It’s been a little more than a month since Northeast Georgia Health System (NGHS) began overseeing the management of Habersham County Medical Center. Since then, the hospital has taken steps to shore up its finances ahead of a full take-over later this year.
Scaled-back hours, staff reassignments, and a reduction in services have contributed to growing concerns about the future of the Demorest facility. NGHS administrators are adamant the changes taking place now are necessary to ensure the struggling hospital’s long-term viability.
“This hospital is not in a situation where it’s about to close its doors,” NGHS Executive Director of Communications and Consumer Strategy Sean Couch tells Now Habersham. “We are confident that we can make it to July and make that transition over to Northeast Georgia Health System.”
NGHS currently oversees hospital operations under an $11,200 monthly management services agreement. The health system is expected to acquire total control of Habersham Medical Center (HMC) and its assets by July 1.
Prior to NGHS’ involvement, HMC was losing over $1 million a month. While it was clear drastic changes had to be made to “stop the bleeding,” as county finance director Tim Sims described it, few were prepared for the sudden impacts of this long-expected change.
LPNs transferred to nursing home
Sources close to the hospital describe employees as “scared” and “confused.” At the height of the pandemic a few years ago the hospital hailed them as “heroes” and called them “essential.” Now, some, feel anything but.
Several nurses who spoke with Now Habersham say they’re being asked not to come to work, to come in late, or to leave early. Last week, hospital management held a mandatory meeting with the licensed practical nurses (LPNs) on staff and presented them with two options: They could “transition” to the nursing home or find other means of employment.
One nurse who opted not to work at the nursing home says she applied for one of the many LPN jobs available within Northeast Georgia Health System in Gainesville but was rejected.
“We offered all of our LPNs full-time positions with Habersham Home, where we have the patient volume and demand for their skills. These employees are not being considered for other positions within NGHS, because we truly need them here to meet the needs in Habersham,” HMC President and CEO Tyler Williams tells Now Habersham. “While we understand working in Habersham Home may not be their preference, it’s where the need is to help our patients and keep HMC’s operations stable.”
Med-Surg decline
RN’s and Patient Care Technicians face a similar situation.
Over the last several weeks, the medical-surgical floor at HMC has seen a significant decrease in patients. The floor, which can hold around 40 patients, was at least half full prior to the management services agreement being signed. In recent weeks, the patient census dropped to below ten.
“Where did the patients go?” asks one nurse.
COVID, pneumonia, flu, and other respiratory illnesses were on the uptick at the end of 2022.
“We saw a lot of those cases in late November through mid-January, but not as many in recent weeks – which is in line with what our partners at Northeast Georgia Health System are seeing across their four hospitals,” explains Williams. “Another factor to consider is how pausing our ICU service means a small number of cases may be redirected to an appropriate facility if there’s a likelihood a patient may need that higher level of care.”
In addition to “pausing” ICU operations, HMC has reduced its number of operating days from five to three.
The cumulative effect of these changes has been that fewer staffers are needed to care for fewer patients and those who do remain at the hospital are seeing their hours cut. One nurse, who asked not to be identified, says her paycheck went from 72 hours without overtime, to just 16. That’s a 77.8% drop in pay.
“How can I pay my bills with that kind of reduction in pay?” she asks.
While some staff have been able to supplement their hours by covering shifts at the nursing home, others are using their accrued Paid Days Off (PDO) to supplement their pay. However, their available PDO time is rapidly running out, causing concern for their near future.
Make whole pay on ‘as-needed’ basis
Both HMC and NGHS administrators say their intention is to “make whole” those employees whose pay has been reduced. They plan to do this by allowing them to pick up shifts at NGHS hospitals on an “as-needed,” or PRN, basis. But that means they’ll be working in a hospital at least 35 miles away – adding additional travel time and costs to their day.
“We know the situation isn’t ideal, but it’s the right step to make to ensure we can afford to keep the hospital open and provide uninterrupted service through July 1,” Williams wrote in an email to employees dated February 16.
To date, the hospital has held two town hall meetings with staff to discuss operational changes. Two more are scheduled in late February and early March.
“The most immediate need now is to financially steward HMC to keep its doors open until July 1. Meanwhile, NGHS is working to make a significant financial investment to bring Epic, the electronic health record system, to HMC. This investment will make it easier for NGHS to coordinate care across all of its hospital locations after July 1,” Williams wrote.
Couch points to that “multi-million dollar” Epic investment as evidence NGHS does not intend to close Habersham’s hospital doors. Still, some remain skeptical, a response hospital administrators say is understandable.
“It’s just human nature, not just for staff but our leadership too, to feel this type of anxiety as we go through the next several months,” says HMC’s Vice President of Culture and Wellness Kesha Clinkscale, “but what we’re trying to do is provide opportunities to have open dialogue and address those issues as best we can.”
Admin pay cuts
Seeking to assure staff and to demonstrate that “we are in this together,” Williams announced HMC’s administrative leadership team has taken a pay cut. He tells Now Habersham that “any and all executives,” have taken a 10% reduction in pay. He also said none of the administrative team members have received “any bonuses within the past 60 days.”
Given that the top ten administrators make a combined $1.3 million a year, the act may be symbolic, still, it’s something.
John Kueven calls these next five months “critical to ensuring a bright future for Habersham Medical Center.” As president of Northeast Georgia Medical Center in Gainesville, he serves as NGHS’ administrative liaison to HMC.
“If the community will continue to go to HMC for care and support the hospital, we’re optimistic that no other services will be paused or cut. We’re also not anticipating any layoffs or other cuts of HMC’s workforce,” he tells Now Habersham.
NGHS administrators estimate daily there are more than 50 inpatients within its system who could be cared for at HMC. Kueven says the health system is starting to have conversations with local physicians and the larger medical community about what services and specialites are needed to enhance care in Habersham and not be redundant to what’s offered nearby.
“The long-term plan is for NGHS to keep the hospital open, actively work to resume some of the paused services, and add additional services and specialties over time,” says Kueven.
“We envision the future Northeast Georgia Medical Center (NGMC) Habersham becoming a northern hub for care across our service area,” he says. “It’s all about planning the right care, in the right place, at the right time. Better days are ahead.”
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