June 24, 2024 |
Photo – Gerald Parton – Courtesy Biz New Orleans
Big administrative changes came to Memorial Hospital in the past two weeks. On June 14th, Director of Strategic Operations at the facility, Stephanie Hinkle, announced that interim CEO Rex Walk and Chief Financial Officer Margaret Fontana had left the organization. Hinkle said in a statement that Walk’s replacement was already in place.
Gerald Parton is now in charge. as the new Interim CEO.
Parton and Hinkle spoke with Bigfoot99 about the struggles faced by the rural hospital and the path toward financial stability. Parton said he has decades of experience running hospitals, both large and small. The interim CEO said he is already familiar with the Rawlins hospital.
Parton, who is from Alabama, said he was the head of a large hospital in New Orleans. After leaving that position, Parton said the medical management company, Ovation Healthcare, offered him a series of interim CEO jobs at hospitals across the country: including right here in Carbon County.
Following the resignation of Chief Executive Officer Ken Harmon in May of 2023, the hospital Board of Trustees brought in Rex Walk to fix the hospital’s financial issues. Walk was given a year to turn the struggling facility around before being terminated by the board. Bigfoot99 asked Parton why Walk as let go. The new interim CEO said the board decided a change of leadership was needed.
Walk wasn’t the only high-ranking hospital official to leave earlier this month. Despite being hired in March, Chief Financial Officer Margaret Fontana has already left the organization. It is unclear if Fontana was fired by the hospital board or voluntarily quit. Either way, Strategic Director Hinkle said MHCC has a new CFO ready to take Fontana’s place.
Bigfoot99 asked new interim CEO Parton what strengths he has seen in MHCC since taking the reins eight days ago. The interim CEO said the hospital’s biggest asset is its employees.
Parton said the hospital’s biggest issue is money. The interim CEO said Memorial Hospital isn’t unique in its financial difficulties. However, Parton said he believes that MHCC is the only rural healthcare facility without an alternative funding source aside from seeing patients.
As reported by Bigfoot99, the MHCC Board of Trustees is requesting to add the creation of a taxpayer funded hospital district to the 2024 general election ballot. Parton said a three-mill levy would bring in an additional $1.5 million a year to the hospital. A mill levy is the tax rate applied to the assessed value of a property.
Hinkle said a healthcare district appears to be key to hospital’s future.
The Carbon County Commissioners will decide if a hospital district will be added to November’s ballot at their August 6th meeting. If they approve, Hinkle will work to educate the public about the hospital district’s impact.
A three-mill levy will require residents in Rawlins, Hanna, Sinclair, and specific unincorporated areas of Carbon County to pay an additional $100 to $500 a year in taxes. MHCC staff will provide a calculator to help residents determine how much additional tax money they will pay.
County Clerk Gwynn Bartlett said MHCC is unlikely to see any tax revenue until the end of 2025. Bigfoot99 asked Parton if the hospital can survive that long. The interim CEO said it won’t be easy, but MHCC will survive.
The future of Memorial Hospital of Carbon County hinges on the adoption of the taxpayer funded hospital district. Hinkle discussed the potential negative consequences should the hospital be forced to close.
In the meantime, Hinkle said MHCC is actively recruiting new medical providers. The strategic director said she is excited to welcome a new internal medicine doctor to the team.
Both Parton and Hinkle said there is no quick fix for the hospital’s financial troubles. However, a hospital district will greatly help MHCC continue to offer medical care to the community.