Hospitals across the country continue to face unprecedented financial challenges, and Lifespan CFO David Kirshner warns that the result has left the Rhode Island healthcare system in crisis, according to a Sept. 15 news release shared with Becker's.
Staff burnout from the COVID-19 pandemic and related resignations add to an already strained system. The release points to the rising cost of supplies, inflation, and lower than typical patient volume due to a decline in elective surgeries and bed closures as compounding reasons for the crisis. Additionally, the release notes the American Rescue Plan Act infusion of $20.9 million mitigated the effects, but additional federal funding is not expected moving forward.
As a result, Lifespan reported a net loss of $49 million for the third quarter of 2022. Lifespan's operating loss for the nine-month period ending June 30 was $69.5 million, and its net loss was $142 million over the same period.
"Now more than ever investments in our health care system are needed to ensure our long-term stability. While we continue to prioritize investments in the resources that allow us to offer excellent care, the health care system in Rhode Island is in crisis," Kirshner said in the release.