Three Western Maryland health systems said Tuesday they have signed a letter of intent to form an alliance as they prepare for changes in the way hospitals deliver care under health reform.
The alliance formed by Frederick Regional Health System, Meritus Health and Western Maryland Health System will explore ways the hospitals can partner to better care for patients and find cost savings in ways such as combining management and clinical services.
The systems have not yet formalized the affiliation and are not bound until final documents are approved by their boards. The health systems began discussions collaborating earlier this year and completed a feasibility study by Berkeley Research Group in June.
Under health reform, hospitals will be rewarded from improving the health of entire populations and move away from one focused on the volume of patients hospitals treat.