FORTMILL, S.C. -- The long-running battle to build a hospital in Fort Mill is heading back to court.
Tenet Healthcare Corp. said Thursday it will appeal a decision by S.C. regulators that allows Carolinas HealthCare System to build the first hospital in northern York County. Tenet runs Piedmont Medical Center in Rock Hill.
Novant Health, which runs Presbyterian Hospital, also had competed to build a Fort Mill hospital, but lost its bid.
At stake is millions of dollars in revenue and a foothold as the dominant health care provider in the fast-growing region.
Tenet's announcement came after a regulatory board decided in a split vote Thursday not to review the decision made by its staff in favor of Carolinas HealthCare System.
The board's refusal to review the case clears the way for both sides to go straight to the S.C. Administrative Law Court to appeal. That court is the avenue for groups to appeal decisions made by state agencies.
This has been a contentious issue for a long time, said Clarence Batts Jr., board member with the S.C. Department of Health and Environmental Control. The case began seven years ago.
The board voted 3-2 to not review the matter, with one board member abstaining from the vote.
I see no merit to our hearing this case again, Batts said. The parties will continue to negotiate this decision in court.
Novant, however, isn't saying yet what its next step will be.
We have not yet made a decision whether to appeal, Presbyterian Healthcare spokeswoman Sharon Harmon said via email.
We are disappointed in the board's decision, Harmon said. We believe our application best met the goals ...and the project review criteria.
It wasn't clear on Thursday what the timeline is for Tenet to appeal to the administrative law court. The health care groups also can appeal to higher courts if they don't like the lower court's ruling.
The Fort Mill hospital case has been heard in administrative law court before.
The competition to build in fast-growing northern York County began in 2004, when S.C.. regulators determined that Fort Mill needed a 64-bed hospital. After Tenet won the bid to build in 2006, CHS and Novant appealed. An administrative judge ordered state regulators to reopen the applications and essentially start over.
Each side invested heavily in land for the hospital and in high-profile marketing campaigns for the right to build in coveted territory.
State regulators ruled Sept. 9 that CHS' application to launch Carolinas Medical Center-Fort Mill was the most compliant. Regulators also cited CHS' large market share, noting it would be a challenge for any other hospital to thrive financially.
A spokeswoman for Carolinas HealthCare System said Thursday the board's decision to not hear an appeal puts Fort Mill one step closer to having a new hospital.
The not-for-profit health care giant also owns hospitals in Charlotte, Concord, Pineville, Lincolnton, Kings Mountain and Shelby.
It will take at least 2 1/2 years to design and build the new hospital.
Board member Batts said it is the citizens who are losing out, as three people are arm-wrestling for territory.
