The Hospital Authority of Albany-Dougherty County today voted to acquire Palmyra Medical Center.  Officials of Phoebe Putney Health System announced the acquisition following the Authority’s approval at an early morning meeting.

“We believe there are many benefits for the community as a result of this acquisition. This allows us to expand and enhance the quality of medical services and  respond to the growing demand for healthcare capacity,” Authority officials said.

The acquisition cost of $195 million includes all assets and property owned by the 248-bed Palmyra Medical Center and is a cash transaction.

With the closing of the acquisition expected in January, Palmyra will convert from a for-profit hospital to a community-based, not-for-profit facility and become a new wholly owned entity of the Hospital Authority, which also owns Phoebe Putney Memorial Hospital. The Authority will enter into a management agreement with a new entity, Phoebe North, Inc., a subsidiary of Phoebe Putney Health System, Inc., for the day-to-day operation of the facility.  It will be called Phoebe North.

Joel Wernick, president and CEO of Phoebe, said the healthcare organization had discussed the need for expanded capacity with the Authority.

“We are pleased the Authority acted on our request to pursue the unification of these hospitals,” said Wernick. “We will be able to improve access to care by increasing capacity.  As important, this unification prepares us for the new healthcare reform regulations and laws that will demand higher degrees of collaboration among medical providers than ever before.”

Wernick also predicted distinct economic development benefits will emerge as a product of the unification.  ”Two campuses will give us efficient use of beds, emergency services, clinical areas and technologies,” he said. “Across the country hospitals are consolidating to maximize economies of scale and reduce costly duplication of services. We are fortunate to have high quality care in our community and this is a pathway for the kind of growth that will make Albany an even stronger medical destination.”

The Hospital Authority of Albany-Dougherty County is a political subdivision of the State of Georgia and was created under the Hospital Authority Law of Georgia.