Consulting Firm Takes on Operations of Struggling United Medical Center in D.C.
The city awarded the two-year contract to Huron Consulting Group, based in Chicago. Under the deal, Huron will take over the positions of CEO and chief technology officer, and it will implement a strategic plan that includes reducing UMC's inpatient beds from 350 to 60, according to the report. UMC's 120-bed skilled nursing facility is also expected to be shut down.
UMC lost $13.8 million in fiscal year 2012, and the hospital has struggled financially for the past several years under numerous owners.
Although some council members were concerned with the high price tag of the consulting group's contract, many said the move needed to be made. "It kills me to have to spend $12 million to turn [UMC] around, but at the end of the day, we need this," Councilmember Jack Evans told the Washington Post.
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