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Hospital looking at drastic cost cutting measures

Spectrum is leaving effective September 14, 2012.
"The situation is bad. It's beyond bad... no easy way out...we're running like a big hospital, with champagne taste and beer pocketbook," - CRAIG PYLES, new vice chair, Adair County Hospital Board

By Ed Waggener

With one of the biggest crowds ever in attendance at tonight's special called meeting of the Adair County Hospital District, two new members, Craig Pyles and Richard Grant, were able to get unanimous agreement to "look at" severe cost cutting measures, including:
  • 10-15% pay reduction for employees
  • No longer contributing to employee's life, dental or disability insurance premiums
  • Cutting health insurance benefits to a 50-50 share, with employees paying one-half their cost
  • A reduction in force of 30-35 employees
Pyles moved to adopt the objectives, and the motion received a second from Richard Grant. The other three members, Chairman Jim Evans and members Bruce White and Russell Guy Perkins cast Yes votes, but each noted their vote was to "look at" the matter.



Chairman Evans also announced that Spectrum Health Partners, Inc. had sent a 30 day notice severing their ties with the hospital. That letter was received August 15, 2012; the last day of their service will be September 14, 2012.

At the meeting, Craig Pyles was elected Vice Chairman of the Hospital Board and the Adair County Hospital District Corporation, position formerly held by John Nall, who resigned.

Pyles told the Board that drastic measures would have to be taken, that banks holding bonds would be taking action unless cost cutting measures were taken immediately

Mr. Pyles asked that the board have another session within a couple of days to take firm action.

A Special Called Fiscal Court meeting is set for 5pmCT, Tuesday evening, August 21, 2012, with only Westlake Regional Hospital on the agenda.

Chairman Jim Evans noted in this meeting that he has two more months to serve.

County Judge Ann Melton has favored removal of Mr. Evans "for cause," but has thus far not gotten a sense of Fiscal Court backing, which would be necessary for the action. However, Magistrate BIlly Rowe said that he would be for that action, though he would be opposed to similar action with respect to Members Russell Guy Perkins or Bruce White.

Spectrum's Roger Klein told the board that he would not be a part, in the remaining days, to any action which would compromise patient care, advising that the measures Mr. Pyles suggested required more study. However, he did note that his company did develop a plan for continuation of Westlake as an independent hospital.

The Hospital Board's Regular monthly meetings are the last Tuesday in each month. Unless another special called meeting is convened, the next meeting will be at 6:30pmCT, August 28, 2012, in the hospital board conference room at 901 Westlake Drive, Columbia, KY.


This story was posted on 2012-08-16 20:26:43
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