Hospitals Struggle to Stay Open
In today’s day and age, hospitals throughout the country are finding it more difficult than ever to generate revenue, and avoid taking steps like closing down their operations. 2015 has already seen several hospitals of different sizes and types close their doors to their clientele.
Hospitals can close for one or several different reasons. Financial struggle is usually the primary cause in a hospital’s closure. Inefficient management, governmental decisions to lower reimbursement rates for patients’ bills, and patient bankruptcies or lawsuits can all ultimately lead to being a cause for a hospital to close.
Based on the above mentioned reasons, hospitals in 2015 have already decided that they could no longer provide the level of healthcare required by their patients. They therefore decided to close their facilities. Below is a list of hospitals in alphabetical order that have already closed in 2015. Within each paragraph, you will find a short detailed description of the hospital and its closure. To learn more, click on the full article links below.
1) Clarinda Mental Health Institute
In spite of protest from relatives of patients, Clarinda Mental Health Institute of Clarinda, Iowa closed on June 30, 2015. Clarinda Mental Health Institute is a state run psychiatric hospital. As a result of the closure, all of the 53 employees are expected to be laid off. The governor of Iowa, who made the decision, claimed that the choice was based upon the hospital’s lack of up to date facilities, and poor service ratings. He also claimed that transferring the patients to private facilities would decrease the monthly payments for a patient’s healthcare. Relatives of patients were opposed to the plans to close the hospital, which were already decided upon in January. They feel that the state hospitals were better able to cater for complicated cases. All of the patients were transferred to other facilities.
For the full story click here: Clarinda Mental Health Institute Closure
2) Cochise Regional Hospital
Following a complete cut in Medicare funding, Cochise Regional Hospital of Douglas, Arizona closed on July 31, 2015. The hospital was the only healthcare facility in Douglas, a town of 18,000 on the border between Mexico and The United States. The hospital had filed for bankruptcy protection twice in the past, and several years ago came under new ownership. Before the hospital’s closure, their operation were taken care of by People’s Hospital, a company that manages hospitals throughout the country. Government officials cited various issues with the operation and overall performance of the hospital as a reason for cutting the Medicare funding. Without this funding, Cochise Regional claimed they could not stay afloat, and therefore were forced to close the hospital. Patients must now drive 20 miles west to Bisbee, Arizona for medical attention.
For the full story click here: Cochise Regional Hospital Closure
3) Doctors Medical Center
Following years of revenue deficit in the tens of millions in dollars, Doctors Medical Center of San Pablo, California closed on April 21, 2015. Doctors Medical Center was a public hospital run by the West Contra Costa Healthcare District. Most of the patients that patronized the hospital before its closure, were from low income demographics. This resulted in lower cumulative reimbursements from insurance companies, due to a disproportionately low amount of privately insured patients. Before the hospital’s closure, Doctors Medical treated over 80 patients daily. The hospital had filed for bankruptcy in 2006, and had since then tried to stabilize its shaky financial position. The board operating the hospital is currently in the process of seeking a buyer to purchase the healthcare facility.
For the full story click here: Doctors Medical Center Closure
4) Kindred Hospital
Following a decision by its host hospital to end its lease, Kindred Hospital of Natick, Massachusetts closed on June 26, 2015. Kindred Hospital is the name of a healthcare system, that has branches in several cities throughout Massachusetts. Kindred’s branch in Natick, was leasing their facilities from MetroWest Medical Center. The latter opted out of renewing their lease with Kindred Hospital, ultimately leading to the hospital’s closure. As a result of the closure, the 60 employees from the Natick healthcare center lost their jobs. Over half of them were able to get transferred to other branches in the Kindred system. Kindred has said that they’re working to find placement for the remaining layoffs. Kindred Hospitals has said that the Natick closure would not affect the other hospitals in their system.
For the full story click here: Kindred Hospital Closure
5) Nye Regional Medical Center
Following years of financial woes, Nye Regional Medical Center of Tonopah, Nevada closed down operations on Friday August 21, 2015. As a result of the hospital’s closure, the town of Tonopah, as well as Nye and Esmirelda Counties, were left without any emergency services. Even before the hospital closed, officials at the hospital, as well as local council members had been reaching out to state legislators to help remedy the situation. Nye Regional Medical Center had gone through other significant financial downs in the past, including a bankruptcy that the hospital filed in 2013. Following the hospital’s closure, the closest hospitals are approximately 100 miles away from Tonopah. Tonopah is located in between Reno and Las Vegas, about 200 miles from each. Local officials are currently working on helping to facilitate emergency healthcare at a faster pace than what it is now, after the hospital closed.
For the full story click here: Nye Regional Medical Center Closure
6) Saint Catherine Regional Hospital
After years of financial struggle, and failure to get sold to an appropriate buyer, Saint Catherine Regional Hospital, of Charlestown, Indiana closed on February 18, 2015. Patients showed up to the closed hospital on that morning only to discover that the doors had been locked at 7 a.m. Saint Catherine had filed for Chapter 13 bankruptcy protection in 2012, which allowed the hospital ample time to reorganize their debt. In 2014 the Charlestown City Council had approved $450,000 of funding for the hospital, to allow the hospital to operate while it sought potential buyers on the auction block. This was to no avail, as no interested party was found. The group that came closest to a deal with Saint Catherine, was Procure Health Group, but no agreement was met between the two parties. Following the hospital’s closure, the remaining patients were transferred to other healthcare facilities. Potential buyers are still being sought by Saint Catherine. Due to Saint Catherine closing, only one other hospital remains in Jefferson County.
For the full story click here: Saint Catherine Regional Hospital Closure
7) Yadkin Valley Community Hospital
Due to failure in reaching an agreement with its operator over lease extension terms, Yadkin Valley Community Hospital, of Yadkinville, North Carolina closed on May 22, 2015. The contract between Yadkin and its operator, Hospital Management Consulting, was due to end two months after the hospital closed. In the months prior to the hospital’s closure, three other hospital groups had expressed interest in operarting Yadkin Valley Community Hospital. However, all of them had withdrawn their proposals subsequently. This helped to facilitate the hospital’s eventual closure. Signs were posted on the exterior of the building saying that the hospital was closed indefinitely. The patients that had been getting treatment within the hospital at the time of the closure continued to receive care.
For the full story click here: Yadkin Valley Community Hospital Closure