Springfield (Vt.) Hospital is planning to file for bankruptcy, according to the Vermont Public Radio.
The announcement was made by Springfield's interim CEO Mike Halstead at a meeting about the hospital's future May 29.
"The filing of a Chapter 11 bankruptcy is probably what we've got to do to adjust and restructure our financial world so that we can survive going into the future," Mr. Halstead said at the meeting.
Despite efforts to shore up finances by closing its childbirth center, adjusting operations in its emergency department and laying off 30 staff members, the organization would still lose up to $3 million this year.
Springfield Hospital already had lost about $14 million in the last two years.
Mr. Halstead said the hospital's board would begin bankruptcy proceedings soon so it can begin restructuring. He added that it will also likely require Springfield to come up with a long-term plan for financial stability, which may include handing operations over to another health system.
"We need to find a partner who's got a little bit more resources than what we have," Mr. Halstead said, according to Vermont Public Radio. "As a stand-alone hospital as Springfield Hospital and Medical Systems have been for the last 105 years — not in the cards for the future."
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