Tigard, Ore.-based Orthopedics Northwest and Yakima, Wash.-based Virginia Mason Memorial hospital have entered into a business agreement, according to yakimaherald.com.
Here are seven insights:
1. The "professional services agreement" is designed to deliver streamlined patient care and strengthen the practice's sustainability.
2. Virginia Mason Memorial will bear the financial risk of the orthopedic practice.
3. Under the agreement, Orthopedics Northwest will still staff and operate the clinic with its own employees.
4. The orthopedic practice will not change its name, but Orthopedics Northwest is now considered within Memorial's Family of Services.
5. Virginia Mason Memorial owns Orthopedics Northwest's clinic building, which the orthopedic practice has leased since 2005.
6. The partnership is designed to help with payer contract negotiations.
7. Orthopedics Northwest physicians are not required to refer patients only to Virginia Mason Memorial under the agreement.