AROOSTOOK COUNTY — Two Aroostook County Hospitals have entered into a management service agreement. Combined, the hospitals serve almost half of the 70,000 people in Aroostook County, according to hospital officials.

Under the agreement, Northern Maine Medical Center will provide executive management to Houlton Regional Hospital for one year — with the goal of “collaboration leading to a formal affiliation.”

President and CEO of NMMC Jeff Zewe and NMMC CFO Aaron Teachout are now also serving in those same roles at Houlton Regional. Both hospitals will continue to operate as independent entities under the direction of their respective Boards of Trustees.

According to hospital officials, each hospital has 25 acute care beds, and both are critical access hospitals.

“In this critical time for rural hospitals, this is a great opportunity to align services for the future of both hospitals and the care they provide to their communities,” Zewe said. “The outlook for rural hospitals as stand-alone facilities is precarious. We have seen rural hospital closures rise across the nation, even here at home with the closure of Inland Hospital at the end of May. Rural hospitals need to pull together to remain viable through growth, sharing services, recruitment and financial stability.”

Houlton Regional says the collaboration is intended to improve the long-term financial stability of both hospitals, increase patient access and improve “quality outcomes.”

“This agreement will make us stronger together,” said Lynette McLaughlin, president of the HRH Board of Trustees. “The synergies through this management agreement are truly exciting.”

The agreement follows the closure of Houlton Regional’s inpatient labor and delivery unit earlier this month.