4 hospitals have closed this year — here's why

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Whether it is insurance limitations, dwindling patient volume or the COVID-19 pandemic, many factors contribute to hospital closures. Since the beginning of the year, several hospitals have shut down. 

Here's a look at the hospitals that closed and why:

1. Cancer Treatment Centers of America closed its hospital in Tulsa, Okla. The hospital saw its last patient May 27. About 400 employees were affected by the closure. The hospital announced its intent to close in March and attributed the decision to insurance limitations and problems that restrict patient access to care in the Tulsa market. 

2. Olympia Medical Center, a 204-bed hospital in Los Angeles, closed March 31. Although the facility closed under its previous owner, Irvine, Calif.-based Alecto Healthcare Services, the medical center is now owned by UCLA Health, which is preparing to renovate the facility and exploring services to offer at the site. An Alecto representative said at a virtual hearing in January that the hospital had not been busy and did not offer enough services to justify keeping it open.

3. Jellico (Tenn.) Medical Center closed March 1, days after the city council voted to send a contract termination notice to the hospital's operator, West Palm Beach, Fla.-based Rennova Health. City leaders said Rennova breached its contract by not operating Jellico Medical Center as an acute care hospital. Rennova Health said the contract termination decision left the company with no option but to close the hospital. In May, the Jellico City Council approved plans for an Indiana healthcare system to take over operations of the closed hospital, which is in the process of reopening it. 

4. Heights Hospital in Houston closed suddenly and locked out staff in January over unpaid rent. Heights Hospital was once an acute care hospital but lately had only provided outpatient and specialty care. The facility filed for Chapter 11 bankruptcy protection June 1. 

Editor's note: This article was updated July 20

 

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