Here are five things to know about the hospital’s financial situation.
1. Stamford’s situation needs to be addressed soon in order to keep the doors open, according to hospital CEO Rick DeFoore. “If we continue to operate the way we’re operating today, we will be in significant financial trouble in three to four months,” Mr. DeFoore said in the report. “This crisis is every bit as serious as anything I’ve seen in my tenure here.”
2. Mr. DeFoore attributed the hospital’s financial issues to cuts in Medicare and Medicaid payments, continued restrictions on hospital admissions by Medicare and a dwindling number of patients.
3. The hospital has tried to cut costs. That includes cutting the number of hospital employees by 20 percent last year, according to KTXS. “We have cut all our costs to the extent that we can, and there’s no way to cut [expenses] to profitability,” Mr. DeFoore said in the report.
4. The hospital is operating with a bare minimum staff.
5. Given the hospital’s financial situation, Mr. DeFoore said in the report that he’s working with consultants to find a way to keep the hospital open. He said he expects to have definite plans for changes in about a month.
More articles on healthcare finance:
10 states where most hospitals face Medicare readmission penalties
CFOs believe healthcare costs are biggest threat to earnings, survey finds
OIG: Providers banned from Medicaid still received $7.4M in payments
