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REACH Air Medical Services and Cal-Ore Life Flight announced Tuesday the merger of the two privately-held companies, creating the most comprehensive network of medical air and ground transportation in the Western United States.
“It’s a natural fit, and it’s only going to make things better for Cal-Ore customers,” Dan Brattain, president and CEO of Cal-Ore Life Flight, said Tuesday.
The Santa Rosa, Calif.-based REACH, with 13 helicopter bases and one airplane base, and Brookings’ Cal-Ore, with two airplane and two ground ambulance bases, have been collaborators in patient transport services for years, Brattain said. Their mutual commitments to safety, outstanding patient care and customer service bring two organizations together into a broader network, he said.
In a statement released Tuesday, REACH Chief Executive Officer Jim Adams said, “Cal-Ore is recognized for its superb airplane medical transports as well as its community-focused emergency and non-emergency ground ambulance services.
“REACH is known for its excellence in both helicopter and airplane emergency medical services. Both are known for exceptional tertiary level pediatric and neonatal care and general clinical excellence. This merger brings together two companies with identical values, community involvement and commitment to doing what is right for our patients. We are honored and excited by this collaboration.”
With the merger, Brattain takes a seat on the REACH Medical Holdings, LLC board of directors and is co-partner. He will stay in Brookings and run the Cal-Ore operations.
“The combined companies will provide enhanced emergency and critical care transport services to our customers through the integration of ground, airplane, and helicopter services,” he said.
“This comprehensive offering will be managed through REACH’s First Call regional referral center. The merger will help solidify the companies’ strong growth opportunities with key healthcare systems, hospitals, and communities.”
Brattain also reflected on additional attributes of the merger. “We are both family owned companies and share a common vision, culture, and objectives. We feel that putting the two companies under the same parent organization will provide a long term service and business strategy for each of our companies, employees/families, and the communities we serve.”
Both companies have experienced steady and strategic growth in recent years. REACH began providing air ambulance services with a single helicopter and base of operations in California in1987 and now employs more than 300 people from 24/7 bases located throughout California, Oregon and Texas. Both are also accredited by the Commission on Accreditation of Medical Transport Services (CAMTS).
Cal-Ore operates eight ground ambulances, seven fixed-wing air ambulances and a remote scene support helicopter, as well as a facility providing aviation products. Cal-Ore has a staff of over 70 dedicated employees. Cal-Ore’s bases are located in Gold Beach and Brookings, and Eureka and Crescent City, Calif.
The merger, in addition to providing a stronger network of integrated services, is also in response to the dynamic healthcare landscape, Adams said.
“In order to meet the changing needs and demands of healthcare reform, hospitals, healthcare organizations and insurance companies are looking for ways to streamline operations and expenses both within and outside of the hospital,” he said. “The merger allows our healthcare partners the ability work with a single high-quality, patient-focused and complete patient transport service. We will be able to assist them in meeting their fiscal demands and quality of care expectations.”
Cal-Ore has long served the rural southern Oregon and northern California communities.
“As rural hospitals grapple with growing demands coupled with limited funding, reimbursement and staff,” said Brattain, “we believe our services will be extremely important and valuable in helping these hospitals care for critically ill and/or injured patients. In the bigger picture,” Brattain continued, “while national and state economic issues may be stabilizing, our ability to streamline costs while maintaining and/or enhancing services, is critically important. We believe the merging of our two companies helps to meet all these objectives.”
Some of Cal-Ore’s current general and administrative functions will be transitioned to REACH. These include financial services, human resources, risk management, business development and referral management. REACH will also provide increased clinical training and marketing support.
Adams and Brattain both stressed that Cal-Ore’s service delivery to the local communities will not change, but will be enhanced while continuing to operate with the “same employees, management, medical transport vehicles/aircraft, and FAA operating authority, all under the Cal-Ore Life Flight name”.
Both organizations offer ambulance membership programs that accept health insurance reimbursement as payment for services provided.
According to Brattain, a “huge benefit to local Cal-Ore members is that they are automatically considered a REACH member should they need REACH’s services in one of the many communities they serve”.
The merger became effective Nov. 30, 2011.
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