Business Journal: Mercy Settles School Dispute

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(Sacramento, CA)
Monday, October 9, 2006
Sacred Heart Parish School in Sacramento opposed the hospital expansion next door for two reasons: the disruption during the long construction period, and the school needed more money to reorient their buildings than Mercy was offering to pay. Negotiations broke off a year ago. But a settlement now specifies that Mercy will pay $15 million so a new school can be built across 39th street, and the hospital will buy the school’s current site. It removes a major obstacle to the $150 million expansion, which will include a new heart center and updating other facilities.