Bankrupt New York system to close hospital labor, delivery unit

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Ogdensburg, N.Y.-based North Star Health Alliance plans to close labor and delivery services at its Claxton-Hepburn Medical Campus in Ogdensburg and transition obstetrical services within the Claxton-Hepburn Women’s Health Clinic amid bankruptcy restructuring.

“Like many rural communities across New York and the nation, the North Country has experienced a sustained decline in birth volumes over time,” North Star Health Alliance said in a July 14 news release shared with Becker’s. “As patient volumes have declined, the significant costs associated with maintaining 24/7 labor and delivery services are no longer sustainable.”

North Star sought bankruptcy protection in February and has since been working to restructure and stabilize the system. In late June, North Star shared plans to close its North Country Orthopaedic Ambulatory Surgery Center and its North Country Orthopaedic Group, both in Watertown, N.Y., in the next 30 to 90 days. 

North Star is planning for women’s health services beyond labor and delivery, and intends to maintain gynecological services while evaluating a prenatal care long-term model, the release said. 

The health system also plans to submit a closure plan to the New York State Department of Health for review and approval, with labor and delivery services continuing throughout the department’s review, which should take at least 90 days. 

A required public hearing and public comment process is also being coordinated as part of the health department’s review. North Star is also working with the agency to create a transition plan for affected patients. 

“This announcement marks the end of an important chapter in the history of Claxton-Hepburn, and we recognize the impact it will have throughout our community,” North Star Health Alliance interim CEO Andy Manzer said in the release. “While this was an extraordinarily difficult decision, we believe it is a necessary step as we work to strengthen the long-term future of North Star Health Alliance.”

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