Tesa Anewishki had a significant task ahead of her when she became president and CEO of Loretto Hospital in 2022: guiding the Chicago-based safety-net facility in the wake of a COVID-19 vaccine scandal. She met the challenge with determination and has led the hospital’s turnaround.
A healthcare veteran, Ms. Anewishki had spent the previous 15 years at Loretto in various roles. At the time of her appointment, she was serving as executive director of the hospital’s foundation and as Loretto’s vice president of development — positions that gave her a strong understanding of the hospital and its operational needs.
“The board really wanted somebody who had time and tenure and an understanding of the hospital from every angle,” she told Becker’s. “So for me, it was exciting and scary, obviously, because of some of the other challenges, but I was ready to take the helm and turn things around.”
Reports of potentially improper COVID-19 vaccinations connected to Loretto surfaced in early 2021, involving off-site doses administered to ineligible individuals. The FBI launched an investigation later that year, and multiple former hospital executives — including the former CEO, former CFO and former chief transformation officer — were later charged in connection with an alleged embezzlement scheme.
Now, under Ms. Anewishki’s leadership, Loretto is undergoing reforms, including a completely rebuilt leadership team with a new CFO and compliance officer. Other reforms include conducting independent audits and staff-wide ethics training, and installing an external ethics board. The hospital also opened a Women’s Wellness Center in March and has plans to expand behavioral health, maternal care and digital infrastructure.
“Loretto is continuing to turn things around,” Ms. Anewishki said. “I believe we are really on the precipice of redefining the role of safety nets within the healthcare system. We’re emphasizing the importance of our organization to our community and how we can be an impactful partner to larger health systems to help with some of the capacity issues patients are being challenged with, such as long wait times at other institutions.
“Your safety net is a tremendous partner to help with some of those capacity issues. No one should have to wait three to six to nine months for a diagnostic test before treatment can begin. It’s helping to improve the overall quality of life for our patients.”
Additionally, she pointed to a heightened commitment by staff.
“You’d think that when a boat is sinking, most people would abandon ship,” she said. “But we have an amazing team of committed nurses and techs who ran to the other side of the boat to balance it out and buy us some time. That commitment — to see us around for another 100 years — is what feels most different [since 2022]. That level of commitment and wanting to be part of the solution and to see us thrive.”
Still, despite that level of commitment, she acknowledged that balancing mission-driven commitments to access and equity with the financial realities of being a safety-net hospital remains a day-to-day challenge.
Safety-net hospitals face a confluence of financial and operational pressures. Looming Medicare sequestration cuts, Medicaid funding reductions and the potential expiration of ACA premium tax credits — along with other federal changes under the One Big Beautiful Bill Act — are all factors that could threaten their stability, as many also face workforce shortages and access barriers in their communities.
Not all organizations will experience these challenges in the same way or address them in the same way. At Loretto, service cuts and layoffs are not the approach on the table.
“While most people are looking at layoffs and service eliminations amid potential Medicaid cuts, that’s the last thing we want to do,” Ms. Anewishki said. “That would only worsen the problem in our community. It’s about the overall health of the community, so we’re actually looking to grow.”
One of Loretto’s goals is to grow and attract more commercial payers to help offset the financial gaps created by its high Medicaid population. That population has climbed from 76% to 84% over the past year.
“We already operate lean, and operating any leaner would mean layoffs and service cuts,” Ms. Anewishki said. “When you think about the economic impact that has on families — if they don’t have access to healthcare, they can’t keep their jobs — the disparities just continue to grow.
“The antidote to communities in crisis is investment. Investment is the conduit to change. We can have better, more meaningful partnerships with FQHCs and larger public and private institutions, but we also need investment in our infrastructure. … Investment in infrastructure, medical equipment and technology allows us to attract more commercial payers to our institutions.”
In addition to opening the Women’s Wellness Center and expanding behavioral health services, Loretto is also addressing food insecurity through its community cupboard. This spring, it will open the first free grocery store based in a hospital in Illinois.
“It’s exciting because we’re not just addressing food insecurity, we’re also supporting individuals in recovery,” Ms. Anewishki said. “In our area, substance use disorder is very prevalent. The chances of maintaining sobriety and recovery are greater when people have access to food and aren’t going hungry. Our community cupboard provides ready-to-eat packaged meals because dried goods don’t help those who are homeless or at risk of homelessness.
“We’re not fixing what’s [broken]; we’re rebuilding something better — a stronger, more responsive community hospital. But that can’t happen without true collaboration within the healthcare system.”
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