Oklahoma State University Center for Health Sciences
Oklahoma State University Center for Health Sciences

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OSU-CHS News > 2014

April 30, 2014

OSU and Mercy Finalize Agreement to Manage OSU Medical Center

Agreement Will Focus on the Future of the Downtown Tulsa Hospital
OSU Medical CenterRepresentatives from Mercy, OSUMA and OSU-CHS sign a management contract for OSU Medical Center. Pictured in the front row, left to right, are David Tew, Di Smalley and Jerry Hudson and in the back row are Wasim Patel, Dr. Kayse Shrum and Diane Rafferty.

Mercy Health and Oklahoma State University Medical Authority (OSUMA) announced today an agreement for Mercy to manage the Oklahoma State University Medical Center in downtown Tulsa.

Last month, OSUMA formally selected Mercy as their management partner. In the intervening weeks OSU and Mercy worked through the operational details to finalize the management agreement.

“We are very pleased to sign a management contract with Mercy Health to manage our medical center. Our steadfastness to find an ideal partner the past two years has paid off with an agreement which will strengthen and expand the mission of our urban hospital in Tulsa through the commitment of resources and expertise from Mercy Health,” said Jerry Hudson, OSU Medical Authority chairman. “The ever changing national healthcare environment has made it near impossible to independently operate our medical center. This contract with Mercy Health represents a big step in securing a bright future for our medical center and medical school.”

“OSU has built a solid foundation of quality medical care and compassionate healing in downtown Tulsa and it will be a privilege to build on that success,” said Di Smalley, FACHE, Mercy’s regional president for the state of Oklahoma. “The Mercy culture of caring should be an ideal fit in Tulsa. We are already exploring ways to customize well-proven systems and processes to make the transition as seamless as possible.”

“OSU couldn’t have chosen a better private partner to manage the OSU Medical Center. During negotiations the past two years, Mercy has remained steadfast in its commitment to the future success of the hospital,” said OSU President Burns Hargis. “We want to thank Gov. Mary Fallin, the Oklahoma State Legislature and the leadership in Tulsa for standing by us in the effort to ensure Tulsa and Northeastern Oklahoma will have a downtown medical center that will thrive and offer an exceptional level of care.”

The OSU Medical Center has a unique dual role to care for the medically underserved in the region and to serve as the teaching hospital for the Oklahoma State University College of Osteopathic Medicine.

“Mercy shares our commitment to provide primary care physicians to Oklahoma through our medical school and teaching hospital. The OSU Medical Center is the nation’s largest osteopathic teaching hospital and this agreement ensures that our medical students and residents will have an excellent facility and inspiring mentors and faculty to continue their medical education,” said Dr. Kayse Shrum, president and provost of OSU Center for Health Sciences. “That pipeline of primary care doctors is essential to Oklahoma’s well-being. This is a vital first step in building a long-term relationship with Mercy.”

The Tulsa economy depends on the OSU Medical Center for more than 900 high-paying jobs with more than $125 million in economic impact including tax collections.

The new agreement goes into effect May 1, 2014.

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Dr. Mary Bea Drummond
Director, Marketing and Communications Services
918-594-8223
mary_bea.drummond@okstate.edu

Sean Kennedy
Communications Manager
918-594-8360
sean.michael.kennedy@okstate.edu

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