Sale was made to ensure continued access to vital services in Providence communities
Late last year, Providence, a not-for-profit health system serving the Western U.S., announced plans to sell 10 skilled nursing and assisted living care ministries, operating in eight locations in Alaska, Oregon, Washington and California.
Providence stated that the transition will help to ensure continued access to care at a time when nursing homes across the country are struggling to keep up with persistent challenges, including a national shortage of caregivers, the rising cost of pharmaceuticals, supplies and equipment, and reimbursement from payers that has not kept up with inflation.
Nationally, these challenges have led to the closure of more than 770 nursing homes since the pandemic. Providence has not been immune to these pressures.
“Though we have made important strides, we have been unable to invest in and modernize our skilled nursing and assisted living facilities to the level our communities and caregivers deserve and in a way that best positions these facilities to meet growing needs. We believe a new owner that brings the expertise, resources and scale needed to transform and sustain these care centers will help to ensure our local communities have continued access to these vital facilities into the future,” said Dianna Reely, chief of residential services for Providence Home and Community Care.
Providence selected The Ensign Group, Inc., and its affiliates (collectively, “Ensign”), an organization providing post-acute care and senior living. Ensign is the parent company of the EnsignTM group of companies, which invests in and provides skilled nursing and senior living services, rehabilitative and health care services and real estate.
The transitioning care centers include:
- Providence Extended Care, Providence Transitional Care Center and Providence Horizon House in Alaska
- St. Elizabeth Care Center in North Hollywood, Calif.
- Benedictine Nursing Center and Benedictine Orchard House Assisted Living in Oregon
- Marianwood in Issaquah, Wash., Mother Joseph Care Center in Olympia, Wash., and St. Joseph Care Center and Emilie Court in Spokane, Wash.
While Ensign will operate the majority of the transitioning care centers, they will consult with a third-party, Hill Valley Healthcare, LLC, to operate Mother Joseph Care Center and Emilie Court.
Providence and Compassus Announce Joint Venture for Home-based Care Services
Earlier last year, Providence announced that Providence Health System has partnered with home-based care provider for-profit Compassus to offer home health, hospice, community-based palliative care, and private-duty caregiving services to patients across the country.
The new entity, named Providence at Home with Compassus, will manage operations across 24 home health locations and 17 hospice and palliative care locations in several states, Washington, Oregon, California, Alaska, and Texas.
“Serving people in their homes, many of whom are at their most vulnerable, is sacred work and a deeply held part of the Providence mission. As our communities age, we have been thoughtfully evaluating how to best meet the growing need for these services,” Providence Chief of Community Services Terri Warren said in a Providence press release. “Compassus shares our commitment to these services and will enable us to expand access to care in the comfort of home.”