Independence Health System to join WVU Medicine
West Virginia University Health System will invest $800 million to modernize Independence Health System after the Western Pennsylvania system becomes a part of the sizable West Virginia system next year.
The systems announced jointly at a Wednesday, Nov. 19, news conference that Independence Health System’s five hospitals, physician groups and other subsidiaries, would join the WVU Health System in fall 2026.
“This is a transformational moment for our organization as we take this first, critical step toward building a new future with a nearby health system that shares our values and is community focused,” said Ken DeFurio, president and CEO of Independence Health System, which includes Butler Memorial and Clarion hospitals.
The largest health system and largest private employer in West Virginia with 25 hospitals announced plans to commit $800 million over the next five years to modernize Independence Health System’s hospitals, including the Butler Memorial Hospital emergency room.
“I am grateful to Ken, his leadership team, and the Independence Health System board for the trust they are placing in us to ensure their five hospitals continue to serve as community pillars and beacons of hope for generations to come,” said Albert L. Wright, Jr., president and CEO of the West Virginia University Health System.
“Today marks the beginning of what I’m confident will be an exciting and rewarding journey, one grounded in our shared commitment to our mission, our patients, and the communities we serve.”
The $800 million will also support modernization of the Westmoreland Hospital campus, grow clinical services, and expand access to care.
The health systems will operate under the WVU Medicine brand.
The transaction is planned for fall 2026 and subject to bondholder consent and state and federal regulatory reviews.
“It’s a long process. We’re in the early stages,” said Michael T. Benson, president of West Virginia University and chair of the WVU Health System Board of Directors.
In a news release, he said he looks forward to the future.
“Today’s announcement marks the start of a new chapter built on shared values, deep respect and admiration for the work already being done, and a mutual commitment to the patients and families who depend on these hospitals every day,” Benson said.
“Together, we can build on that solid foundation and expand the reach of exceptional care throughout the region.”
A news release indicated that by joining the WVU Health System, Independence Health System will benefit from the scale, expertise and infrastructure the regional academic health system while maintaining its strong community focus.
The integration would also strengthen financial sustainability through shared capital resourcing and efficient operations and enhance patient outcomes via coordinated population health strategies through Peak Health, the WVU Health System’s affiliated health insurance organization.
“WVU Medicine has clearly demonstrated to us that they are committed to high-quality community health, with services available and accessible locally,” said Paul Bacharach, chair of the Independence Health System board of directors. “Our vote to proceed with WVU Medicine reflects our strong belief that this affiliation honors our legacy and positions our hospitals for innovation, stability and growth.”
The West Virginia University Health System has 25 hospitals, including its flagship location of J.W. Ruby Memorial Hospital in Morgantown with more than 3,400 licensed beds, 4,600 providers, 35,000 employees and $7 billion in total operating revenues. The J.W. Ruby Memorial Hospital is an 880-bed academic medical center.
The system also includes the 150-bed WVU Medicine Golisano Children’s Hospital in Morgantown and five institutes — the WVU Cancer Institute, WVU Critical Care and Trauma Institute, WVU Eye Institute, WVU Heart and Vascular Institute and the WVU Rockefeller Neuroscience Institute.
In addition to Butler Memorial and Clarion, Independence Health System comprises Frick, Latrobe and Westmoreland hospitals with a combined bed count of 925. With more than 1,000 physicians and advanced practice providers and nearly 7,000 employees, the system is the third largest in Western Pennsylvania serving a population base of 750,000 in a footprint spanning more than 10 counties.
“We are excited to make this announcement today in partnership with WVU Medicine, and even more excited to have our organization become part of a progressive and innovative health system that has a proven track record in making deep investments in its people, clinical programs and infrastructure,” DeFurio said.
Independence Health System debuted the name of its system in May 2023 following an earlier merger between Butler Health System and Excela Health.
