South Bend-based Beacon Health System has announced a suspension of a planned merger with The South Bend Clinic. The organizations say “dramatic” health care regulatory changes have led to delays that have created too much uncertainty to move forward. April 17, 2014

News Release

SOUTH BEND, Ind. – Since July of 2013, Beacon Health System and The South Bend Clinic have provided information to regulatory agencies as part of required regulatory approvals for a proposed merger. It has become evident that dramatic changes in health care, along with a challenging regulatory environment would extend the review for at least another twelve to eighteen months and with no assurance of regulatory approval.

Together, Beacon Health System and South Bend Clinic have determined that this unplanned extension would be too large a burden of cost, time, and uncertainty for both organizations. Because of this, the parties have both decided to suspend further merger efforts.

“Beacon Health System and South Bend Clinic care for thousands of people on a daily basis. We enjoyed a very close relationship long before this process began and will continue to do so,” says Phil Newbold, CEO of Beacon Health System. “This is not a step back, but rather an opportunity to innovate and lead the discussion on health care reform, and develop new problem-solving initiatives that will influence improved care for years to come.”

Most recently, Beacon Health System's Memorial Regional Cancer Center and the South Bend Clinic have collaborated together on a comprehensive cancer treatment center on Day Road. The treatment center provides easy access for patients who are surrounded by a team of physicians and treatment specialists who are focused on their individual care.

“Physicians who practice in this community are aligned, clinically talented and quite dedicated to delivering excellence in care. Our community is in a good position to design and influence the future of care,” says Dr. Vince Henderson, Chairman of the Physician's Governance Council for the Beacon Medical Group's 225 physicians and 73 advanced practitioners.

Beacon Health System includes Memorial Hospital, Elkhart General Hospital, Memorial Children's Hospital, Beacon Medical Group, Beacon Health Ventures, Memorial Home Care, Elkhart General Home Care, MedPoint Urgent Care, HealthWorks! Kids' Museum, BrainWorks, and Pfeil Innovation Center.

Source: Beacon Health System

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