IU Health Starke Hospital President Talks Partnership, New Building

Felty, Craig
IU Health Starke Hospital President Craig Felty

IU Health Starke Hospital President Craig Felty hopes to close on the sale of the Knox and LaPorte facilities to one of the nation’s largest for-profit hospital groups by the end of the year. He told the Starke County Council the hospitals and Community Health Systems are still in their due diligence period prior to finalizing the purchase.

If completed it would set up a three-way partnership between CHS, IU Health and IU Health LaPorte and Starke Hospitals. CHS would be the controlling partner. Felty hopes to have a deal in place by summer. CHS owns nine hospitals in Indiana, including Porter in Valparaiso and Kosciusko Community Hospital in Warsaw.

Felty adds plans for a new hospital in Starke County are on hold for now as a result of the deal. He says officials are still looking at constructing a new building on the existing Knox site. Doing so would likely involve a long-term land lease between the hospital and Starke County government. Felty notes CHS historically owns the properties it operates but stresses nothing is off the table right now in terms of the deal. He adds CHS officials are planning a visit to the area in the next few weeks.