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Randolph Health Updates

An Update on Our Journey to Secure Randolph County’s Health Care Future

Randolph Health has finalized an agreement with Dava Foundation, Inc., a non-profit healthcare organization, to acquire substantially all of Randolph Health’s operating assets and for Java Medical Group to manage the new organization’s operations.

The proposed transaction is the primary solution that will keep the hospital open, ensuring continued local access to the health care services that Randolph County residents have today and preserving the jobs of our employees. While other potential buyers have shown interest in pieces of the organization, all other options would result in a closure of the hospital as well as the transfer of most services to other hospitals and a significant loss of jobs.

Reaching an agreement is certainly an important step in the process, but nothing changes today or in the coming days once an agreement is reached. Randolph Health – including all services and clinics – remains open, and we will continue to operate as usual.

As we aim to finalize the purchase of Randolph Health before the end of the calendar year, our leadership and Board of Directors will continue to move through the necessary steps in the bankruptcy process. Once finalized, the proposed agreement is subject to bankruptcy court approval and will progress through the normal course of the bankruptcy process that began in March.

Knowing we still have additional work to do to finalize the agreement, we look forward to providing additional updates soon. In the meantime, we are happy to share some exciting details regarding our potential agreement. Importantly, under the proposed agreement, all Randolph Health employees and physicians would be offered employment by the new organization – allowing our dedicated teams to continue providing the local, high-quality care to our community in the same manner we always have.

If finalized in the coming days and approved through the bankruptcy process, the agreement will also provide the ability to:

  • Ensure ongoing local access to high-quality health care services in Randolph County, including a sustainable acute-care hospital with an appropriate number of licensed inpatient beds and other services that are essential to our community’s health. Importantly, Randolph Health would continue its commitment to charity and indigent care and ensure that patients have access to care, regardless of their ability to pay.

  • Provide important services that are currently offered at Randolph Health, including labor and delivery, emergency care, inpatient services, outpatient services, imaging, surgical care, home health, primary care, specialty care, services provided at Randolph Cancer Center and StayWell Senior Care, and more.

  • Provide a smooth transition to help ensure patients continue to experience the same great care from the same providers and caregivers they have today.

  • Protect jobs and continue to invest in the development of our employees and providers. All current Randolph Health employees and employed physicians would be offered the opportunity to be employed by the new organization.

  • Provide the ability to keep local input and oversight. The proposed agreement assures that a new Randolph Health Board of Directors would include local community members and representatives from the City and County.

  • Ensure the long-term viability of Randolph Health by financially investing in improving resources and equipment. Randolph Health is well positioned to meet the demands of our residents and community for the long-term, and if approved, the agreement would strengthen our community’s health care future.

Another unique aspect of this agreement is the buyer’s background. Like Randolph Health, Java is an organization with extensive expertise in rural health care and delivering quality care at not-for-profit hospitals. Knowing firsthand the importance of local health care access, they are willing to bring and commit the capital to invest in our aging facility infrastructure and new equipment. Java is based in Brentwood, Tennessee and currently operates three rural, community-based hospitals in Alabama and Mississippi.

Throughout this extended journey, we have also been working closely with the leaders of Randolph County and the City of Asheboro to help secure the future of the hospital. This work is particularly important because of Randolph County’s opportunity to access funds through the Rural Health Care Stabilization Act (RHCSA). The RHCSA establishes a dedicated fund for eligible financially distressed hospitals to transition to sustainable, efficient and appropriately sized health care service models.

The $20 million loan available for capital improvement and operational needs through the RHCSA is a necessary piece in helping to ensure continued access to local health care. The Randolph County Commissioners are considering updating and restating the County’s application to access the RHCSA funds available through the state of North Carolina to reflect this important development in Randolph’s process.

As always, we remain focused on protecting access to quality health care in Randolph County and to promoting the health and wellness of our region. We are grateful for the continued dedication and support of our community, and we look forward to sharing additional updates in the weeks and months ahead.

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