Vermont hospital reverses plan to close birth center

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Brattleboro (Vt.) Memorial Hospital’s board of directors affirmed Sept. 10 it will keep obstetric and birthing services, including the BMH Birthing Center, open — reversing plans approved in early July to close them within six to nine months.

“The board’s decision recognizes both the importance of the service and the financial challenges facing BMH,” according to a release from Brattleboro Memorial. “The hospital has sustained significant losses, including from obstetric and birthing services, and continues to focus on stabilizing its overall financial position.”

On Sept. 8, the hospital received approval for funding through Vermont’s Rural Health Transformation Program, which will support exploration and development of new obstetric and birthing service models and offer opportunity to evaluate new approaches for future maternity delivery and related services in southern Vermont.

Brattleboro Memorial also plans to continue its work with state and federal legislators on payment reforms and potential models to improve its financial stability, including critical access hospital and federally qualified health center models.

Brattleboro Memorial reported a $23 million operating loss in fiscal year 2025, not including earned retention tax credit funds. Due to operational improvements in fiscal year 2026, the facility now expects an approximately $9.5 million operating loss this fiscal year.

Brattleboro Memorial’s fiscal year 2027 budget reflects a $7.1 million operating loss, subject to approval from the Green Mountain Care Board, highlighting its ongoing progress on its multi-year turnaround plan.

The hospital’s leadership has created an improvement plan that includes operational efficiencies, staffing changes, increased appointment availability, improved coding and charge capture and efforts to increase birth numbers at the hospital.

“The Board believes strongly that access to local maternity care is essential to the health and well-being of our community,” Chloe Learey, Chair of the BMH Board of Directors, said in the release. “We are encouraged by the progress that has been made and by the opportunity to continue improving how we deliver care.”

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