital systems, I do have the ability to bring these parties together and ask them to reconvene negotiations on a crucial decision that will impact all Rhode Islanders for decades. Partners is one of the best medical systems in the country, and we appreciate their interest in Rhode Island. Whether or not Rhode Island affiliates with a larger system at some point, I believe creating a more integrated, locally-run, academic structure first is what's in the best interest of Rhode Islanders now and in the long run."

Statements from Lifespan, Care New England and Brown University officials included in the release indicate the parties have agreed to the new talks.

According to the press release, the governor has asked the parties involved to “work quickly over the summer to identify if they can move forward successfully.” Financial support for consulting work is being provided by the Rhode Island Foundation and the Partnership for Rhode Island.

The proposal Partners acquisition of Care New England has been the subject of intense debate – and an active public relations campaign – in recent weeks. Lifespan has strongly proposed the deal, arguing that it will increase costs for patients and limit access to key services. Supporters of the proposal have argued it will improve care while strengthen Care New England’s financial position and allowing for upgrades to its facilities, including Kent Hospital.

Previous talks involving Lifespan, Care New England and Brown have proven unsuccessful. Lifespan has also previously been a part of merger discussions with Partners and Care New England.

The proposed Care New England-Partners deal would have been subject to regulatory approval from the state.

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