HICKSVILLE, Ohio —
Community Memorial Hospital temporarily suspended services on Sunday.
The hospital has had years of financial issues, interim CEO Bill Cherry said.
Cherry said the hospital was struggling to recover after entering a fraudulent laboratory agreement in 2016. He said the hospital was ordered to pay back $25 million to insurance companies.
Because of this, the hospital was unable to pay some vendors over that period of time.
"(It) resulted in us accumulating more and more debt," Cherry said.
There were not a lot of options left, leading to the hospital's decision to temporarily suspend services.
The hospital is currently not providing emergency, radiology or laboratory services, but Cherry said it does not mean the hospital will close.
"Over the last several months we put together a plan which we thought was the best way forward for the hospital," Cherry said.
The choice made was to pursue a Chapter 9 bankruptcy reorganization, he said, and they filed papers with the tax commissioner in April. However, it was not accepted.
The hospital is continuing to look at other options, whether it be partnerships with other organizations or obtaining funding from external services. The goal is to avoid permanently closing.
The staff was furloughed, and Cherry said they are working with other regional healthcare providers to find openings for staff members.
Hicksville Mayor Michael Barth said he has heard concerns from residents about the additional travel time it will now take to get to a hospital.
"Some of your residents that don't have transportation needs that can maybe find friends or family or take them locally," Barth said. "When you have something locally, that's a great asset."
EMS staff has been working to prepare to bring people to other facilities in the area, Barth said. Some of the other hospitals are in Parkview Health's system and are prepared for any potential influx.
"Parkview Bryan Hospital, Parkview DeKalb Hospital and Parkview Regional Medical Center are ready to care for patients from Hicksville and the surrounding area," a Parkview Health spokesperson said in a statement. "We will continue to partner with area first responders, as we’ve done for many years, to best meet the community’s critical care needs throughout this transition."
Cherry said the Community Memorial Hospital will continue working on finding alternatives to hopefully resume services.
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