The California Department of Justice (D.O.J.) denied the proposed partnership between St. Joseph Health System and Adventist Health System/West.
The California D.O.J. issued a letter denying the proposal due to concerns that it is not in the public interest.
A joint operating company would have authority over each of the health systems facilities over several counties including Eureka’s St. Joseph Hospital and Fortuna’s Redwood Memorial Hospital.
The D.O.J. believes the partnership has the potential to increase health costs and could limit access and availability of health care services.