New York State Health Foundation

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Northeast Health

  • Project Title: Merger of Northeast Health, St. Peter’s Health Care Services, and Seton Health
  • Priority Area: Other
  • Award Amount: $200,000
  • Date Awarded: October 23, 2009
  • Region: Capital Region
  • Website: http://www.nehealth.com
  • Grant Status: Complete

Overview

Due to a duplication of services, New York’s Capital region hospital providers are forced to acquire redundant and expensive technologies to be competitive. With a growing elderly population and increasing demand for health services, lasting and significant efficiencies are needed in the local organization of health care delivery. Recently, Northeast Health entered into formal agreements with two other major providers—St. Peter’s Health care services and Seton Health—to pursue a merger. NYSHealth funding will support activities associated with the merger. A merged organization will provide more efficient and cost-effective services to meet community needs.

Replacing competition with cooperation will realize savings, rationalize service delivery, and improve quality of care for patients. The three entities have begun the due diligence process to review clinical, governance, regulatory, cultural, and administrative issues associated with the merger. Given the scale and complexity of the proposed merger, considerable work must be undertaken to support successful planning and implementation.