Astria Regional Medical Center (Yakima, Wash.) Astria Regional Medical Center declared Chapter 11 insolvency in May 2019 and closed in January. When the healthcare facility closed, 463 employees lost their tasks. Attorneys representing Astria Health said the closure of the medical center, which has lost $40 million because 2017, puts Astria Health in a much better financial position. “As an outcome of the closure, the rest of the systems cash circulations will suffice to securely operate patient care operations and centers and maintain administrative solvency of the estate,” a status report submitted Jan. 20 with the personal bankruptcy court states.
Randolph Health Randolph Health, a single-hospital system based in Asheboro, N.C., declared Chapter 11 personal bankruptcy March 6. Randolph Health leaders have actually taken several actions in recent years to improve the health systems financial photo, and theyve made development towards that goal. Entering Chapter 11 personal bankruptcy will allow Randolph Health to reorganize its debt, authorities stated..
UPMC Susquehanna Sunbury (Pa.) UPMC Susquehanna Sunbury closed March 31. Pittsburgh-based UPMC had actually announced strategies last December to close the rural hospital, mentioning diminishing client volumes.
St. Vincent Medical Center (Los Angeles) St. Vincent Medical Center closed in January, about three weeks after El Segundo, Calif.-based Verity Health revealed plans to close down the 366-bed health center. Verity, a nonprofit health system that entered Chapter 11 bankruptcy in 2018, closed down St. Vincent after a deal to offer 4 of its medical facilities fell through. In April, Patrick Soon-Shiong, MD, billionaire owner of the Los Angeles Times, purchased St. Vincent out of insolvency for $135 million..
Pickens County Medical Center (Carrollton, Ala.) Pickens County Medical Center closed March 6. Health center leaders stated the closure was attributable to the healthcare facilitys unsustainable financial position. A news release announcing the closure mentioned lowered federal funding, lower repayment from commercial payers and declining patient visits.
Faith Community Health System (Jacksboro, Texas) Faith Community Health System, a single-hospital system, refiled for personal bankruptcy security June 11, about three weeks after its previous bankruptcy case was dismissed. The health system, part of the Jack County (Texas) Hospital District, first entered Chapter 9 personal bankruptcy– a personal bankruptcy proceeding that offers distressed municipalities defense from financial institutions while a payment strategy is worked out– in February. The personal bankruptcy court dismissed the case May 26 at the request of the health system. The system asked the court to dismiss the personal bankruptcy case to permit it to use for a Paycheck Protection Program loan through a Small Business Association lender. A Texas bankruptcy court granted the health systems movement to dismiss May 26 to allow it to apply for the loan. On June 11, Faith Community Health System reentered Chapter 9 personal bankruptcy..
Pinnacle Healthcare System Overland Park, Kan.-based Pinnacle Healthcare System and its hospitals in Missouri and Kansas applied for Chapter 11 insolvency Feb. 12. Pinnacle Regional Hospital in Boonville, Mo., formerly understood as Cooper County Memorial Hospital, went into personal bankruptcy about a month after it quickly closed down. Peak Regional Hospital in Overland Park, formerly Blue Valley Hospital, closed about 2 months after going into personal bankruptcy..
Quorum Health (Brentwood, Tenn.) Quorum Health and its 23 hospitals applied for Chapter 11 personal bankruptcy April 7. The business, a spinoff of Franklin, Tenn.-based Community Health Systems, used the personal bankruptcy filing to recapitalize business and reduce its financial obligation load. The company exited bankruptcy in July with about $500 million less financial obligation..
First Texas Hospital Cy-Fair (Houston) First Texas Hospital Cy-Fair closed July 26, less than 4 years after opening. Irving, Texas-based Adeptus Health opened First Texas Hospital Cy-Fair in 2016. When the 50-bed hospital shut down, 62 workers were laid off.
Ellwood City (Pa.) Medical Center Ellwood City Medical Center formally closed Jan. 31. The hospital was running under a provisionary license last November when the Pennsylvania Health Department bought it to suspend inpatient and emergency situation services due to serious violations, including failure to pay staff members and the inability to use surgical services. The medical facilitys owner, Americore Health, suspended all scientific services at the medical center Dec. 10. At that time, hospital authorities stated they wanted to resume the center in January, but prepares to resume were stopped Jan. 3 after the health department performed an on-site inspection and identified the medical facility “had disappointed its suitability to resume offering any healthcare services.”.
The Medical Center at Elizabeth Place (Dayton, Ohio) The Medical Center at Elizabeth Place, a 12-bed hospital owned by physicians in Dayton, Ohio, closed March 5. In January 2019, the medical center lost its certification as a health center, implying it couldnt bill Medicare or Medicaid for services.
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Below are supplier companies that have applied for bankruptcy or closed since Jan. 1, starting with the most current. They own and operate a combined 47 health centers..
Shands Lake Shore Regional Medical Center (Lake City, Fla.) Shands Lake Shore Regional Medical Center closed Aug. 31. The health center, owned by the Lake Shore Hospital Authority, announced in July that it was closing. The medical facility stated it needed to obtain money to preserve operations, and decreasing client volume and financial challenges resulted in losses that were unsustainable..
Our Lady of Bellefonte Hospital (Ashland, Ky.) Bon Secours Mercy Health closed Our Lady of Bellefonte Hospital in Ashland, Ky., on April 30. The 214-bed medical facility was initially slated to shut down in September of this year, but the timeline was moved up after employees began accepting brand-new tasks or tendering resignations.
Eastern Niagara Hospital (Lockport, N.Y.) Eastern Niagara Hospital submitted for Chapter 11 bankruptcy July 8, two weeks after its previous bankruptcy case was dismissed. “We regret having to make this choice; nevertheless, regardless of operating the healthcare facility in the most fiscally accountable way possible, we merely might not get rid of the divide that has actually existed from the time we purchased the medical facility till today,” the hospital group said in a news release.
From reimbursement landscape obstacles to dwindling client volumes, many aspects lead health centers to shut down or declare insolvency. A minimum of 47 in the U.S. have actually closed or gone into insolvency this year, and the financial difficulties triggered by the COVID-19 pandemic may require more to do the exact same..
Cumberland River Hospital (Celina, Tenn.) Cumberland River Hospital closed Aug. 7 and placed its license on non-active status. In a letter to the state health department, the medical facilitys owner and CEO pointed out numerous reasons for the closure, consisting of extreme staffing scarcities and the inability to get funding or grants from the state..
Bluefield (W.Va.) Regional Medical Center Bluefield Regional Medical Center closed July 30. Authorities said the choice to shut down the health center was based on a number of elements, consisting of decreasing patient volume and reimbursement rates and substantial financial damage tied to the COVID-19 pandemic..
Central Hospital of Bowie (Texas) Central Hospital of Bowie suddenly closed Feb. 4. Medical facility officials stated the center was closed down to enable it to reorganize the business. Hospital leaders voluntarily surrendered the healthcare facilitys license..
Health center Williamson Hospital filed for Chapter 11 bankruptcy in October 2019 and was running on thin margins for months before shutting down April 21. The 76-bed healthcare facility said a drop in patient volume due to the COVID-19 pandemic required it to close.
Lower client volumes, canceled elective procedures and greater costs tied to the pandemic have produced a cash crunch for healthcare facilities, approximated to lose more than $323 billion this year, according to a report from the American Hospital Association. That overall consists of $120.5 billion in losses the AHA forecasts hospitals will see in the second half of the year..
Thomas Health and its two healthcare facilities submitted for Chapter 11 personal bankruptcy Jan. 10. In an affidavit submitted in the bankruptcy case, Thomas Health President and CEO Daniel J. Lauffer pointed out a number of reasons the health system is facing financial obstacles, consisting of reduced compensation rates and clients leaving the healthcare facility.
Pinnacle Regional Hospital in Boonville, Mo., previously known as Cooper County Memorial Hospital, went into bankruptcy about a month after it quickly shut down. Central Hospital of Bowie (Texas) Central Hospital of Bowie abruptly closed Feb. 4. At that time, medical facility authorities said they hoped to resume the facility in January, but prepares to resume were stopped Jan. 3 after the health department carried out an on-site assessment and identified the medical facility “had actually not shown its suitability to resume supplying any health care services.”.
Fairmont (W.Va.) Regional Medical Center Irvine, Calif.-based Alecto Healthcare Services closed Fairmont Regional Medical Center on March 19. Alecto revealed strategies in February to close the 207-bed hospital, pointing out monetary challenges. “Our plans to reorganize some administrative functions and establish other income sources were insufficient to stop the monetary losses at FRMC,” CEO Bob Adcock stated. “Our efforts to discover a buyer or brand-new source of financing were not successful.”.
Mayo Clinic Health System-Springfield (Minn.) Mayo Clinic Health System closed its healthcare facility in Springfield, Minn., on March 1. The medical facility in Springfield is one of 8 hospitals within a less than 40-mile radius, which has actually led to declining admissions and low usage of the emergency situation department, Dr. Hebl stated.
Decatur County General Hospital (Parsons, Tenn.) Decatur County General Hospital closed April 15, a couple of weeks after the local health center board voted to shut it down. Decatur County Mayor Mike Creasy stated the closure was attributable to a couple of factors, including increasing expenses, Tennessees absence of Medicaid growth and wider financial obstacles dealing with the rural health care system in the U.S..
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Sumner Community Hospital (Wellington, Kan.) Sumner Community Hospital closed March 12 without providing notification to workers or the local neighborhood. Kansas City, Mo.-based Rural Hospital Group, which acquired the healthcare facility in 2018, cited financial troubles and absence of support from local doctors as reasons for the closure. “We regret needing to make this decision; nevertheless, regardless of running the medical facility in the most fiscally accountable manner possible, we merely could not overcome the divide that has existed from the time we acquired the health center until today,” the hospital group stated in a news release.
Eastern Niagara Hospital (Lockport, N.Y.) Eastern Niagara Hospital submitted for Chapter 11 personal bankruptcy July 8, 2 weeks after its previous bankruptcy case was dismissed. The health center first declared Chapter 11 bankruptcy in November 2019. The insolvency court dismissed the case June 24 at the request of the healthcare facility to permit it to get a Paycheck Protection Program loan. Eastern Niagara Hospital President and CEO Anne McCaffrey said the healthcare facility refiled for personal bankruptcy to continue the debt-restructuring procedure..