Chicago partner Doug Swill was quoted in a Chicago Tribune article titled, “Roseland Hospital Chief Resigns after Blaming State for Financial Woes.” The article discusses how the hospital’s president and CEO Dian Powell has resigned on the heels of a claim that the hospital’s financial predicament is due to missing payments from the state.
According to Powell, the hospital “could be forced to close to new patients because the state had neglected pay $6 million for development and operation of an adolescent behavioral health unit.”
The following day, the hospital negated her accusation, stating that they had issued an advance supplemental payment of $958,240 to keep Roseland afloat amidst increasing debt.
Although there were rumors circling that the 162-bed nonprofit hospital is being forced to shut down, interim CEO Genivee Chapman stated that, with significant cutbacks, the hospital has no plans to close.
Doug noted, that without sufficient capital to invest in electronic medical records, facility improvements and to acquire or align with physician practices, hospitals similar to Roseland, “are not well-positioned …and are really at a point where they can’t go into debt any further.” He continued, “Those hospitals are likely to close and unlikely to find the strategic partnerships they need and those are not attractive to anybody.”
To view the entire article in Chicago Tribune.com, click here.