In a May 17 internal memo, St. Margaret’s President and CEO Tim Muntz said the hospital “continues to be in severe financial distress” and has requested emergency funding from the state of Illinois, according to the report.
“If we do not receive the funding, St. Margaret’s may need to consider curtailing hospital operations, or even closing, as early as Friday, June 16, 2023,” Mr. Muntz wrote in the memo.
St. Margaret’s Health-Peru, which closed Jan. 28, will be acquired by Peoria, Ill.-based OSF HealthCare, but the Spring Valley hospital is not part of the pending sale, according to the report. The Peru hospital cited various economic and financial challenges as reasons for closing, as well as a recent cyberattack, which prevented it from being able to bill or get paid in a timely way.
The fate of the Spring Valley hospital is up in the air, but four clinics will close regardless of whether emergency funding arrives. Streator Medical Clinic will close May 31. The La Salle Medical Clinic, Hygienic Institute and Henry Clinic will close on June 9, and the properties will be sold.
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