
ERWIN — Although the fate of Unicoi County Memorial Hospital has been the subject of numerous meetings and community interest for several months, the UCMH Board of Control quickly decided Wednesday that Mountain States Health Alliance is better suited to acquire the community hospital.
The board voted 5-2 in a brief public meeting held at Erwin Town Hall to accept the revised MSHA acquisition proposal submitted on Oct. 10 over a proposal submitted by Wellmont Health System on the same day.
“This is obviously a very important decision for the residents of Unicoi County, but I think what it does is it just continues on that very strong relationship that we’ve had for decades here between the residents of the Unicoi County and the services that we’ve been able to provide jointly with Unicoi County Memorial Hospital,” MSHA President/CEO Dennis Vonderfecht said following the board’s vote. “So, for us, it’s kind of just the continuing evolution of the development of a very strong relationship that is decades old.”
In its acquisition proposal, MSHA stated it will assume all of UCMH’s debt and financial obligations, retain UCMH staff and provide voluntary contributions of $750,000 each to the town of Erwin and Unicoi County. MSHA has also committed to the construction of a new acute care facility within Erwin’s town limits, to provide UCMH with a $2 million line of credit, and to provide a $1 million contribution to go toward a foundation to enhance health care services within the county.
Vonderfecht said MSHA will now assume management of UCMH and work closely with the board on the details of the acquisition agreement between now and when final documents are signed. He said the process will then be reviewed by the state attorney general, and MSHA officials anticipate the transaction’s closing to occur in late January or February.
“We will make this community proud, just as we have made many other communities in Northeast Tennessee and Southwest Virginia proud of the services that we’ve been able to bring to their communities and, in many cases, the hospitals as well,” Vonderfecht said.
Both MSHA and Wellmont originally submitted proposals to the board in response to a request for proposals sent to each organization in late July to see what they would offer in acquiring financially-struggling UCMH. The board’s Executive Committee subsequently opted to move forward with MSHA’s proposal, and a public meeting was held Oct. 4 to formally accept this proposal.
However, after the Oct. 4 meeting was opened for public comment, the board voted to delay its decision and allow other health care organizations interested in acquiring UCMH to submit acquisition proposals. Both MSHA and Wellmont submitted revised proposals on Oct. 10, which led up to Wednesday’s meeting.
“We’re at a crossroads here at Unicoi County Memorial Hospital,” board Chairman Glenn Tilson said prior to the vote. “After a thorough, diligent, thoughtful process, we’ve come together this afternoon to make important decisions regarding the future of the hospital. It is time to look forward to a new future, to new opportunities, to new possibilities and to new challenges.”
Board Secretary/Treasurer Russell Brackins made the motion that the board approve MSHA’s proposal, which was seconded by Vice Chairman Roland Bailey. Those voting in favor of the motion were Brackins, Bailey, Tilson, Dr. Frank Wegman and Todd Love. Those voting against were Sue Jean Wilson and Jimmy Erwin. Wilson explained her reasons for opposing the measure to other members of the board prior to its vote.
“The other night when we were meeting with our attorneys, I asked if you all would take time to discuss this situation together, and you all did not choose to want to do that,” Wilson said. “If you think about it, if this passes, Mountain States will have total control of all the hospital beds in this county, Washington County, Johnson County, Carter County. Also, when the attorney general publishes a notice in the paper, he asks and gives his address for comments from the citizens. I can only imagine the deluge on the Postal Service, we may pay their indebtedness.
“How you can sit here knowing how people of this county feel, it’s obvious that you probably, some of you, don’t ever intend to run for office again.”
Although the board did not hear comments from members of the public gathered at Town Hall, its decision was met with jeers from Wellmont supporters, who appeared to make up most of the crowd, and applause from those in support of MSHA. Unicoi County resident Bill Gaines, who has been involved in local pro-Wellmont activities, voiced his dissatisfaction with the board’s decision.
“To say I’m disappointed would be an understatement,” Gaines said. “I think the board has acted in an arrogant and high-handed manner that totally cuts the people out of the process. They have ignored the wishes of the people, and I think that it’s not over because there’s still the attorney general’s review of this thing. There’s a lot of things that the attorney general will be considering, including what’s best for Unicoi County, and the proposals, the things that were offered. Wellmont is clearly better.”
Like Gaines, Wellmont President/CEO Denny DeNarvaez said she is disappointed in the board’s decision, but she added that it did not come as a surprise to her. However, she said the process does not end with the board’s decision as the attorney general must review the process, and she feels the Federal Trade Commission should review the decision. DeNarvaez also said her organization will maintain a presence in Unicoi County.
“We totally expected this result, we got that result,” she said. “This has been a very strange process from the beginning and, in our minds, pretty tainted from the beginning. So, we did our best and we certainly got what we really wanted, which was the popular vote. We got the community’s support. We still have the community’s support. That’s what’s going to keep us going.”











um, really... writes:
November 28, 2012
5:23 PM
WOW! i am in awe that sense actually won out over good ol boy politics!
kindheart writes:
November 28, 2012
5:34 PM
I agree completely with you! I am absolutely appauled that the leaders of the community would not listen to the public's choice! What a sad day for the hospital!
hadEnuff writes:
November 28, 2012
6:10 PM
Its over pretty much so get over it.
I hear that one woman in unicoi had a truck load of Wellmont signs sticking them everywhere. But, she also she had a huge piece of land in Unicoi that Welmont showed interest in. Of course she wanted Welmont.She stood to make a fortune!
Jagerdawg writes:
November 28, 2012
6:35 PM
Comes as no surprise to me, Mountain States is not going to allow Welmont near Johnson City if at all possible. I have been treated by both facilities over the years, the quality of care is probably on the same level, where Welmont excells is in coordination of treatment , they are very precise and seem to be much more organized than Mountain States in many ways, once you get to your scheduled department or room if admitted the care is just fine, getting there is the issue with Mountain States, Welmonts' logistics are much better from my own experiences. or
rrman56 writes:
November 28, 2012
7:13 PM
Erwin politics as usual.
Tony writes:
November 28, 2012
7:26 PM
This will be good for Unicoi County. If you want more info on small hospital purchases look up Wellmont and Jenkins Kentucky. Sometimes all of the cute slogans don't tell the whole story.
knifehandle67 writes:
November 28, 2012
8:07 PM
Tony: Jenkins KY was not under the current CEO, Lets look at your MSHA, Mountain City now only has 2 beds, Elizabethton now has no OB unit, if you live in Roan Mtn you better hope you can hold your water until Johnson City, the people of Washington County VA were run over. NorthSide is gone, Your debt level is 1.3 billion and growing, most of the time suit wearing liars are just that liars and crooks!
olewoman65 writes:
November 29, 2012
12:34 AM
yep!
olewoman65 writes:
November 29, 2012
12:51 AM
Yep, this decision was made a deal long ago, MSHA does not just make a deal or buy out decision in a few weeks! I just hate it for all of us...MSHA employees are all so brain washed about how to act, they forget what they are doing! They really have no place else to go .......cause MSHA owns it all..just look up sometime how much in the 3 states they own, that includes Blue Rige Medical Mgt...thats thier profit side, patient care gone loooooooooooong ago!
FYI writes:
November 29, 2012
4:00 AM
TONY: We keep hearing about Jenkins, KY. Well, here are the facts about Jenkins....After nearly two years after the purchase of Jenkins, Wellmont did not abandon the hospital...They sold the hospital to another company in the area. That company was the one that decided to close their medical/surgical unit and only kept the ER open. So as far as Wellmont abandoning them, it is simply not true.
This arrogant Board has had their minds made up since day one! I cannot wait to see what the Federal Trade Commission has to say about this underhanded deal that has taken place here in our county.
FYI writes:
November 29, 2012
4:06 AM
Who knows we may even make National Headlines before this is all said and done. If everyone that feels this is the wrong decision for our county and region will write to the Attorney General and let him know your feelings on the matter, we may still see some good old fashion justice. The War is not over yet!!!
BlueDevilBlood writes:
November 29, 2012
4:39 AM
All of the Hospital Board's "Strategic Planning Sessions" held in secret are supposedly subject to subpoena. Somehow I doubt any minutes were kept or receipts written for what was going on behind closed doors.
I hope Ms DeNarvaez has better luck with the FTC and Attorney General than we, the citizens, had with the board. Give 'em hell Denny!
water boy writes:
November 29, 2012
6:45 AM
Its a wise idea to ask MSHA for a itemized statement .I was there for two visits 3 weeks apart and the supplies were the same and coded the same up until i went in for the surgery but there was over a $300.00 higher price the second visit than the first item for item and code for code . Look at your bill !
masonjar writes:
November 29, 2012
7:17 AM
I am very satisfied with this decision to go with MSHA. The people who keep saying that the board didn't go with what the "people" wanted are full of themselves. There are a lot of citizens in Erwin and Flag Pond that were for MSHA that didn't get real vocal about this like those from Unicoi did. People in Unicoi are upset because they got left out for a change...now they know how people in Flag Pond have felt for decades. I said it before, location was the biggest issue here. By going with MSHA, the whole county gets what is fair because of them building in the center of the county. Had the board gone with Wellmont, the people of Flag Pond would have been left out in the cold again. I am thankfull we have some people that stood up for the well being of ALL citizens in our county and not just those in Unicoi.
Well... writes:
November 29, 2012
9:38 AM
I live in Unicoi and I have Cigna. :-( What's the closest hospital for me?
um, really... writes:
November 29, 2012
10:34 AM
my point was, it seems the people's voice /was/ actually heard and the majority wanted msha. last time i checked, majority rules wins. that's one of the greatest, and yet seemingly least accomplished, benefits of living in this free America.
it was a few deep pocketed, politically motivated, starry eyed realtor, good ol boys who, some we know for a fact, stood to make quite a decent little $ if wellmont "won".
so, i agree with masonjar... the one's hollering the loudest right now are the ones who's used to getting their way and appear to be throwing a tantrum because they didn't get their way /this time/. or it could just be the one's who stood to gain the most and now have realized they didn't "win the lottery"...
um, really... writes:
November 29, 2012
11:11 AM
and water boy, wellmont's billing is equally the same, as well as most any doctor office/facility one goes to.
my brother in law had open heart at wellmont in kingsport two years ago and was over charged $2500 just in supplies!
it's not just medical bills that people need to check. i have to routinely check my debit purchases at restaurants because the wait staff adds in their own tip amounts. i have to check my bank and charge statements to make sure something's on there that i didn't incur. it's just typical these days that billing is lax, regardless of the field. and anyone with any sense about them knows to double check charges from where ever.
so, billing errors are NOT just a msha problem and by no means a reason to make a decision by.
um, really... writes:
November 29, 2012
12:55 PM
to hadenuff... you're absolutely right! and i think gaines had a lot to gain too. that's why he's hollering so loud right now.
it was said before the nov. elections that the ones elected/re-elected would ultimately be deciding who ucmh was sold to. and there was somewhat of a gauntlet thrown down to the msha supporters that "they'd see" when time came. i guess they saw...
they keep claiming the majority wanted wellmont... well, i just don't see it. and it was apparent in the election results that the majority of the people voted in who they knew would represent /their/ choice, not the skewed opinion of a realtor looking to make a huge sale.
there again, it comes down to some are just sore that they didn't get their way and their get-rich-quick retirement plans has gone down the drain.
unicoi county/erwin/flag pond residents are tired of the "ritzies" getting their way because they can drop more money in certain people's pockets.
Imker writes:
November 29, 2012
1:13 PM
Erwin showed what they thought of Tilson and this whole mess in the mayoral election. Tilson was drubbed. They think he stinks. The whole thing stinks.
You know the problem is not who is getting the hospital. It's how it was done.
I believe the Attorney General ought to overturn this decision.
It's wrong. It is simply wrong.
dragonfly writes:
November 29, 2012
1:50 PM
I don't know about Wellmont's billing, but I do know about MSHA. I have to scrutinize every statement for mistakes. It seems I have to fight every one I get because they were miscoded or I was double billed or billed for two readings when one was enough. I got a whopping bill for a CT scan ($5,000.00). After insurance, I still had over $1,000.00 to pay for just one scan. I wrote the hospital and told them what I could afford to pay and sent two consecutive payments (which were promptly cashed). The third statement came from their "F" rated credit collections. When asked why, they simply said it was now out of their hands. My son went for a first-time exam for routine check-up (cholesterol levels, etc). He was sent a bill by MSHA for $500.00 for and established patient for obesity. He has called the doctor's office and they have called MSHA to let them know this is a coding error. His insurance will not pay because of this error. They still are trying to bill him for $500.00. He keeps telling them this is an error, but on two billings, it still is not corrected. Knowing MSHA's quickness to go to collections, we're holding our breath to see when the collections will be involved. I have known of several others with "billing" errors they have to fight. With "state of the art" facilities, I 'd think MSHA would have a billing department that would know how to code and bill correctly. I have told my doctor not to order anymore tests than required because I'm sick of fighting it. I wonder how many more are affected? I don't have this problem with my "bank" or "restaurants".
Diamond Lady writes:
November 29, 2012
1:58 PM
Well - In the same boat as you are. I have Cigna Insurance and can't use MSHA either, but not that I would want to.
Wellmont gives excellent treatment - been there twice.
Employees that work at Wellmont brag on their jobs - just listen to those that work at MSHA. A huge difference. Just had an employee of Wellmont tell me how good they were treated at Wellmont and how they cared about their employees. Never hear anyone say that about MSHA. Had family memberw work there - not so good.
Peanut writes:
November 30, 2012
11:17 AM
hadENUFF: Sounds like your problem is more with the woman trying to earn an honest dollar instead of what's really important..... which hospital is best for ALL Unicoi county residents. Don't you have an important date coming up you should be more concerned about?
provided.