Brown University Health weighs ‘difficult decisions’

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Providence, R.I.-based Brown University Health is “considering difficult decisions” to help stabilize the health system’s financial position.

“Like many health systems across the state and nationwide, we are facing a challenging fiscal environment and are navigating rising operational costs and uncertain public funding,” a July 23 statement shared with Becker’s said. “Our hospitals [are] significantly underfunded, creating additional pressure to maintain the full range of services we currently provide.”

While Brown did not expand on which services or facilities could be at risk, The Providence Journal obtained an internal memo from Brown University Health’s CEO John Fernandez that detailed the consideration to close Gateway Healthcare, Rhode Island’s largest nonprofit behavioral healthcare provider, and the Samuels Sinclair Dental Center, the state’s main dental care provider for children and special needs patients. 

The health system is also looking at ending facility projects at Rhode Island Hospital, ending labor and delivery services at Newport Hospital, cutting contracts for some state programs and reducing adult inpatient psychiatric services, the Journal reported. 

“These are difficult measures, given the vital role these services play. But rising costs – from competitive wages to essential technology and facility investments – require us to plan for different scenarios to preserve our mission,” Mr. Fernandez said in the memo.

Brown University Health expects to offer more details “in the coming weeks” regarding its decisions and will keep the community informed of any upcoming changes, the statement said. 

Becker’s has sought additional comment from Brown University Health regarding these decisions and will update this story should more information become available.

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