The George Washington University Medical Faculty Associates changed its bylaws in fiscal 2025 to remove many of George Washington University’s consent rights over the Washington, D.C.-based physician group, The GW Hatchet reported Oct. 5, citing the MFA’s tax filings.
The changes took effect between July 1, 2024, and June 30, 2025. They ended GW’s right to approve the hiring and firing of the MFA’s CEO, its operating budget, and any move toward bankruptcy or dissolution, according to the report. The MFA also dropped GW’s approval rights over buying an entity in which it would hold a stake of 50% or more, and over selling assets worth $500,000 or more.
GW had been the MFA’s sole member since December 2018. An MFA spokesperson told the publication that the new bylaws gave the practice room to explore other business models.
The changes came before GW’s May 2026 final agreement with King of Prussia, Pa.-based Universal Health Services. Under that deal, Capital Medical Group, a nonprofit with UHS as its sole member, employs most MFA physicians and staff. GW agreed to provide up to $230 million over five years and to absorb earlier MFA loans. Capital Medical Group began providing clinical services Aug. 1, and the MFA is now winding down.
According to the report, MFA’s FY2025 Form 990 also shows:
- MFA debt topped $444 million, including $370.9 million owed to GW.
- Legal fees rose by $4.6 million to nearly $5 million. The MFA said the increase came from work on the renegotiated UHS arrangement.
- Contributions and grants fell 83% to $604,587.
- CEO Bill Elliott earned $512,527 from May through December 2024.
A GW spokesperson declined to tell the Hatchet why the university gave up its rights, and UHS did not respond to questions about whether it played a role in the bylaw changes.
At the Becker’s 32nd Annual Meeting: The Business and Operations of ASCs, taking place October 29-31 in Chicago, ASC leaders, surgeons and healthcare executives will explore strategies to drive growth, enhance operational performance, navigate reimbursement challenges and prepare for the future of ambulatory surgery. Apply for complimentary registration now.
