Plans ongoing for Pennsylvania microhospital after leaders terminated: 7 things to know

Leaders of a $45 million specialty hospital under construction in Lancaster, Pa., were terminated, according to a report on Lancaster Online.

Here are seven things to know.

1. Clio Health, an affiliate of venture capital firm Aspire Ventures of Lancaster, initiated construction on a planned for-profit, 144,000-square-foot microhospital in 2016.

2. The Clio Health Lancaster project was originally expected to be finished late last year, but completion was pushed back to spring of 2018, according to the report. 

3. Those project plans were established prior to the January terminations of Clio Health CEO Joe Frank and Clio Health Lancaster CEO Todd Lord, reports Lancaster Online, citing a lawsuit filed by Mr. Lord against Aspire, Abadir and Clio Health Lancaster.

4. Mr. Lord told Lancaster Online he and Mr. Frank were terminated because their jobs were eliminated. The publication could not reach Mr. Frank for comment.

5. Robert Redcay, a local developer and investor in Aspire, told Lancaster Online the project is still "very close to moving forward," despite the recent terminations and a delay regarding electrical service at the site. He also said "some major announcements" are anticipated "within four to six weeks."

6. In response to the Lancaster Online article, Clio Health also reiterated the project is not in jeopardy, even noting that the company recently named Steve Dailey as its new CEO.

"There has been an acceleration of change in the local healthcare market. We are evaluating those changes and our core business model of integrating technology into care and assuring that we adapt our model to the rapidly changing marketplace in a responsible and strategic manner," Clio Health said in a statement to Becker's Hospital Review. "We are currently leading a task force with strategic investors attempting to bring best-in-class healthcare technologies and services to the local community. The task force will conclude with a final plan in 60 days.

"Our vision hasn’t changed. We’re doing something completely new and we have to get it right. We want to be sure Clio Health isn’t more of the same. We’re bringing a transformational healthcare facility and technology service to the community, but realizing that vision takes a considerable amount of work and behind-the-scenes decision making." 

7. The lawsuit filed by Mr. Lord seeks $450,000 in severance, deferred salary and bonus, according to the report.

Editor's note: This story was updated on April 5. 


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