MANISTEE -- West Shore Medical Center is reorganizing and rebalancing its operations, which means dozens of jobs are on the line. The hospital's Board of Trustees has approved a reorganization plan that will sustain the hospital and prepare it for the future.
Another part of this reorganization is a decision to cut a third of its capital budget.
Hospital President Burt Parks said the Board's decisions are driven by challenges created by the struggling national and state economies, changing health care landscape, rising bad debt, and charity care.
"By acting at this time we will remain in a strong position to meet the health care needs of our community," he said.
As part of the reorganization, the Board identified revenue enhancements, non-labor cost reductions, and delayed spending on capital projects. It is reducing its capital budget from $2.6 million to $1.8 million. However, it also is necessary to reduce labor costs.
These reductions will be accomplished by not filling some open positions, reducing some full-time staff to part-time, layoffs, and eliminating some positions. These will take place at all levels of the organization, from front line staff to administration.
"We had to make some tough choices that affect our coworkers, colleagues, friends, and neighbors in this community," Parks said. "This is difficult for all of us, but our mission remains the same - to provide excellent care and improve community health. We must ensure we are in a position to carry that out."
In 2009, West Shore Medical Center sought and was granted Critical Access Hospital status that increased federal reimbursement for Medicare patients and allowed the hospital to staff the appropriate number of beds needed for the community.
The hospital also has invested in new services, including a sleep center, and fixed-base MRI, to meet patient needs close to home and generate more revenue.
Additionally, the hospital continues to provide $150,000 in annual support to the Manistee Area Community Clinic.
More information on the budget plan can be found by clicking on THIS LINK.