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The state Legislature on Tuesday took the next step in greenlighting the merger of Mayo Regional Hospital, in Dover-Foxcroft, and Northern Light Health, Maine’s second-largest health care system.
The House and Senate approved LD 1708, which revises the state’s charter of Hospital Administrative District No. 4, the quasi-governmental agency that owns and operates Mayo. If signed by Gov. Janet Mills, the legislation would make the agency a nonprofit corporation owned by Northern Light, the parent organization of nine hospitals including Eastern Maine Medical Center in Bangor and Mercy Hospital in Portland.
In April, 12 of the 13 towns comprising the district voted in favor of joining Northern Light. More than 80% of the total votes cast supported the merger, according to a Mayo news release.
Like the district, the nonprofit corporation would be governed by a community-based board and would be obligated to continue serving the district’s member towns. But while the district has taxing authority, the nonprofit would not, relieving the towns from potential liability for hospital debt.
The legislation would also eliminate the last of the state’s hospital administrative districts, which were created in the 1960s to provide health care in under-served rural areas.
Mills has 10 days to sign the legislation.
“This is the responsible step forward,” Mayo President and CEO Marie Vienneau said in the news release. “We are looking ahead to the next steps to bring this to fruition, and we are tremendously thankful for the support of our elected officials.”
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