ValleyCare to merge with Stanford Hospital & Clinics

Physicians' group to be integrated into Stanford's University Healthcare Alliance

ValleyCare Health System Thursday announced it has signed a non-binding letter of intent to affiliate with Stanford Hospital & Clinics.

"We are thrilled about the prospect of joining with Stanford's health system," said Scott Gregerson, CEO of ValleyCare Health System. "This affiliation has extraordinary potential for our patients, our staff and our region."

The letter of intent is the culmination of an extensive and thoughtful process that explored ValleyCare's strategic options, and was unanimously approved Wednesday night by ValleyCare's board of directors.

If the transaction is implemented as planned, ValleyCare Health System and its hospitals in Pleasanton and Livermore would become a subsidiary of Stanford Hospital & Clinics.

ValleyCare would retain its medical staff but ValleyCare's physician organization would be integrated with Stanford's University Healthcare Alliance.

"ValleyCare's board members see a great opportunity to combine two high quality organizations to deliver exceptional care to the community and to further ValleyCare's mission with Stanford Hospital & Clinics," said John Sensiba, chairman of ValleyCare's board of directors. "Joining with Stanford's health system brings tremendous health care benefits to the Tri-Valley, while advancing care delivery approaches for the future."

The letter of intent outlines the key terms of an affiliation between ValleyCare Health System and Stanford Hospital & Clinics. Next steps include further due diligence and negotiation of an affiliation agreement to be approved by the boards of both ValleyCare and Stanford Hospital & Clinics. The affiliation is subject to the approval of ValleyCare's corporate membership, and customary regulatory approvals.

"The goal of this affiliation is to support delivery of premier health care services to residents of the Tri-Valley region, while building upon Stanford's preeminent academic health system capabilities," said Amir Dan Rubin, president and CEO of Stanford Hospital & Clinics.

"An affiliation with ValleyCare would leverage Stanford's leading edge and coordinated care delivery approaches, while strongly aligning with Stanford's commitment to care, educate and discover," said Dr. Lloyd Minor, the Carl and Elizabeth Naumann dean of the Stanford School of Medicine.

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Like this comment
Posted by Jean Lamb
a resident of Portola Valley
on May 30, 2014 at 8:00 am

Please find out why the merger with East Bay Hospitals will be under Stanford Hospital and Not under Stanford Health where Lucile Packard Hospital will be placed. What a mammoth project which is certain to change the quality of care.

1 person likes this
Posted by Not again
a resident of Professorville
on May 30, 2014 at 10:55 am

Stanford Hospital merged once before, with UCSF, and that was a failure.

The quality of care at Stanford Hospital is rather poor. The nursing department is dangerously understaffed. I know when I was hospitalized with a serious leg injury, I never saw a nurse after 11:00 pm, even when my IV ray out and the alarm went off for hours on end ( until 7:00 am).

I can't understand how Stanford can get away with charging so much for such bad care. Last year I was hospitalized with MS, and my new insurance company would not even allow me to go to Stanford--I had to go to El Camino, much farther away. It turned out to be a godsend: quieter, cleaner, far better food, many vegetarian options,,excellent nursing care ( a nurse had to hand-feed me the first 36 hours). It was almost like an upscale hotel. But, six years after my stay in Stanford Hospital, my El Camino bill was 25% less expensive than the Stanford one--in spite of the fact that I was at El Camino two days longer, and spent the first two days in the ICU!

Hopefully, an affiliation with Valley Care will teach Stanford how to be more more efficient and cost-effective, but somehow I doubt it.

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