Massena (N.Y.) Memorial Hospital has reported $329,483 in operating losses for July, increasing its total 2014 operating losses to more than $2.5 million, according to a Watertown Daily Times report.
James Smith, the hospital's CFO, told the Times the losses resulted from decreased revenue and greater expenses. The hospital has been struggling financially for a while. In April, Massena Memorial CEO Charles Fahd II reportedly said in a meeting that the hospital was facing "an imminent financial crisis and possible closure."
Decreased patient volumes and increasing observation visits have strained Massena Memorial, and Mr. Fahd indicated the hospital will run out of money by 2017 unless it changes course. He said it's essential for the hospital to control its major expenses, such as payroll and employee benefits. The hospital's board of managers has suggested remedying the facility's fiscal woes by transitioning from a municipally owned hospital to a nonprofit organization. However, that decision would have to be made by the Town Council.