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North Adams Hospital In Massachusetts Closes Abruptly on Friday, Out Of Money & Court Order To Stay Open Seems To Be Trumped By

Posted Mar 29 2014 8:26pm

The hospital had emerged from bankruptcy a couple years ago and it appears that money could not be made here due to the fact that a big percentage of the payments come from Medicare.  The compensates imagethe hospital with 66 cents for every dollar spent so there’s the gap.  The hospital relies on Medicaid funding.  The state has underpaid for years so again we have hospitals like UMPC making a billion in excess profits for a non profit and then we have one like this that can’t keep their doors open.  Profits and losses for hospitals are all over the books. 

The state audited their books after bankruptcy. Fund would be available if the state declares the hospital a “critical care” facility but the hospital has to be 25 miles away from the next nearest acute center care hospital, and it is 23 miles so someone has to change a law I guess.  Just a few days prior the Governor said the hospital should survive.  500 jobs were lost.  Makes politicians look useless when the money’s gone.  On Tuesday the hospital officials said it would close on Friday and that it did.  Northern Berkshire Healthcare is the parent company of the hospital.  BD


NORTH ADAMS, Mass. (WWLP) – Questions that many people in Berkshire County are asking include how did the hospital get into this financial crisis? Can anything be done to get out of it?

North Adams Regional Hospital filed for bankruptcy back in 2011 and their finances were audited by the attorney general’s office. The state may have contributed to the root of their financial issues.

SEIU Union Spokesperson Jeff Hall told 22News that 46% of the hospitals patients were on Medicare and that the state only reimburses the hospital about 66-cents for every dollar of care provided, leaving the hospital with a gap that can be filled only through donations.

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