Skip to main content

Oklahoma Hospital Down to Eight Employees After Missing Payroll for Months

Submitted by ckanon@abi.org on
Fairfax (Okla.) Community Hospital had 60 employees at the end of last year. Now, the 15-bed hospital has eight employees and is working its way through the bankruptcy process, Becker's Hospital Review reported. The hospital, owned by Kansas City, Mo.-based EmpowerHMS, fell behind on payroll in December and hasn't issued a paycheck since. In February, a district judge in Oklahoma determined the hospital's financial troubles posed a threat to patient safety and appointed the Fairfax Healthcare Authority, a municipal trust authority, as receiver to assume operational control of the facility. However, the hospital remains on shaky financial footing. The hospital filed for chapter 11 on March 17. At that time, it had less than $50,000 in assets and more than $1 million in liabilities, according to the bankruptcy petition. Due to the financial troubles and payroll issues, more than 50 employees have left Fairfax Community Hospital since the end of 2018.
 
Don’t miss the FREE abiLIVE webinar “Stayin’ Alive ... Debt Restructuring for Critical Access Hospitals” on May 1. Register here.
Article Tags