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Waterbury Hospital Announces Cuts in Wake of Funding Shortfall

Darlene Stromstad, CEO of Waterbury Hospital.
Waterbury Hospital
Darlene Stromstad, CEO of Waterbury Hospital.

Waterbury Hospital announced Thursday that it's cutting positions to deal with a $9 million dollar shortfall in government reimbursements.

Hospital CEO Darlene Stromstad said an estimated 100 full- and part-time workers will be affected by the plan. 

In a statement, Stromstad said these are difficult decisions that stem from state and federal reimbursement cutbacks and the impact of health care reform.

Seventy percent of the hospital's payer mix comes from government programs, which don't cover the full cost of care. 

The hospital unveiled a four part cost cutting plan that also includes not filling open positions, eliminating non patient care initiatives, closing community services like blood draw stations, consolidating some physician practices, and cutting back on location and hours of service.

Last month, a deal for for-profit Tenet Healthcare to buy Waterbury and four other hospitals fell apart.

Stromstad said that while they're encouraged some state leaders are reaching out to Tenet, these cost-cutting measures are still needed.

Lucy leads Connecticut Public's strategies to deeply connect and build collaborations with community-focused organizations across the state.

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