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Published July 03, 2008 10:53 pm - A Springfield-based hospital’s decision to abandon a bid for nonprofit status will leave uninsured patients in Jasper and Lawrence counties looking elsewhere for medical treatment.
Hospital abandons nonprofit bid
By Greg Grisolano
ggrisolano@joplinglobe.com
A Springfield-based hospital’s decision to abandon a bid for nonprofit status will leave uninsured patients in Jasper and Lawrence counties looking elsewhere for medical treatment.
Ozarks Community Hospital, which operates clinics in Webb City and Mount Vernon, and a hospital in Gravette, Ark., has resumed operational control under the for-profit Doctors Hospital of Springfield, according to Carrie Richardson, the hospital’s director of communication.
“We knew it was going to take some time for the IRS determination to come through, but we just couldn’t wait any longer. We just ran out of time and money,” she said. “A for-profit has resources like investors, assets and the ability to borrow money.”
The Webb City clinic has five full-time staff members and two health-care providers, while the Mount Vernon clinic has five full-time staff members and seven providers.
Richardson said the company will keep the Ozarks Community Hospital name to “avoid more confusion,” and that services at the clinics will not be interrupted. She said 80 percent of the clients are on Medicaid or Medicare or are uninsured.
“We will continue to see our patients,” she said. “Our doctors will remain the same, our nurses will remain the same, and we’ll still provide the same services.”
Richardson said what will change is the number of uninsured patients the clinics treat. Other than life-threatening emergencies, patients without insurance will be referred to other providers, such as Freeman Health System, St. John’s Regional Medical Center and the Community Clinic of Joplin.
Ozarks Community Hospital began operating as a nonprofit in January. Richardson said two factors — an increase in the number of uninsured patients, and unanticipated delays in obtaining a Medicare provider number for the recently reopened Gravette hospital — forced the health-care provider to revert to for-profit status.
“We were operating as a nonprofit. However, we had not received our IRS determination, which is what gives us all the benefits of nonprofit status,” she said. “It was nonprofit on paper, but not officially by the IRS. Since that hasn’t come yet, this was our only option.”
Richardson said the for-profit Doctors Hospital of Springfield has reached an agreement to pay for 100 percent of the debt incurred during the nonprofit Ozarks Community Hospital tenure. The nonprofit organization will file for Chapter 11 bankruptcy to settle its business affairs.
By the numbers
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