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More allegations of sexual abuse emerge against ex-counselor

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mississippitoday.org – Jerry Mitchell – 2024-12-27 12:00:00

Another client of former licensed professional counselor Wade Wicht is accusing him of sexual abuse, joining two other women who have already filed criminal complaints with Hattiesburg police. 

“Wade saved my life,” she said, “but he also betrayed me.”

Wicht’s lawyer, Michael Reed of Hattiesburg, did not respond to requests for responses regarding the women’s accusations. The Hattiesburg police continue to investigate the complaints and have declined to comment.

Police are also investigating a third criminal complaint filed against Wicht. The Mississippi Child Protective Services has previously investigated the matter.

“My understanding is the allegations reported to CPS were unsubstantiated,” Reed said. “Of course, Mr. Wicht wholeheartedly denies the allegations.”

‘Real love doesn’t do that’

In a sworn statement, a woman, who asked not to be named for fear of retribution, said Wicht sexually abused her during the time he counseled her.

The young woman went to him in 2016 because she was still reeling from a 28-year-old man sexually abusing her when she was 8. “I was the kid who took a shower with my underwear on,” she said.

Wicht’s counseling helped her immensely, but some of the things he did also disturbed her, she said. He once asked if she looked at child porn and when she angrily replied no, she said he asked, “Why are you reacting like that?”

Wade Wicht Credit: Courtesy of Ramona Wicht

While she was still counseling with Wicht, she called him drunk, she said. “I’m out in the woods. I’m bawling. I’m mad at God.”

He drove to where she was, took her home and insisted she head to the bathroom, she said, but when she did go, he refused to leave the bathroom while she urinated.

He encouraged her to sleep on her parents’ couch, rather than her bedroom, and after she closed her eyes to sleep, she said she felt his hand go down into her jogging pants and underneath her panties.

When she objected, she said he pulled his hand back out and said, “Oh, it’s OK. It’s OK.”

Earlier this year, she said she confronted Wicht about that night, and he said nothing in response.

She had confronted him before, she said, accusing him of being a sex addict. “Your mind is sick, and your heart is seared,” she quoted herself as saying. “You can’t work multiple women over at the same time and call it love. Real love doesn’t do that. You have confused love with something else.”

In response, he wept and spoke of being truly sorry and changed by God, she said.

Artwork by a woman who alleges she was sexually assaulted by longtime counselor Wade Wicht.

She credited God, journaling, counseling from others, expressing her feelings through art and distance from Wicht with helping her heal. “There would have been no healing if God hadn’t given me the courage to go to counseling,” she said. “My faith is central to who I am.”

Unlike the other women, she has no plans to file a criminal complaint against Wicht because she doesn’t want to go through the same agony she did in testifying against her 28-year-old abuser. She said Wicht’s sexual abuse of her could only be prosecuted as a misdemeanor because Mississippi law requires penetration in order to be classified as a felony.

Her past made her an easy target

Jenny Green is going public with what she said Wicht did to her during counseling sessions.

“He’s a free man, and nothing has happened to him,” said Green, who has filed a criminal complaint with Hattiesburg police. “I want to do all I can to help make sure he can’t do anything like that again.”

Her past made her an easy target, she said, because she had been sexually abused as a minor.

A 17-year-old tomboy who bloomed late, she had few friends, she said.

Then a teacher began to stalk her, praised her looks and intelligence, and listened to her share how the only boyfriend she ever had left her for someone else, she said. “He saw someone in a fragile place and pounced.”

At night, he would call and converse, she said, and the words he shared helped fill the emptiness she felt.

One night after returning to school from a track meet, she said the teacher plied her and a girlfriend with wine coolers. It was the first alcohol she had ever had, and she became drunk, she said.

The next thing she knew she was in a bedroom, and he was on top of her, she said. “I was a virgin.”

Afterward, she said, “I asked him, ‘Did we just have sex?’ I was clueless.”

According to the Centers for Disease Control and Prevention, at least 1 in 4 girls in the U.S. are victims of sexual assault.

Like a number of other victims, Green suffered disassociation, she said. “It was almost like I wasn’t in my own body. I didn’t feel like I was there.”

Such disassociation is the brain’s way of placing distance between the victim and the traumatic event, scientists say.

She later wrote poems about what happened.

Keep quiet 

Don’t cry 

We can pretend it didn’t. 

We can lie. 

Her teacher told her she must never breathe a word about this, and if she did, he would kill himself. She said she believed him.

Your body

It is like none other.

It’s beautiful,

But you must never tell your mother.

Each school day, she sat in his class, and when he gazed at her, guilt and shame washed over her , she said. “I thought what the teacher did was my fault.”

Unable to sleep, she finally woke her mother to tell her what happened. “I didn’t know how to say, ‘My teacher raped me,’” she said. “I didn’t have the verbiage.”

For the first time in her life, she visited a gynecologist, who determined she wasn’t pregnant. 

When her family decided against pursuing charges, she blamed herself. “I was told to never talk about it,” she said, “and for 20 years, I didn’t.”

Marriage counseling gone wrong

Jenny Green is waiting for prosecutors to decide if they will pursue her criminal complaint against longtime counselor Wade Wicht, accusing him of sexually abusing her during a counseling session. Credit: Jerry Mitchell/Mississippi Today

In April 2021, Green and her husband walked into Wade Wicht’s office. 

She had been pushing for marriage counseling, and Wicht was the only counselor her husband would see.

What the couple didn’t know was that Wicht had already had sex with a client, according to an order from the State Board of Examiners for Licensed Professional Counselors, which oversees and licenses counselors.

After a few sessions, Wicht suggested separate counseling sessions, she said. Her husband’s sessions lasted 40 minutes or so; hers lasted up to two hours.

In a separate session with Wicht, she said she confessed her nervousness in talking about private matters and joked about needing a drink. She said he poured drinks for both of them — a habit he continued at times.

He steered conversations to the sexual, discussing the size of her breasts and asking if she had implants, she said. When she came to one counseling session after a workout, he questioned why she had a jacket tied around her waist, she said.

“Covering up a little bit,” she replied.

“Why are you doing that?” she recalled him asking.

Another time, she said he told her, “You need to be careful where your gaze goes. You stare at my crotch.” 

His words mortified her, she said, because it was a ridiculous lie.

After each session, he tried to hug her, and she recoiled. “He said I needed to be comfortable hugging,” she said. “He said I was stiff and uncomfortable.”

When she showed up one day with coffee, he told her to get him a coffee next time. “He mentioned that again and again,” she said. “I realize now he was seeing what he could get me to do.

“He eventually did get me to bring him a coffee. He did eventually get me to hug him.”

She said this was reminiscent of what her teacher did, getting her to bring him a Snickers candy bar and a Coke during each break.

The torment exhausting

The self-doubt to no end

The shame a coat of many colors

The secrets all held within.

‘It devastated me’

In October 2021, when her husband talked of possible harm to himself or others, Green said she felt scared and hopeless. She called Wicht’s office, and he rushed to their house.

After that, her trust and dependence on the counselor “went through the roof,” she said.

In her sessions, she said she confessed to Wicht that she was experiencing some transference, that is, redirecting her feelings from her husband to him.

He responded this could be beneficial for her therapy, she said. “Instead of passing me off to someone else, he used that to his advantage.”

The hugging progressed, she said. He began to hug her from behind and tell her it was therapeutic, she said.

He also put his hand on her knee and told her she needed to learn to say no, and in each session that followed, he touched her knee higher, she said. “Every time he touched me, I froze. I didn’t give consent.”

Studies show that many victims of sexual abuse or assault report “freezing.” That’s because fear can block the neural circuits that signal the body to move, scientists say.

Green said Wicht urged her to quit initiating sex with her husband and falsely claimed she suffered from sex addiction. “It devastated me,” she said.

When Wicht suggested she spend weeks at a treatment center, she said she balked, saying she couldn’t leave her husband and children.

He offered an alternative approach. He said he was a certified sex therapist, and she could do that therapy with him, she said.

In his 2018 letter to the licensing board, Wicht listed Chemical and Process Addictions as an area of certification, but not sex therapy.

Green said Wicht asked her to share intimate details about her past abuse, including whether she bled, she said.

When she wouldn’t share details about what she liked sexually, he urged her to masturbate so he could observe, she told police in her complaint. She refused.

Lie to myself or subconscious 

Should I say?

Lie like a good girl.

Be the perfect prey.

‘I became a scared little girl’

Four days after Christmas, Green suffered a meltdown. Three family members suffered from serious illness, and memories of her teacher’s abuse haunted her, she said. “I was crying uncontrollably.”

In desperation, she telephoned Wicht, who called her to his office.

This time, when he hugged her from behind, he began to caress her breasts over her clothing, she said. “He said, ‘This is loving touch,’ and I’m just sobbing.”

She continued to reel from depression. In a March 2022 session, she said he asked her to remove her clothes. She had refused to do this before, but this time she said she broke down and gave in, crying the whole time.

The commands he gave her echoed some of the same commands she had been given as a child, she said. “That day at the office, I became a scared little girl. I had no choice but to be compliant. I was the perfect prey.”

Wicht made her put a blindfold on, made her lie on her stomach and spread her bottom cheeks, and “he proceeded to penetrate me with his fingers,” she told police. When he finished, “he held me and acted as if it had been a caring moment,” she told police. “That was the last time he touched me.”

She froze, just as she had before, she said.

One study showed that 70% of 298 women who came to a rape clinic for treatment reported “paralysis” or an inability to resist during the assault.

Throughout Wicht’s abuse, Green told police, “He would remind me I could never in my life breathe a word of it. Said someone could die or be killed if I did. This was triggering as my abuser from teen years threatened to kill himself if I told anyone.”

After this abuse, she said thoughts of self-harm flooded her mind. She posted the suicide prevention hotline number on her wall, and sometimes slept in the closet.

The stillness. The peace.

The madness. The dire.

When will it end?

I long to expire.

After the alleged abuse, Green sought treatment from another therapist, whom she said helped rescue her from her despair.

She has since spoken to other of Wicht’s alleged victims, some of whom have yet to file complaints, she said. “He convinced women that they’re damaged, and you’re going to be beholden to him so that you don’t tell anybody,” she said.

Counselors have power over their clients, she said. They can groom, lie, manipulate and coerce those they treat into obeying their commands because “we believe we must do as we are told,” she said. 

It’s bad enough for a trusted person to exploit you, but when it’s a counselor, who knows so many intimate details about your life, she said, “It rapes every part of your soul and mind.”

How sick 

And how twisted and who

The f— let that happen? 

Keep quiet 

Don’t cry 

We can pretend it didn’t. 

We can lie. 

‘The law protects the guilty’

Wicht has already admitted to having sex with two women he counseled, a violation of the ethical code that prompted the loss of his counseling license. 

One of those was Kimberly Cuellar, who has filed a criminal complaint against Wicht. She told police that in one counseling session, he had her lay on the floor, pulled down her pants and digitally penetrated her without her consent, claiming it was for his research. She said he continued to touch her sexually in sessions, claiming it was therapeutic.

Kimberly Cuellar says her journey dealing with Wade Wicht has taught her, more than ever, about God’s amazing grace. Credit: Jerry Mitchell/Mississippi Today

In addition to those allegations, she said he tried to rape her while she was sleeping in her parents’ home in 2023. She said she awoke to him on top of her. “You moved my shorts, and you absolutely tried to get inside me,” she wrote in text exchanges she shared with Mississippi Today.

“Omgoodness, what??!! … What you’re accusing me of is criminal, Kimberly! … I touched you with my fingers, and I was touching myself,” he responded. “I was NOT trying to have sex with you while you were sleeping.”

She told him “no” multiple times, but he refused to stop, she wrote. “You then touched me without consent while you ejaculated on my body after all the no’s I had given. Attempted rape? Absolutely.”

In April, another licensed professional counselor in Mississippi, Dr. Philip Raymond Baquie of Oxford, surrendered his license after he admitted having sex with a female client during a counseling session in December 2023.

More than half the states consider sex between mental health professionals and their patients a crime. Mississippi isn’t one of those states.

In 2023, the Mississippi House passed a bill that would have made it a crime for therapists, clergy, doctors and nurses to have sexual contact with those they treat or counsel.

But the bill died in the Senate Judiciary B Committee after some senators questioned the need for a law. Committee Chairman Joey Fillingane has said if something like this happens in a church-affiliated organization, the church can fire that person.

Brad Eubank, a pastor for First Baptist Church in Petal who serves on the Southern Baptist Convention’s sex abuse task force, said firing those guilty of sexual abuse isn’t enough.

“We must stop this scourge of sexual abuse and put a stop to any counselor, medical professional, social worker or clergy who would take advantage of an individual who finds themselves in a vulnerable state seeking help,” said Eubank, a victim of sexual abuse himself. “We need clear laws with stiff penalties to be a severe deterrent to stop this from ever happening as well as providing justice for those victims when it does happen.”

Green said she’s willing to testify to lawmakers to let them know that when counselors use their power to sexually abuse their clients, they deserve to be punished.

Because there is no videotaping of sessions, the counselor’s office provides “the perfect setting for that crime,” she said. “That’s why there needs to be protection.”

This crime damages victims for life, she said. “Sexual abuse distorts, if not destroys, the victims’ ability to express romantic love in a healthy way. Stealing that part of us should not go without consequences.”

Under Mississippi’s current statute, “the law protects the guilty,” she said. “We as sexual abuse victims don’t stand a chance.”

This article first appeared on Mississippi Today and is republished here under a Creative Commons license.

Mississippi Today

If Tate Reeves calls a tax cut special session, Senate has the option to do nothing

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mississippitoday.org – Bobby Harrison – 2025-02-23 06:00:00

An illness is spreading through the Mississippi Capitol: special session fever.

Speculation is rampant that Gov. Tate Reeves will call a special session if the Senate does not acquiesce to his and the House leadership’s wishes to eliminate the state personal income tax.

Reeves and House leaders are fond of claiming that the about 30% of general fund revenue lost by eliminating the income tax can be offset by growth in other state tax revenue.

House leaders can produce fancy charts showing that the average annual 3% growth rate in state revenue collections can more than offset the revenue lost from a phase out of the income tax.

What is lost in the fancy charts is that the historical 3% growth rate in state revenue includes growth in the personal income tax, which is the second largest source of state revenue. Any growth rate will entail much less revenue if it does not include a 3% growth in the income tax, which would be eliminated if the governor and House leaders have their way. This is important because historically speaking, as state revenue grows so does the cost of providing services, from pay to state employees, to health care costs, to transportation costs, to utility costs and so on.

This does not even include the fact that historically speaking, many state entities providing services have been underfunded by the Legislature, ranging from education to health care, to law enforcement, to transportation. Again, the list goes on and on.

And don’t forget a looming $25 billion shortfall in the state’s Public Employee Retirement System that could create chaos at some point.

But should the Senate not agree to the elimination of the income tax and Reeves calls a special session, there will be tremendous pressure on the Senate leadership, particularly Lt. Gov. Delbert Hosemann, the chamber’s presiding officer.

Generally speaking, a special session will provide more advantages for the eliminate-the-income-tax crowd.

First off, it will be two against one. When the governor and one chamber of the Legislature are on the same page, it is often more difficult for the other chamber to prevail.

The Mississippi Constitution gives the governor sole authority to call a special session and set an agenda. But the Legislature does have discretion in how that agenda is carried out.

And the Legislature always has the option to do nothing during the special session. Simply adjourn and go home is an option.

But the state constitution also says if one chamber is in session, the other house cannot remain out of session for more than three days.

In other words, theoretically, the House and governor working together could keep the Senate in session all year.

In theory, senators could say they are not going to yield to the governor’s wishes and adjourn the special session. But if the House remained in session, the Senate would have to come back in three days. The Senate could then adjourn again, but be forced to come back if the House stubbornly remained in session.

The process could continue all year.

But in the real world, there does not appear to be a mechanism — constitutionally speaking — to force the Senate to come back. The Mississippi Constitution does say members can be “compelled” to attend a session in order to have a quorum, but many experts say that language would not be relevant to make an entire chamber return to session after members had voted to adjourn.

In the past, one chamber has failed to return to the Capitol and suffered no consequences after the other remained in session for more than three days.

As a side note, the Mississippi Constitution does give the governor the authority to end a special session should the two chambers not agree on adjournment. In the early 2000s, then-Gov. Ronnie Musgrove ended a special session when the House and Senate could not agree on a plan to redraw the state’s U.S. House districts to adhere to population shifts found by the U.S. Census.

But would Reeves want to end the special session without approval of his cherished income tax elimination plan?

Probably not.

In 2002 there famously was an 82-day special session to consider proposals to provide businesses more protection from lawsuits. No effort was made to adjourn that session. It just dragged on until the House finally agreed to a significant portion of the Senate plan to provide more lawsuit protection.

In 1969, a special session lasted most of the summer when the Legislature finally agreed to a proposal of then-Gov. John Bell Williams to opt into the federal Medicaid program.

In both those instances, those wanting something passed — Medicaid in the 1960s and lawsuit protections in the 2000s — finally prevailed.

This article first appeared on Mississippi Today and is republished here under a Creative Commons license.

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On this day in 1898

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mississippitoday.org – Jerry Mitchell – 2025-02-22 07:00:00

Feb. 22, 1898

Lavinia Baker and her five surviving children. A white mob set fire to their house and fatally shot and killed her husband, Frazier Baker, and baby girl Julia on Feb. 22, 1898. Left to right: Sarah; Lincoln, Lavinia; Wille; Cora, Rosa Credit: Wikipedia

Frazier Baker, the first Black postmaster of the small town of Lake City, South Carolina, and his baby daughter, Julia, were killed, and his wife and three other daughters were injured when a lynch mob attacked

When President William McKinley appointed Baker the previous year, local whites began to attack Baker’s abilities. Postal inspectors determined the accusations were unfounded, but that didn’t halt those determined to destroy him. 

Hundreds of whites set fire to the post office, where the Bakers lived, and reportedly fired up to 100 bullets into their home. Outraged citizens in town wrote a resolution describing the attack and 25 years of “lawlessness” and “bloody butchery” in the area. 

Crusading journalist Ida B. Wells wrote the White House about the attack, noting that the family was now in the Black hospital in Charleston “and when they recover sufficiently to be discharged, they) have no dollar with which to buy food, shelter or raiment. 

McKinley ordered an investigation that led to charges against 13 men, but no one was ever convicted. The family left South Carolina for Boston, and later that year, the first nationwide civil rights organization in the U.S., the National Afro-American Council, was formed. 

In 2019, the Lake City post office was renamed to honor Frazier Baker. 

“We, as a family, are glad that the recognition of this painful event finally happened,” his great-niece, Dr. Fostenia Baker said. “It’s long overdue.”

This article first appeared on Mississippi Today and is republished here under a Creative Commons license.

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Memorial Health System takes over Biloxi hospital, what will change?

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mississippitoday.org – Roy Howard Community Journalism Center – 2025-02-21 15:22:00

by Justin Glowacki  with contributions from Rasheed Ambrose, Javion Henry, McKenna Klamm, Matt Martin and Aidan Tarrant

BILOXI – On Feb. 1, Memorial Health System officially took over Merit Health Biloxi, solidifying its position as the dominant healthcare provider in the region. According to Fitch Ratings, Memorial now controls more than 85% of the local health care market.

This isn’t Memorial’s first hospital acquisition. In 2019, it took over Stone County Hospital and expanded services. Memorial considers that transition a success and expects similar results in Biloxi.

However, health care experts caution that when one provider dominates a market, it can lead to higher prices and fewer options for patients.

Expanding specialty care and services

Kristian Spear, Hospital Administrator at Memorial Hospital Biloxi, speaks on the hospital’s acquisition and future goals for improvement. (RHCJC News)

One of the biggest benefits of the acquisition, according to Kristian Spear, the new administrator of Memorial Hospital Biloxi, will be access to Memorial’s referral network.

By joining Memorial’s network, Biloxi patients will have access to more services, over 40 specialties and over 100 clinics.

“Everything that you can get at Gulfport, you will have access to here through the referral system,” Spear said.

One of the first improvements will be the reopening of the Radiation Oncology Clinic at Cedar Lake, which previously shut down due to “availability shortages,” though hospital administration did not expand on what that entailed.

“In the next few months, the community will see a difference,” Spear said. “We’re going to bring resources here that they haven’t had.”

Beyond specialty care, Memorial is also expanding hospital services and increasing capacity. Angela Benda, director of quality and performance improvement at Memorial Hospital Biloxi, said the hospital is focused on growth.

“We’re a 153-bed hospital, and we average a census of right now about 30 to 40 a day. It’s not that much, and so, the plan is just to grow and give more services,” Benda said. “So, we’re going to expand on the fifth floor, open up more beds, more admissions, more surgeries, more provider presence, especially around the specialties like cardiology and OB-GYN and just a few others like that.”

For patient Kenneth Pritchett, a Biloxi resident for over 30 years, those changes couldn’t come soon enough.

Keneth Pritchett, a Biloxi resident for over 30 years, speaks on the introduction of new services at Memorial Hospital Biloxi. (RHCJC News) Credit: Larrison Campbell, Mississippi Today

Pritchett, who was diagnosed with congestive heart failure, received treatment at Merit Health Biloxi. He currently sees a cardiologist in Cedar Lake, a 15-minute drive on the interstate. He says having a cardiologist in Biloxi would make a difference.

“Yes, it’d be very helpful if it was closer,” Pritchett said. “That’d be right across the track instead of going on the interstate.”

Beyond specialty services and expanded capacity, Memorial is upgrading medical equipment and renovating the hospital to improve both function and appearance. As far as a timeline for these changes, Memorial said, “We are taking time to assess the needs and will make adjustments that make sense for patient care and employee workflow as time and budget allow.”

Unanswered questions: insurance and staffing

As Memorial Health System takes over Merit Health Biloxi, two major questions remain:

  1. Will patients still be covered under the same insurance plans?
  2. Will current hospital staff keep their jobs?

Insurance Concerns

Memorial has not finalized agreements with all insurance providers and has not provided a timeline for when those agreements will be in place.

In a statement, the hospital said:

“Memorial recommends that patients contact their insurance provider to get their specific coverage questions answered. However, patients should always seek to get the care they need, and Memorial will work through the financial process with the payers and the patients afterward.”

We asked Memorial Health System how the insurance agreements were handled after it acquired Stone County Hospital. They said they had “no additional input.”

What about hospital staff?

According to Spear, Merit Health Biloxi had around 500 employees.

“A lot of the employees here have worked here for many, many years. They’re very loyal. I want to continue that, and I want them to come to me when they have any concerns, questions, and I want to work with this team together,” Spear said.

She explained that there will be a 90-day transitional period where all employees are integrated into Memorial Health System’s software.

“Employees are not going to notice much of a difference. They’re still going to come to work. They’re going to do their day-to-day job. Over the next few months, we will probably do some transitioning of their computer system. But that’s not going to be right away.”

The transition to new ownership also means Memorial will evaluate how the hospital is operated and determine if changes need to be made.

“As we get it and assess the different workflows and the different policies, there will be some changes to that over time. Just it’s going to take time to get in here and figure that out.”

During this 90-day period, Erin Rosetti, Communications Manager at Memorial Health System said, “Biloxi employees in good standing will transition to Memorial at the same pay rate and equivalent job title.”

Kent Nicaud, President and CEO of Memorial Health System, said in a statement that the hospital is committed to “supporting our staff and ensuring they are aligned with the long-term vision of our health system.”

What research says about hospital consolidations

While Memorial is promising improvements, larger trends in hospital mergers raise important questions.

Research published by the Rand Corporation, a nonprofit, nonpartisan research organization, found that research into hospital consolidations reported increased prices anywhere from 3.9% to 65%, even among nonprofit hospitals.

Source: Liu, Jodi L., Zachary M. Levinson, Annetta Zhou, Xiaoxi Zhao, PhuongGiang Nguyen, and Nabeel Qureshi, Environmental Scan on Consolidation Trends and Impacts in Health Care Markets. Santa Monica, CA: RAND Corporation, 2022.

The impact on patient care is mixed. Some studies suggest merging hospitals can streamline services and improve efficiency. Others indicate mergers reduce competition, which can drive up costs without necessarily improving care.

When asked about potential changes to the cost of care, hospital leaders declined to comment until after negations with insurance companies are finalized, but did clarify Memorial’s “prices are set.”

“We have a proven record of being able to go into institutions and transform them,” said Angie Juzang, Vice President of Marketing and Community Relations at Memorial Health System.

When Memorial acquired Stone County Hospital, it expanded the emergency room to provide 24/7 emergency room coverage and renovated the interior.

When asked whether prices increased after the Stone County acquisition, Memorial responded:

“Our presence has expanded access to health care for everyone in Stone County and the surrounding communities. We are providing quality healthcare, regardless of a patient’s ability to pay.”

The response did not directly address whether prices went up — leaving the question unanswered.

The bigger picture: Hospital consolidations on the rise

According to health care consulting firm Kaufman Hall, hospital mergers and acquisitions are returning to pre-pandemic levels and are expected to increase through 2025.

Hospitals are seeking stronger financial partnerships to help expand services and remain stable in an uncertain health care market.

Image Description

Source: Kaufman Hall M&A Review

Proponents of hospital consolidations argue mergers help hospitals operate more efficiently by:

  • Sharing resources.
  • Reducing overhead costs.
  • Negotiating better supply pricing.

However, opponents warn few competitors in a market can:

  • Reduce incentives to lower prices.
  • Slow wage increases for hospital staff.
  • Lessen the pressure to improve services.

Leemore Dafny, PhD, a professor at Harvard and former deputy director for health care and antitrust at the Federal Trade Commission’s Bureau of Economics, has studied hospital consolidations extensively.

In testimony before Congress, she warned: “When rivals merge, prices increase, and there’s scant evidence of improvements in the quality of care that patients receive. There is also a fair amount of evidence that quality of care decreases.”

Meanwhile, an American Hospital Association analysis found consolidations lead to a 3.3% reduction in annual operating expenses and a 3.7% reduction in revenue per patient.

This article first appeared on Mississippi Today and is republished here under a Creative Commons license.

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