HOSPITALS SEEK BETTER AREA HEALTH CARE

This month brought news that has been long awaited in the region: Cape Girardeau's two hospitals announced that their respective governing boards have authorized the beginning of talks that could lead to what officials call a "permanent affiliation" of the two institutions. A joint study on the feasibility of affiliation is under way, with selected members of both boards of directors serving on the study committee.

What this will mean, if federal regulators approve, is some degree of common governance for both hospitals. This could involve a joint administration or board -- perhaps both.

What it won't mean, officials stress, is that the two institutions will "merge" into one. "Merger" would involve the loss, by at least one institution, of its individual identity, and that isn't what this process is about. It is more about attempting a level of common governance in order to bring about certain efficiencies in delivering health services. This could be accomplished by reducing duplication of services with resultant cost savings. Neither institution will close its doors as part of the process.

The joint study committee will visit Clinton, Iowa, and Owensboro, Ky., two towns where similar affiliations have been achieved in recent years between secular and religious hospitals. There they will attempt to learn how best to implement the same process here.

All this was looked into nearly a decade ago. In 1988 officials of both hospitals started down this road but had to stop because of objections by federal regulators. Changes in the health care market place, including the advent of managed care, have brought about a changed attitude by regulators. Legal counsel in antitrust law has been retained by both boards to negotiate the shoals of the Justice Department and the Federal Trade Commission.

Health care is the Cape Girardeau region's largest industry, with the two hospitals between them responsible for nearly 3,000 jobs and tens of millions of dollars of economic activity. It is good to see credible officials of both hospitals proceeding so prudently down this road. Improved health-care delivery, with duplications eliminated and efficiencies achieved, may not be far off.