Potomac Hospital Signs Deal To Merge

Norfolk-Based Sentara To Inject Needed Funds

Potomac Hospital has executed a contract to merge with Norfolk-based Sentara Healthcare, a move hospital officials said is needed to ensure that quality health care remains available in Prince William County.

"This is an end of a very thorough and exhaustive outreach program," Michael Lubeley, a member of the Potomac Hospital Foundation's board of directors, said while briefing Prince William supervisors last week. "We're very pleased with the results and the partner and think the community is going to substantially benefit in the future."

Potomac Hospital officials have been searching for a partner since February, sorting through 29 organizations before settling on Sentara. A letter of intent between the two hospitals was signed in June, and the official contract was executed two weeks ago. The last step, Potomac Hospital officials said, is to get approval from the Virginia attorney general.

"We look forward to Sentara's presence in Prince William County," said Board of County Supervisors Chairman Corey A. Stewart (R-At Large). "We're confident that this will help out with the health-care system in the county. We already have an excellent hospital with Potomac Hospital, and we're convinced this is only going to improve that."

The partnership between the institutions is necessary so the nonprofit hospital can gain access to capital and stay afloat as reimbursements shrink and more uninsured patients seek medical attention, said William M. Moss, executive director of the hospital foundation.

Officials from Potomac Hospital would not comment on how much funding Sentara will contribute until the merger officially closes, which they said they hope will happen in December.

"This partnership will help us maintain our ability to deliver valuable services to the community," Moss said. "A solid partnership will also allow us to secure resources for future capital improvements."

Potomac Hospital opened in 1972 and became the first civilian hospital between Fredericksburg and Alexandria. Last year, the 183-bed institution admitted more than 10,500 patients and provided outpatient services to roughly 82,500 people. The hospital's operating expenses last year were close to $177 million, spokeswoman Charlene Wilkins said.

Sentara opened 121 years ago as the 25-bed Retreat for the Sick. Since then, it has become the largest integrated health-care provider in southeastern Virginia and northeastern North Carolina with operating revenue of $2.8 billion.

"Sentara is very proud of its accomplishments, and we're very pleased and honored to be selected by Potomac Hospital," Sentara President Howard Kern told county supervisors last week. "We're committed to working hard with the management, medical staff . . . to really enhance the quality of care already provided in this community."

Potomac Hospital's board unanimously chose Sentara because the organizations share the same vision: providing high-quality, nonprofit, community-based hospital care, Moss said.

Kern said one of his company's biggest contributions will be to help Potomac Hospital switch to an electronic medical records program, something Sentara's hospitals and others nationwide have done.

Sentara will also help recruit more specialty physicians and enlarge the hospital's numerous clinical programs, which include radiology and oncology services, orthopedics and cardiology.

"We're very excited" about the merger, Kern said. "It's a privilege to get to work with such a fine hospital system."