The feeling in the room was celebratory after the Morrow County Hospital Board of Trustees voted to enter into a membership agreement as the 16th OhioHealth full member hospital at its July 23 meeting.

The board’s attorneys, James Flynn and Shannon Martin of Bricker and Graydon, gave an abbreviated “layman’s version” presentation of the agreement during the meeting, which was open to the public.

The new name of the hospital will be OhioHealth Morrow County Hospital. The effective date of the change is Jan. 1, 2025. A smooth transition is expected because OhioHealth has been managing the Morrow County Hospital for 40 years.

Benefits to the hospital, county

The county will lease the hospital to OhioHealth for 30 years for the annual fee of $520,528 with the payment going to the county general fund. The Morrow County Board of Commissioners will determine how the funds are spent. The payment is to be adjusted for inflation after 10 years, then every five years after that.

All furniture, equipment, accounts, contracts, etc., will transfer to OhioHealth for continued use at the hospital.

Flynn and Martin praised negotiating team members Joe Dreyer, Lois Stauffer, Jennifer Williams and County Commissioner Tim Siegfried for their negotiating skills and results.

“This is the best lease payment we have seen,” said Flynn, who has negotiated several other hospital agreements with Martin.

Morrow County Hospital employees

OhioHealth will hire all Morrow County Hospital employees and honor all employees for their years of service with the hospital.

On Jan. 1, 2025. hospital employees will become employees of OhioHealth and receive OhioHealth benefits. Employees will enroll in OhioHealth benefits in October.

Employees can decide whether to stay with Ohio Public Employees Retirement System (OPERS) or change to the OhioHealth retirement plan. Each employee will meet with a third-party advisor and have until March 31, 2025, to make their decision.

OhioHealth will use its best efforts to recruit additional employees from Morrow County, particularly from local educational institutions.

Commitment to core services for Morrow County

OhioHealth will provide inpatient hospital and outpatient hospital services (at minimum a 24-hour, 7-day-a-week emergency department, lab and X-ray, and surgical) until at least June 30, 2032.

If OhioHealth stops providing inpatient services at the current hospital before this date, the county can terminate the lease, and then lease the hospital to another healthcare provider.

At a minimum, OhioHealth will provide outpatient services at the current hospital from July 2032 to Dec. 31, 2054.

If OhioHealth stops providing services at the current hospital, but offers these services in Morrow County, the county will not use the current hospital for an acute care hospital for five years.

OhioHealth must give the county at least one year’s notice of suspension or termination of any outpatient services.

Capital and IT improvements

By Nov. 1, OhioHealth, the hospital board and the county commissioners will agree to a five-year capital improvement plan.

From Jan. 1, 2025 to June 30, 2030, OhioHealth will spend at least $6.25 million for capital improvements in the hospital.

OhioHealth will spend additional funds on IT improvements. By mid-2026, OhioHealth will implement major IT projects, including EPIC Electronic Health Records (so hospital patient records will be in patients’ MY CHART).

After June 30, 2030, OhioHealth will continue to invest in capital and operational improvements at the hospital. As long as the hospital has in-patient services, OhioHealth will spend at least $1.25 million for capital improvements.

Physician recruitment

By Nov. 1 OhioHealth, the hospital board and county commissioners will agree on an initial medical staff development plan for physicians and other health care provider recruiting.

OhioHealth will devote the resources necessary to actively recruit physicians and other health care providers.

Other elements of the agreement:

• Starting Jan, 1, 2025, the MCH Board of Trustees will cease to exist. A new Lease Compliance Advisory Board will be appointed by county commissioners to monitor OhioHealth’s compliance with the agreement and provide community input to them..

• There will no longer be a Morrow County Hospital levy.

• The Morrow County Hospital Foundation will stay in place with $8 million added to the fund from the hospital’s general fund. There will be some change in the use and purpose of the foundation, however, all funds will be used for health and wellness in Morrow County.

After an open session discussion and brief executive session, the board voted unanimously to accept the agreement. The Morrow County Board of Commissioners unanimously approved the lease agreement the following morning.

“We had the best interest of the county in mind as we entered this partnership with OhioHealth,” said Stauffer as she expressed appreciation for each person who worked on the negotiations.

OhioHealth Senior Vice President of Regional Operations Cheryl Herbert thanked the board personally and praised members for their work and persistence. She said it was a matter of heart and personal interest for her since she had previously served as president and chief executive officer at Morrow County Hospital.

“It’s a feeling of joy and celebration,” Herbert said. “It was great working with this negotiating team as well as attorneys Jim and Shannon.”

Steve Markovich, MD, president and CEO of OhioHealth said, “We are excited to welcome Morrow County Hospital into the OhioHealth family. We have partnered with Morrow County Hospital for nearly 40 years and have a shared culture and mission to keep care local, which makes this strengthened relationship a logical next step. We look forward to continuing to serve the Morrow County community for years to come.”

Alberta Stojkovic is a correspondent for The Morrow County Sentinel. She can be reached at [email protected].