AMORY, Miss. (WCBI) – Gilmore Memorial Hospital is starting the new year with a brand new name.
The hospital was recently acquired by North Mississippi Health Services and has changed its name to North Mississippi Medical Center Gilmore-Amory.
Administrators are confident that the new ownership will be beneficial to the hospital financially while also providing better healthcare to patients.
Since 2005, Gilmore Memorial Hospital has gone through a number of changes in ownership. Industry insiders say this is common for hospitals in rural areas.
“I think it’s economies of scale, reduced reimbursement, trying to find access to capital, all the things that are making healthcare difficult today is compounded in a rural environment,” said Administrator Allen Tyra.
“When you get down to what insurance companies and Medicare and Medicaid companies pay hospitals for providing health care services many times it doesn’t cover the actual cost of providing those services which puts hospitals in difficult financial situations,” said North Mississippi Health Services President and Ceo Shane Spees.
Administrators are confident that the new merger with NMHS will help these issues.
“Now we have access to a larger system that we can rely on to help us shore up where we may need and may have some deficits,” said Tyra.
Tyra also said buyouts are becoming a nationwide trend for hospitals in smaller communities.
“I think what’s happened to us is kind of a smaller thing that’s happening nationwide. I think tertiary care centers are looking at the rural hospitals and helping us to provide the services that are very important in our little communities,” said Tyra.
In fact, it’s a trend that we are sure to see more of in the future.
“Absolutely, we see more consolidation in the industry. Out of necessity because economics are difficult for a local independent hospital to continue to survive under the current health care conditions,” said Spees.
On the whole, administrators say the acquisition is a positive thing.
“We’re excited about being able to join them and being a part of that family and tap into the resources that they’re bringing to Northeast, Ms.,” said Tyra.
There are also several area clinics that are included in the merger like the Amory Medical Clinic, the Amory Children’s Clinic, and the Hamilton Medical Clinic.