The George Washington University has completed its transition of clinical services at GW Hospital and Cedar Hill Regional Medical Center to Capital Medical Group, a new physician-led nonprofit subsidiary of Universal Health Services, and acquired its former physician group’s $51 million office building in the process.
According to an Aug. 1 news release, GW, Medical Faculty Associates and UHS finalized the agreements Aug. 1, following roughly two months of transition planning. As part of the deal, GW transferred ownership of MFA to UHS while acquiring MFA’s office building at 2300 M St. NW in Washington, D.C.
The majority of MFA physicians and staff have moved to Capital Medical Group, which now provides clinical services at GW Hospital, Cedar Hill and affiliated outpatient sites. Transitioned physicians retain their faculty appointments at the GW School of Medicine and Health Sciences.
GW remains the sponsoring and accrediting institution for the affected Graduate Medical Education programs, and residents and fellows continue to be employed by the university. UHS has assumed financial responsibility for physician-practice operations, a shift GW says provides “greater financial and operational certainty.”
The restructuring follows more than a year of negotiations between GW, MFA and UHS to stabilize the medical enterprise after MFA posted large cumulative losses. The new structure is designed to preserve continuity of patient care and expand inpatient, outpatient and community-based services across the Washington, D.C., region.
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