Texas hospital lays off 40% of administrative staff amid financial troubles

Huntsville (Texas) Memorial Hospital is facing financial troubles, but the hospital is taking steps to shore up its finances, according to The Huntsville Item.

The hospital has faced financial challenges for months, and it is behind on payments to vendors and is unable to pay rent.

To help improve its financial position, the hospital closed its clinic in Madisonville, Texas, and plans to close its clinic in Riverside, Texas, by the end of August.

Huntsville Memorial Hospital also cut expenses through employee layoffs.

"We have right-sized all of the departments within the hospital, including reducing the administration staff by 40 percent," Michael Morgan, hospital interim CEO, said Aug. 22, according to the report.

The hospital began seeking partnership opportunities several months ago, and has received interest from 38 organizations across the nation.

"We are very pleased at the level of interest that has been shown so far, but no decisions have been made and we are continuing to evaluate all possibilities for charting the best path forward for the hospital," Mr. Morgan said.

More articles on healthcare finance:

Tennessee hospital to scale back services ahead of Sept. 15 closure
Texas Health Resources' net income sinks 63% in first half of 2018
6 latest hospital bankruptcies

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