Salem (Mo.) Memorial Hospital's board voted to reduce certain service lines and explore affiliations with other health systems, according to a news release shared with The Salem News on Dec. 11.
The decision came down during a Dec. 8 special meeting. The board heard a presentation from a Forvis auditor whose assessment of the hospital's end-of-the-year financial bottom line differed significantly from an earlier evaluation, according to the release. The board had been previously presented with a $317,000 operating loss for the 2023 fiscal year, but after preliminary audit adjustments and corrections were made, the loss increased to $2.5 million.
The release did not state which service lines will be cut but said reductions will begin in the coming months, "allowing patients involved with those services to be presented with options for continuity of care by transferring to surrounding area services." No jobs are being cut, and affected employees will be offered transfers to other areas of the 25-bed critical access hospital.
Salem Memorial has seen operating losses of more than $1 million in each of the previous three years, according to the release. The hospital reported a nearly $1.3 million loss in 2020, a $1.18 million loss in 2021 (excluding extinguishment of debt) and a nearly $1.7 million loss in 2022, the release said.