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Partnership with Peach Tree Health on Transition of Mercy Clinic Norwood

Collaborative effort will build safety net capacity for the region.

Dignity Health and Peach Tree Health announced a partnership on Feb.18, 2015 that will transfer the operation of MercyClinic Norwood to Peach Tree Health to enhance existing clinic services and ensure its long-term sustainability. The move will strengthen the region’s community clinic system, while continuing to advance a shared mission by both entities to improve access to health care for the underserved. 

As part of the agreement, Dignity Health will continue to support MercyClinic Norwood during the transition period and will work with Peach Tree Health on strategic initiatives, such as finalizing a new site location for the clinic to expand capacity and services. 

“This is an important partnership aligned with the Affordable Care Act that benefits our community and the vulnerable patient population that we serve,” said Laurie Harting, senior vice president of operations for the Dignity Health Sacramento-San Joaquin Service Area. “I am confident that with Peach Tree Health’s strong business model and the relationships it has already established in the Sacramento region, this collaboration will help build the more robust community clinic system that our region so desperately needs.” 

The decision came after a lengthy and careful study by Dignity Health of MercyClinic Norwood that began December 2013, including its future ability to serve the growing needs of the underserved, operational and regulatory constraints that exist as an outpatient department of the hospital, and the challenges of becoming a Federally Qualified Health Center (FQHC). 

As an FQHC, Peach Tree Health can provide comprehensive services beyond the primary care scope of services currently offered at MercyClinic Norwood. Additionally, Peach Tree Health offers integrated services – including behavioral health, preventative care, pharmacy and others – under one roof, and has the ability to contract for specialty services. 

It is Peach Tree’s intention to keep every MercyClinic employee who wishes to continue in their current position. Human Resources will also be available to help employees find other positions within Dignity Health or outside the organization. 

“We are honored to be partnering with Dignity Health on MercyClinic Norwood and believe that as a FQHC, we have the necessary structure and systems in place to make sure we continue to carry on the mission and great legacy of MercyClinic Norwood, now and into the future,” said Greg Stone, Chief Executive Officer of Peach Tree Health. “As the Affordable Care Act roles out, the federal government is placing a great deal of responsibility on FQHCs like ours, and we believe we are poised to assume a significant role in this space of serving as a medical home for the underserved.” 

About Peach Tree Health

Since 2001, Peach Tree Health has been a Federally Qualified Health Center (FQHC) and currently operates four community health centers and two mobile dental clinics in Sutter and Yuba Counties. We offer a wide range of primary and specialty services providing a comprehensive medical home for the working class and medically underinsured. Peach Tree Health is committed to providing personalized, affordable, high-quality health services and is a center for healing, opportunity and hope. We are here to keep our neighbors healthy and our community growing. Learn more about Peach Tree Health.

Publish date: 

Wednesday, February 18, 2015

For Media and Press Related Inquiries

Media Contact: 

Lindsay Leszczynski 
External Communications Manager
[email protected]