The CEO of Roseland Community Hospital stepped down Tuesday after alleging the state owed the hospital nearly $6 million and without that money the hospital would close. Though the hospital's financial crisis continue, they said talk for money are resuming with the state and appear "promising."
As the debate over who is responsible for immense debts at Roseland Community Hospital continues to grow with the hospital facing possible closure, President and CEO Dian Powell resigned Tuesday.
Powell blamed the state hasn’t paid the hospital $6 million it was promised, but a day later the hospital said her statement was inaccurate and Board Chairman Genivee Chapman was appointed interim CEO.
Governor Pat Quinn denied Powell’s claims Monday and said the State of Illinois advanced all payments to Roseland for this fiscal year. He blamed “poor management” for the hospital’s debt.
"The hospital and its board of directors have serious management issues that need to be addressed," Quinn's office said in a statement. "Roseland Hospital is in deep debt and they have mismanaged their resources into the situation they are in today."
The hospital released a statement Wednesday saying the state does not owe them money and in fact, issued an advance payment to the facility of $958,240 a few weeks ago.
The hospital said that money talks are resuming with the state and they hope for the best as the state reviews the hospital’s sustainability plan, which is at the governor’s desk.
Hospital officials originally said it would not be accepting new patients as of Wednesday due to lack of funding, but vice president Sharon Thurman said talks for more money are "promising."
The hospital's 38 current patients may be moved in the next few days if they don’t receive needed funds.
Supporters of the hospital flocked to its aid over the last few days with protests and rallies, saying the hospital is the only facility within an 8-mile radius and is a lifeline to South Side residents.
The Roseland Coalition, a community group, said closing the hospital would put nearly 50,000 people at risk and 600 employees could lose their jobs.
The hospital let go 60 workers two weeks ago due to the lack of funding and activists are calling on Gov. Pat Quinn to use emergency funds to save the center.
Members of the Black Disciples also joined in the fight, saying that closing the hospital would be “genocide.”
But the governor said he is concerned about Roseland’s long-term viability.
"We committed to work with the hospital and help them identify potential partners and available resources within the law to develop a plan for long-term sustainability," his office said in a statement. "Those discussions are ongoing. The hospital has never provided a plan or any information to move forward."
|Mayor Hopes for Resolution on Roseland Hospital|