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July 9, 2009

Feds give Machias hospital short reprieve

Federal regulators have given Down East Community Hospital in Machias an extension until September to fix chronic problems at the hospital or lose its eligibility for Medicare and Medicaid reimbursements.

The Centers for Medicaid and Medicare Services cited the changes underway and the progress already being made toward achieving compliance with federal guidelines to be reimbursed for Medicare and Medicaid, according to a press release from the Maine Department of Health and Human Services.

CMS in late June notified the hospital that on July 10 it would no longer be eligible for Medicare or Medicaid reimbursements. Soon after, the hospital's board placed CEO Wayne Dodwell on administrative leave, the state placed the hospital in emergency receivership and tapped EMHS to operate it, and Doug Jones, former exec at Maine Coast Memorial Hospital in Ellsworth, was brought on board as interim CEO.

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