Novant's push into Wake leads to appeal

By: Richard Craver | JOURNAL REPORTER
Published: September 02, 2010

Three Triangle health-care systems are appealing a state regulatory decision allowing Novant Health Inc. to open a surgery center in Wake County.

Regulators with the N.C. Division of Health Service Regulation in July approved the surgery center in Holly Springs, which will contain three operating rooms.

WakeMed, Rex Healthcare and Duke Raleigh Hospital said they appealed in part because of what they say is incomplete and inaccurate information in the Novant application. Those hospitals also applied for the three operating beds, but they were turned down by regulators.

The surgery center represents Novant's latest attempt to gain a foothold in Wake County.

Novant, based in Winston-Salem, applied in July 2008 to build a $100 million, 46-bed community hospital in Holly Springs but was turned down in January 2009. It dropped its appeal in August 2009.

Kati Everett, a spokeswoman for Novant, said the system was not surprised by the appeals.

"We're confident in our application," Everett said. "As for a timeline, we hope the parties will be able to work to resolution in certificate-of-need mediation, but it is too soon to tell. If mediation is unsuccessful, first round of administrative appeals will probably last until at least mid-2011."

Everett said that Novant doesn't have any specific plans for a Holly Springs hospital. "We are committed to growing our services in the area over time," she said.

Stan Taylor, the vice president of corporate planning for WakeMed, said that Novant's proposal would duplicate services already available or planned in southwestern Wake County.

"We're really lucky to have three strong players providing such quality health care in Wake County," said Lisa Schiller, Rex's vice president of marketing. "Having a fourth doesn't really make sense."

rcraver@wsjournal.com
727-7376

McClatchy-Tribune News Service contributed to this article.