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Kosair And Norton Reach Settlement In 2-Year Dispute

Kosair Charities Committee and Norton Healthcare on Thursday announced that they have entered into a settlement agreement that resolves all disputes between them. The conflict dates back to May 2014 when Kosair sued Norton over transparency in the funds it donated to the hospital.

In a countersuit, Norton claimed Kosair had stopped making payments to the hospital required by contract.

In a news release on Thursday, Norton Healthcare CEO Stephen A. Williams said the resolution will "prove beneficial to communities and children we serve.”

“Both organizations remain committed to meeting children’s health care needs," Williams said. "The time has come for us to pursue that focus independently."

According to the agreement, Kosair Charities' annual contributions to Norton children's hospital will be transferred to a separate endowment that will continue to fund 100 percent of the cost of charity care provided to children whose families cannot afford to pay for services at the children’s hospital.

Kosair Charities has also agreed to a one-time financial contribution that will be matched by Norton Healthcare. The money will go toward new or renovated facilities at the children’s hospital.

“We are happy to announce this agreement will allow Kosair Charities to continue to serve our longstanding mission of ensuring that all children in this community, regardless of their family’s ability to pay, receive the medical care they need,” said Jerry Ward, Chairman of the Board of Kosair Charities.

The health care organizations will do away with their partnership and Kosair will be removed from the children’s hospital and other Norton providers.

Norton and Kosair officials would not comment on further specifics.

Lisa Gillespie is WFPL's Health and Innovation Reporter.

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