Franklin Hospital ends hospitalist contract: 4 things to know

Benton, Ill.-based Franklin Hospital has terminated its five-year contract with the chief of medical staff, according to a report from The Southern Illinoisan.

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Here are four things to know about the issue.

1. The contract with hospitalist Tim Morthland, MD, and his clinic, Morthland College Health Services, was terminated Feb. 1. However, Morthland College Health Services  will continue to provide services until July 31 as part of a contract stipulation that requires six months notice, according to the report.

2. Franklin Hospital CEO Hervey Davis told The Southern Illinoisan  the contract termination with Dr. Morthland  and his clinic was an economic decision, and did not have anything to do with quality of care or Dr. Morthland’s previous criticism of the hospital’s proposed $8.2 million expansion and renovation, according to the report. “Dr. Morthland and his organization [do] a very fine job, clinically,” Mr. Davis told the publication. “There is no question about that at all. But the financial side of it is such that it just doesn’t work for a critical access hospital.”

3. Mr. Davis said the hospitalist contract was not resulting in more beds being occupied, and officials estimated the termination of the contract will save roughly $300,000 annually, according to the report.

4. Although the contract has been terminated, the hospital still plans to continue inpatient care through its own employed advanced practice providers and physicians, according to Mr. Davis. The hospital will also maintain its health clinic in West Franklin, Ill.

 

More articles on workforce and labor management:

Tri-City Medical Center wants union petition for executive compensation cap invalidated: 4 things to know
Union suit against Kaiser takeover of Maui hospitals dismissed: 4 things to know
Central Florida hospitals have more than 2k job openings: 4 things to know

 

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