Pandemic forces difficult decisions for Montrose Memorial HospitalJun 02, 2020 09:59AM ● By Beacon Senior News
Montrose Memorial Hospital has realized a substantial financial setback due to the COVID-19 pandemic.
With the cancellation of elective procedures and surgeries throughout the organization and the temporary closure or dramatic reduction of specific services, Montrose Memorial Hospital is estimating a $4-5 million loss for the month of April. Leadership along with many employees have taken pay cuts, we have made some significant changes and reductions to employee benefits and budgets are being reviewed and severely cut.
As a result of this pandemic, our team and the Board of Directors are working together to make difficult decisions to restructure to help ensure the long-term sustainability of the hospital so we can continue to be the healthcare safety net for Montrose and our surrounding communities. As surgical services and outpatient visits decreased, we formed a resource pool for our employees and re-allocated staff to areas in greatest need. We opened the COVID specific care unit, added screeners at all patient, visitor and employee entrances, and increased housekeeping sterilization efforts in all areas of the hospital.
Montrose Memorial Hospital is the second-largest employer in Montrose County with over 700 employees. Nineteen employees were laid off May 13, and were given severance pay based on their years of service. The hospital received $7.4 million from the CARE funds which according to the Board Chair covers only 23 days of hospital operations. It also received $15.6 million from CMS through the Medicare Accelerated and Advance Payment Program, which will have to be repaid beginning 121 days after receipt of the funds.