State Board Rejects Mercy Plans for Crystal Lake Hospital

Mercy Health System's application to build a $115 million hospital in Crystal Lake was denied for the second time in the past year by the Illinois Health Facilities and Services Review Board, Chicago Crain's Business reports.

The review board voted 6-3 Tuesday against the proposed 70-bed facility, earmarked for the corner of Three Oaks Road and Route 31 on Crystal Lake's east side, Crain's said.

In December the review board rejected the Mercy application along with an application by Centegra Health System, which seeks to construct a 128-bed hospital in Huntley. At that time, one review board member was absent.

This past July, the review board - with all members present- approved Centegra's application request by a vote of 6-3. Centegra's Hospital, if completed, would stand 10 miles from the proposed Mercy facility in Crystal Lake.

Since that time, Sherman Health Systems, based in Elgin, and Mercy have filed lawsuits against the planning board, charging its decision was arbitrary, Crain's reported.