The sale of New Hanover Regional Medical Center is one step closer to reality. At its final meeting Tuesday night, the Partnership Advisory Group voted to recommend the purchase agreement, as written, for approval.
The recommendation now goes to the hospital’s Board of Trustees – which votes on the proposal Thursday.
The next step: the New Hanover County Board of Commissioners holds its own vote on Monday, October 5th.
Consultant Joe Kahn, who summarized the asset purchase agreement at the meeting, said that governance of the new entity will remain local – through the creation of a 17-member board – which is also defined in the agreement and is self-perpetuating.
"The local board will be named in the purchase agreement. It’ll be set forth prior to closing. Everyone will know who the local board is. Novant will be witness to that but is not dictating who those individuals are. And then once that initial board is seated, they will be the ones deciding who will be their own replacements."
Kahn says the buyer, Novant Health, will ratify board appointees but must have a very good reason to withhold approval.
If commissioners take the PAG’s recommendation and approve what would be a binding purchase agreement, they will also consider the creation and governance of a community foundation to manage the estimated $1.25 billion in net proceeds.
