7/24/2009 - Marysville, Ohio: At its July monthly Board of Trustees meeting, the governing
body of Memorial Hospital voted to close its 10-bed inpatient behavioral health
unit as a result of continued and projected financial losses in that service
line. Patients will be accepted through August 25th, with the unit’s
last day of business slated for August 30th.
The forces of financial pressure are causing the service
closure. Poor reimbursement from managed care plans, an increase in the number
of patients unable to pay for their care, and an influx of patients from
outside the area all have worked together to create a perfect storm. Additional
patients, through increased market share, would only create an even greater
problem as dollars are actually lost per each patient served. Costs have been
trimmed as far as oversight regulations will allow and increased reimbursements
doesn’t appear to be possible, particularly after the recent passage of the
biennial budget by the Ohio State Legislature.
Losses in 2008 totaled $670,000. A look at the last three
years shows total losses of over $1.7 million and projections for future years
show those losses continuing to grow. In 2008, the number of inpatients served
from the local service area (defined as Union County)
was only 71, which make up one quarter of all patients served.
“As a responsible member of the community, Memorial Hospital
can’t sustain these kinds of losses,” says Rick Shortell, who, serving as Vice
Chair of the hospital’s board of trustees, presided over the meeting. “Part of
our mission as an independent community hospital is to serve our residents.
With the relatively small number of local patients served, we are forced to ask
ourselves if there are other opportunities to use these dollars to impact the
health and wellness of a larger number of people.”
In pondering solutions to the problem since earlier this
year, the hospital shared its data, including financial figures, with both the
Mental Health and Recovery Board and Consolidated Care, Inc. (CCI). Officials
hoped that perhaps these additional perspectives would help Memorial develop a
model that would allow them to sustain the service. “We appreciate the
transparency of information and for having been included in the discussions,”
says Mike Witzky, Executive Director of the Mental Health and Recovery Board.
“There are no viable solutions and we understand the hospital board’s decision
and will cooperate on development of a transition plan.”
Randy Reminder, President of CCI adds, “This difficult
decision by Memorial
Hospital’s leadership is
the right one under the circumstances. We should all be thankful that Memorial
offered the service for as long as they did and they did it so well. CCI looks
forward to a continuing relationship with the hospital.”
Acknowledging the skill and passion of the behavioral health
unit staff, the hospital board made it clear that the employees did all they
could to deliver exceptional service. “Our board deeply regrets having to make
this decision,” provides Shortell. “This is a sad day for us as we know it will
impact patients, families and the employee team.”
The employee team was of great consideration in the
decision-making process. The board reviewed many proposed plans relative to
severance and reassignments for the 25 full-time, part-time and contingent
employees. “In the end, our board chose an option that is fair and provides our
employees with what we hope will be a softer landing,” says Chip Hubbs,
hospital President and CEO. “We will do all we can to help transition these
employees either within or to other employers who will be fortunate to have
them.”
Current employees affected by the closure will have the
opportunity to apply for other open positions at both Memorial Hospital
and The Gables at Green Pastures. Another option available to each person
provides for a severance package that varies based upon years of service to the
organization, with all departing employees receiving at least six weeks of
severance.
“Delivering this news makes for a very sad day and is
clearly the worst part of our job,” offers Hubbs. “All of our employees are
valued and it is important to us to be as fair as we can. Sometimes bad things
happen to very good people. While this is the right decision for Memorial Hospital, we regret the impact it has on
team members who have given their all to our patients and organization.”
Speaking as the Vice President of Medical Staff, Victor
Trianfo, DO, says, “Our formal medical staff leadership has appreciated the
opportunity to participate in the discussions around this concern and we fully
support the decision of the hospital board. While a very difficult decision to
make, it is clearly in the best interest of Memorial’s long-term success.”
Hubbs emphasizes that it is only the inpatient services that
will be closing. The hospital will continue to support Smitha
Patel, MD, a psychiatrist on staff
at Memorial Hospital who has served the inpatient
unit since 2003. “Dr. Patel will remain in the community as a trusted
healthcare provider and continue to offer outpatient service,” says Hubbs. “The
unit’s closure will actually create more time in her daily schedule to see
patients in both the pediatric and adult populations.” Patel will also continue
to offer behavioral health consults on inpatients served by Memorial’s
medical/surgical and ICU units.
The majority of patients who arrive at Memorial’s emergency
department with behavioral health issues can be stabilized in the ER and, once
the crisis has passed, return home with instructions to receive outpatient
care. Those served by the ED after August 25th and requiring inpatient
behavioral health care will be transferred to another regional facility.
Advanced levels of outpatient psychiatric care will still be
available in the community through the services of CCI and the other resources
available through the Mental Health and Recovery Board. Angela Wallenbrock, MD,
is another psychiatrist that served inpatients at Memorial Hospital
through a contract arrangement with CCI. That organization indicates Dr.
Wallenbrock will also continue to see patients through her outpatient practice.
The space that currently houses the behavioral health unit
is owned by the Mental Health and Recovery Board of Union County and its future
use will be determined by that organization. The hospital has leased the space
since it assumed responsibility for the service in 2000 and as a tenant will
honor its lease and then vacate the building.
Sep 7, 2010
