Adventist Health Lays off 59 administrators to save $100 million; MCMC Acquisition still awaiting regulatory approvals
A recent article by Dave Muoio in Fierce Healthcare reports that “Adventist Health is launching a reorganization that will consolidate its care networks and reduce its administrative headcount by dozens, according to a statement from the organization and a California regulatory filing.”
Adventist Health is in the process of purchasing Mid-Columbia Medical Center in The Dalles with promises of investing $100 million over the next ten years. The buyout is awaiting regulatory approvals from both the Oregon Health Authority and the Department of Justice.
“Regarding MCMC/Adventist, I received word back from the HCMO team, and what’s happened is that OHA and the entities have agreed to extend the preliminary review period,” said OHA Communications Officer Amy Bacher today, Feb. 23. “This will allow OHA to consider additional information provided by the entities prior to making its determination on whether to approve, approve with conditions, or move to comprehensive review.”
No time limit was set on the extension.
According to Muoio, The Seventh-day Adventist Church-affiliated nonprofit said the moves will save more than $100 million in administrative costs, which will be reinvested into its hospitals and clinics “to help realign directly where care is delivered.”
The nonprofit has faced a $254 million operating loss and a $637 million net deficit over the first nine months of 2022, as of its most recently available financial statement. Included in those nine-month operating expenses was $28 million related to organizational restructuring, Muoio wrote.
Read the entire article here.
Oregon Federation of Nurses and Health Professionals strongly believes that the proposed MCMC-Adventist transaction fails to meet the required conditions for approval following the preliminary review. Read their opposition letter filed with OHA here.
