A blockbusting, surprise announcement from Spectrum Health was just released yesterday. Spectrum says that they and Beaumont Health, two of the most respected health systems in Michigan, are announcing they have signed a Letter of Intent (LOI) to explore creating a new health system. 

So, what does all of this mean?

“Beaumont Health and Spectrum Health are leaders in our respective markets, and by bringing together our organizations to create a new system, we have the opportunity to deliver greater value in high-quality and affordable health care to our communities,” Spectrum Health President & CEO Tina Freese Decker said. 

Beaumont Health Board Chair Julie Fream said, “As health care continues to evolve, there are a number of factors that proactive health systems must consider as they plan for the future. Beaumont Health has found a great Michigan partner in Spectrum Health, and together, we are uniquely positioned for success. 

Even though both organizations say they will explore creating this new health system, it certainly seems like a "done deal," as they went on to say:

The new organization will be governed by a new systemwide Board of Directors. The 16-member Board will include: seven seats appointed by Beaumont Health, seven seats appointed by Spectrum Health, the President & CEO of the new system, and a new Board member to be appointed following the creation of the new system. The Board will include at least three physicians. The temporary legal name of the new organization will be “BHSH System.”

The new health system will be led by Tina Freese Decker, the President & CEO of Spectrum Health. The first Board Chair will be Julie Fream, the Board Chair of Beaumont Health. 

The new organization will operate 22 hospitals and 305 outpatient locations, with more than 64,000 team members. The new system will operate dual headquarters in Grand Rapids and Southfield, and the President & CEO and senior executive leadership team will spend time on both sides of the state.

Spectrum Health and Beaumont Health hope to complete this process, which is subject to the execution of an integration agreement and applicable regulatory reviews, this fall. 


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