2 large hospital systems announce a new partnership in Colorado - The Colorado Sun

What the report says

The Colorado Sun reports that AdventHealth and Intermountain Health, two major players in Colorado health care, have signed a letter of intent to create a joint venture in the Denver metro market. Under the proposed affiliation announced Tuesday, AdventHealth would manage daily operations at three Intermountain hospitals: Good Samaritan Hospital in Lafayette, Lutheran Hospital in Wheat Ridge and Platte Valley Hospital in Brighton.

The arrangement would combine those facilities with AdventHealth’s five Denver-area hospitals. The Sun reported that the proposed partnership also extends to related physician practices and clinics, plus AdventHealth’s freestanding emergency departments and urgent care sites. Executives from both systems said in prepared statements that the affiliation is intended to improve access and coordination of care, but spokespeople declined to provide interviews or further details.

Several major questions remain unresolved, according to the report. It is not yet clear whether the joint venture would use a new name, involve a financial transaction between the systems, or result in layoffs or consolidation of administrative, technology or medical-record operations. A spokesperson for the Colorado Attorney General’s Office told the Sun the office expects to review the terms for compliance with state law.

The proposed deal comes amid pressure on Colorado hospitals from rising costs and shifting federal Medicaid and insurance funding. The Sun noted recent market upheaval, including AdventHealth’s 2023 split from CommonSpirit in the former Centura Health partnership and Intermountain’s loss of Kaiser Permanente contracts. Independent analyst Allan Baumgarten found both systems’ Denver-area hospitals posted losses in 2024, with Intermountain’s losses concentrated largely at Lutheran after its move to a new campus.