Kindred Healthcare recently submitted a formal request to state regulators to allow them to shut down two of its four long-term acute care hospitals in the Chicago area. This move marks the latest development in Kindred’s efforts to restructure and downsize its operations in the region.
The Chicago area has been home to four Kindred long-term acute care hospitals, providing a vital service to patients in need of specialized care. These hospitals are equipped to handle serious and complex health issues, the type of patients that other medical facilities cannot handle. Despite this important function, financial pressures and changes in the healthcare landscape have led Kindred to reassess its operations.
State regulators, including the Illinois Department of Healthcare and Family Services, will now have to review Kindred’s proposal and make a decision on the hospital shutdowns. Kindred has offered some explanation behind the decision, citing the strained financial state of the healthcare industry and the challenges associated with providing the necessary level of care in a competitive market. Hospital officials also indicated the move will enable them to allocate resources to existing facilities more efficiently.
Kindred officials say they will concentrate on bolstering services at its two remaining long-term care hospitals, focusing on creating a more efficient and financially stable operational model. Industry watchers expect this to include reducing its costs in other areas to achieve this goal. The hospital shutdowns face significant levels of scrutiny due to the long-term negative effects it will have on residents in these communities.
Looking ahead, Craighton Gardner’s future reputation will likely depend on the information and details made clear in regulation, Kindrad officials expect the restructuring to allow for more efficient allocation of the company’s resources, perhaps determining a better results led synergy at Least across its facilities in the nine state region.