The County of Santa Clara, California has announced a definitive agreement with HCA Healthcare to purchase Regional Medical Center for $150 million. This acquisition will see RMC integrated into the Santa Clara Valley Healthcare (SCVH) system, pending regulatory approvals and closing conditions with an expected completion date of April 1.
Impact of the Acquisition:
Regional Medical Center plays a critical role as the primary emergency healthcare provider for East San José, offering treatment for a range of critical and life-threatening conditions. In August 2024, HCA Healthcare downgraded trauma, stroke, and cardiac services at the 258-bed RMC, leading to a surge in trauma patient volume at Santa Clara Valley Medical Center.
The county plans to restore Level II trauma care immediately upon assuming hospital operations, followed by the addition of STEMI and comprehensive stroke services. Additionally, labor and delivery services, which were closed in 2020, are expected to be reinstated at a later date.
RMC has been serving East San José for 60 years, with HCA Healthcare making significant investments to enhance access and address the community’s medical needs, including meeting seismic-safety standards. The hospital has received national recognition from Healthgrades as one of America’s top 250 hospitals for three consecutive years.
Transition and Future Plans:
Both the county and HCA Healthcare are committed to ensuring a smooth transition with minimal disruption to health services. Last year, HCA announced plans to invest $5 billion in capital projects in 2024, focusing heavily on outpatient facilities.
In line with their expansion strategy, HCA Florida Healthcare has begun construction on the new $231 million HCA Florida Gainesville Hospital, set to open in early 2026. The hospital will feature a surgical services department, catheterization lab, medical/surgical beds, inpatient rehabilitation unit, and a full range of imaging services. It is expected to employ over 200 healthcare professionals to serve the community.
In conclusion, the acquisition of Regional Medical Center by the County of Santa Clara marks a significant milestone in ensuring continued access to quality healthcare services for the residents of East San José. With plans to enhance and expand services, this move highlights a commitment to meeting the evolving healthcare needs of the community.
By Jeff Lagasse, editor of Healthcare Finance News
Email: jlagasse@himss.org
Healthcare Finance News is a HIMSS Media publication.
