LICH implications for Community?

A report in today's New York Times suggests that a takeover of Long Island College Hospital (LICH) by SUNY Downstate Medical Center might not happen. New York State is reportedly reconsidering its award of HEAL grant funds that were expected to be part of the overall financial transaction.

The Downstate-LICH transaction has some similarities to the proposed acquisition of Community General Hospital by SUNY Upstate Medical University. So a logical question is: does today's report about LICH have implications for Community?

Community recently finished a project involving a HEAL grant. Among other things, the grant funds made possible the Center for Orthopedics. The funds were awarded as part of the Berger Commission's recommendations for Community and Van Duyn Home & Hospital. They were not part of the proposed transaction with Upstate. The funds have mostly been expended (and reimbursed).

The Community-Upstate transaction is far smaller, as I understand it, and not as financially complex as Downstate-LICH.

Yesterday Dr. David Smith, President of Upstate Medical University, addressed the Upstate community on the overall subject of state budget cuts, university finances, and plans with Community General.

Dr. Smith reiterated Upstate plans for its acquisition of Community because doing so will help Upstate build capacity and will help “put the right patient in the right bed.”