“Orlando Health’s desire is to keep affected employees within Orlando Health, and we will guarantee positions for team members who are in good standing and are open to taking jobs at other Orlando Health facilities,” the system wrote in regulatory filings published Feb. 20. “Over the next several weeks, we will offer job transition workshops, career counseling and career fairs to connect Rockledge Hospital employees with new opportunities and open positions within Orlando Health.”
A regional CFO, assistant COO, vice president and four director of nursing roles are among the eliminated positions. Orlando Health has more than 36,000 total employees.
Rockledge Hospital, a 298-bed facility, is one of three hospitals Orlando Health acquired in October from Dallas-based Steward Health Care. The $439 million acquisition, which included Melbourne Regional Medical Center and Sebastian River Medical Center, was approved by a U.S. bankruptcy judge as part of Steward’s Chapter 11 bankruptcy proceedings.
“Years of neglect” left Rockledge Hospital in such poor condition that it did not meet the organization’s standards for patient care, Orlando Health previously told Becker’s.
To avoid the hospitals’ immediate closure during Steward’s bankruptcy, Orlando Health said it agreed to accept Rockledge Hospital when it purchased Melbourne and Sebastian River hospitals.
“Following in-depth inspections that could only occur after acquisition, it was determined that the cost to repair and renovate Rockledge Hospital far exceeds the cost of a new, state-of-the-art hospital,” according to the health system. “Accordingly, a decision has been made to close the facility. This decision is necessary to ensure the safety of patients and team members.”
An inspection revealed that Rockledge Hospital’s electrical, HVAC and plumbing systems are failing, according to Orlando Health, which is planning to build a new hospital in the region.
“Construction of a new hospital within the region may take several years, which is longer than our experts feel Rockledge Hospital can realistically remain open,” the health system said.
Once Rockledge Hospital closes, Orlando Health plans to demolish the facility. The hospital land will be sold for redevelopment, and the system will evaluate its other properties surrounding the hospital for future use. Plans are underway for new sites of care in the community, including a new hospital in Brevard County. No timeline was provided on when a new hospital would be opened. There are no plans to close the Melbourne and Sebastian River hospitals.
