(TOLEDO, Ohio) — With the future of the University of Toledo’s medical school at stake, Ohio Attorney General Dave Yost has warned ProMedica Health System that it has a week to make at least one of the two payments it owes the school under an academic affiliation agreement or face a lawsuit from the state.
“The affiliation agreement was to be a win-win for both sides, but that happens only when both parties honor their agreement,” Yost said today during a visit to Toledo’s campus. “ProMedica needs to pay up – to do right by the medical students and ProMedica patients who stand to lose big-time from its nonpayment.”
Initiated in 2015 for 50 years, the affiliation agreement is designed to enhance the quality of medical care and outcomes for ProMedica patients. It requires ProMedica to send monthly payments to support the needs and academic mission of the College of Medicine and Life Sciences – money that represents 44% of the medical school’s annual budget. In return, ProMedica receives certain benefits, including the services of the university’s medical faculty and residents and other university support for Toledo Hospital and Toledo Children’s Hospital.
ProMedica, however, did not make the $3.8 million payment in August or September, and it has told university officials that it won’t make any future payments until the affiliation agreement is revised or replaced.
“If I run into money problems and can’t pay my mortgage, do I get to stop paying it and demand that my lender re-negotiates the deal? Of course not,” Yost said. “We will do what is necessary to compel ProMedica to meet its obligations under the contract.”