In April, John Sheehan, CEO of Mind Springs Health and West Springs Hospital, said the facility was at risk of closing without financial help as challenges such as labor costs, staffing shortages and regulatory scrutiny had squeezed the facility.
In a May 29 statement, Mr. Sheehan said the facility had reached an agreement with Rocky Mountain Health Plans, its largest payer, for the next fiscal year. Mr. Sheehan had previously alleged the plan, part of UnitedHealthcare, had steered members away from the facility, and increased its rates of denials.
The deal means the hospital is not in danger of immediate closing, Mr. Sheehan said.
“Now begins the hard work to ensure long-term sustainability,” he told the Post. “We continue to work with our community partners to secure anchor funding to ensure the long-term sustainability of West Springs Hospital.”
Rocky Mountain Health Plans administers Medicaid in Western Colorado. A spokesperson for the plan told the Post it was “pleased” with the outcome.