Spectrum Health, Beaumont Health sign formal integration agreement

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Tina Freese Decker Courtesy Spectrum Health

Spectrum Health and another health system in the metro Detroit area are one step closer to merging.

Southfield-based Beaumont Health and Grand Rapids-based Spectrum Health have signed a formal integration agreement, the next step in the process to create a new health system. The integration agreement signals “momentum and commitment toward the organizations’ shared vision to provide more accessible, affordable, equitable and exceptional health care and coverage for people across the state,” the organizations said.

In June, Beaumont Health and Spectrum Health signed a letter of intent (LOI) to join together to create a new health system and began the process of state and federal regulatory review. After the regulatory review process is complete, the two organizations hope to launch the new health system, temporarily named BHSH System, this fall.

“We have worked together to develop a deeper understanding of each organization. I greatly appreciate the efforts of our teams, and I remain confident that together we will create an optimal health system ‘for Michigan, by Michigan,’” said Tina Freese Decker, president and CEO of Spectrum Health and future BHSH System president and CEO, referencing the new health system’s slogan. “Both Spectrum Health and Beaumont Health have rich histories with compassionate, high-quality and dedicated health care professionals. As COVID-19 and the delta variant increase, I am grateful for the care provided to our communities by our team members. I look forward to working with our teams to make health care and coverage more accessible, affordable, equitable and exceptional for Michiganders.”

Julie Fream, Beaumont Health board chair, who will also be board chair of BHSH, said Beaumont is pleased to be one step closer to launching the combined health system.

“Beaumont Health and Spectrum Health each have strong legacies of service,” she said. “We are eager to combine the best of both organizations as we create a new health system that is ‘for Michigan, by Michigan.’”

Beaumont Health and Spectrum Health said they are committed to the goals in the LOI, which are also in the integration agreement, including:

Improving health and health equity: Providing exceptional, equitable care and service to all patients and health plan members

Enhancing the consumer experience: Making the experience easier for patients and members, including investing in new digital technologies and providing services in more convenient ways, such as virtual and in-home care

Improving health care quality, value and outcomes: Allowing for the development of and investment in innovative solutions that improve health care and coverage for all Michiganders via the new health system, which will include Priority Health

Making health care more affordable for the communities we serve: Bringing together the strengths of Spectrum Health and Beaumont Health to improve efficiency and deliver affordable, high-quality care and coverage across the state

Ensuring the voices of team members and physicians are heard: Gathering the input of physicians, nurses and other team members who are closest to patients to realize the mission and vision of the new organization and to foster a culture that attracts and retains top health professionals to live and work in Michigan

“With progress toward an integration, I remain confident our new health system will not only allow us to more effectively meet our obligations to our local communities but will drive further excellence in care and coverage while improving both affordability and access for the communities we serve across the state,” said Robert Roth, Spectrum Health board chair.

Added Beaumont Health President and CEO John Fox: “This is an important step forward to bring together our organizations to create a new system that improves the health of individuals throughout the state. We continue to receive positive feedback about what our teams can do together, and we are excited about the future.”

Updates and more information can be found at formichiganbymichigan.org.

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