CAMC approves Putnam Merger
CHARLESTON, W.Va.--Charleston Area Medical Center's Teays Valley branch will become the system's fourth hospital following board members' adoption of a merger agreement.
CAMC's board of trustees and board of directors approved the agreement and plan of merger in Wednesday's meeting.
David L. Ramsey, CAMC's president and chief executive officer, said this merger isn't a huge change. He explained that instead of it being a separate company under the CAMC umbrella, it will just become the fourth hospital in the system.
"It's almost technical -- it's frankly for simplification, instead of having a separate corporation for Teays Valley and CAMC," Ramsey said. "It just takes out the complexity and expense of maintaining separate entities."
The documents board members approved set the course for merger, Ramsey explained, but the merger itself ideally will take place March 1.
Teays Valley's board voted in October to pursue the merger and will be asked to approve the resolution in its Thursday board meeting.
Ramsey said officials haven't decided how to move forward with Teays Valley's board. Steven Smith, chairman of Teays Valley's board, has agreed to serve on the CAMC board.
He said officials will be flexible and it's possible Teays Valley's board could have an advisory role.
Ramsey said there would be no difference to Teays Valley patients. It will continue as a community hospital.
CAMC has owned the Teays Valley branch since November 2006 when it bought the former Putnam General Hospital from Hospital Corporation of America, according to previous reports in the Charleston Daily Mail.
Board members also discussed needed repairs at CAMC including new roofs, air conditioning systems and boilers.
Ramsey explained the board has dedicated $8 million for infrastructure and it's taken out for the 2014 fiscal year. He explained every year $3 million to $4 million is dedicated to building infrastructure. There already was $3 million committed next year for a boiler replacement.
"All four hospitals need some repairs to be made to items that have reached the end of life," Ramsey said. "All our buildings got old at the same time. It's not a new process."
Ramsey said most of the work should be completed next year.
The next board of trustees and board of directors meeting will take place at 8 a.m. Dec. 18.