Millinocket Regional Hospital is planning to lay off three people and reduce hours for others next month to address a $1.5 million budget hole. As of Aug. 1, the hospital will reduce nine people from full-time to part-time status, CEO Marie Vienneau told the Bangor Daily News.
She said the personnel changes will save the hospital about $550,000 over the next year, offsetting a $500,000 operational loss. The 25-bed hospital also plans to trim hours for its fitness and wellness center and its cardiac rehabilitation unit to save money, as well as reorganize its surgery clinic and hospital management practices. Vienneau said the changes address a decrease in Medicare and Medicaid reimbursements, a drop in the region's population and other increased medical costs.
Other changes planned for the fall to generate additional revenue and trim costs -- including a bid to run rural health clinics and a switchover to a biomass boiler -- should help close the $1.5 million shortfall.
Calais Regional Hospital, another 25-bed facility, also recently laid off employees due to fewer patients and a decline in reimbursement for services.