Sansum Clinic, one of the major medical providers in Santa Barbara County, announced Friday evening that it was forming a “strategic partnership” with Sutter Health.

The announcement was made after business hours, and Sansum’s leadership was unavailable to provide details or comment on what the proposed partnership means for the community.

“We have entered into exclusive discussions with each other, signing a non-binding letter of intent this week, and expect to formalize our partnership in the coming weeks,” according to a statement emailed to Sansum patients shortly before 6 p.m.

The statement cited “increasing industry and financial headwinds, from increasing labor and supply costs to caring for an aging population” in explaining the rationale for the partnership.

The statement was signed by Dr. Kurt Ransohoff, CEO and chief medical officer of Sansum; Warner L. Thomas, president and CEO of Sutter Health; and Dr. Jim Egan, president of Sansum’s board of directors.

“We look forward to a structured integration process designed to strengthen our ability to bring more resources to meet the healthcare needs of our patients and provide them a more connected, seamless experience.”

In recent weeks, there had been rumors, but no details, that a major announcement was coming from Sansum.

Sutter Health, headquartered in Sacramento, is a nonprofit provider of coordinated health care to more than 3 million Californians, primarily in Northern California, according to its website.

“Our integrated network has created a connected model of care that is delivering coordinated healthcare when, where and how people need it,” according to Sutter. “We are committed to ensuring healthcare is accessible and inclusive to all by offering comprehensive services and quality health programs tailored to the diverse communities we serve.”

In 2013, Sansum embarked on a merger effort with Cottage Health, another medical powerhouse serving Santa Barbara County. That effort was called off in May 2017.

The merger required approval from the Federal Trade Commission, which raised competitive issues, according to Ron Werft, Cottage Health’s president and CEO, and Ransohoff at the time.

The key sticking point involved outpatient surgery centers, which both Cottage and Sansum operate.

Sansum Clinic was founded more than 100 years ago, and is believed to be the largest nonprofit outpatient healthcare provider on the California Central Coast.

One of Sansum Clinic’s founders, Dr. William David Sansum, was a pioneering researcher who launched the clinic with the intent to study and eventually conquer diabetes.

Noozhawk will be providing an in-depth look at what this strategic partnership means once we can talk to leaders of both organizations.

Full Text of Statement Emailed to Sansum Patients:

“We are excited to share that Sansum Clinic and Sutter Health are planning to enter into a strategic partnership to provide even greater access to high-quality care to the Central Coast for years to come. We have entered into exclusive discussions with each other, signing a non-binding letter of intent this week, and expect to formalize our partnership in the coming weeks.

“We look forward to a structured integration process designed to strengthen our ability to bring more resources to meet the healthcare needs of our patients and provide them a more connected, seamless experience.

“For more than a century, Sansum has been dedicated to improving the health of Central Coast communities. Sutter Health has shown that same dedication during our more than 100 year-history with a commitment to making a positive impact on health across the diverse communities we are privileged to serve.

“Sansum and Sutter share common values and a not-for-profit mission of providing exceptional care across our communities. We even have shared history in being among the first few medical foundations of our kind in California.

“In bringing together two storied, not-for-profit health systems, we intend to provide even greater access to excellent, high-quality care along the Central Coast, including more primary care and ambulatory multi-specialty care currently in high demand in the region.

“Together, we will continue to expand access to primary and specialty care in Santa Barbara and learning and integrating best practices from both our organizations. We plan to continue working with our existing partners to serve our mutual patients while also bringing more physicians and clinicians to the region, expanding services and impacting more lives.

“As health systems across the country face increasing industry and financial headwinds, from increasing labor and supply costs to caring for an aging population, this partnership provides us the resources necessary to invest in best serving our patients and communities for generations to come.

“We are committed to keeping you updated on our progress as we undertake this partnership and look forward to answering questions as more details become available.”