CEO of Harnett Health Resigns amid Rumors of Cape Fear Hospital Takeover
On Friday, CEO Ken Bryan of Harnett Health sent out an email to employees of Harnett Health stating that he would be resigning due to personal reasons that had been discussed with his family. This come as no shock to the Harnett Dispatch that was the first media outlet to release tax documents showing Harnett Health had a 24 million loss from the prior year.
In recent interviews with Mr. Bryan by other media outlets Mr. Bryan stated that the financial condition of the hospital was in good condition. Many employees are expressing their concern over the information that had been shared with them in recent months and say that they were never made aware of how bad the Health system was due to financial strain.
On Friday an email was sent out warning staff that there would be a major layoff throughout the hospital by 5:00PM on Friday. According to some sources over 50 staff members were laid off or displaced. The email from former CEO Ken Bryan was also sent out to staff within the health system.
The Take Over
According to reliable sources Cape Fear Hospital will be taking over the management of the Health system for 2 years in order to take care of some of the debt that is currently accrued by Harnett Health. Rumors have indicated that the current board of Harnett Health will be replaced with a brand new board made up of local physicians and community leaders.
Why the loss of so much money
Many close to the situation feel that there were several factors that led to the loss of 24 million and the inability
to pay outstanding debt. Some point out that the failure of Medicaid expansion money turn now by the North Carolina house played a key role to the lack of funds. Senator Ronald Rabin who represents the 12th senate district that covers Harnett, Lee, and Johnston counties voted against taking the Medicaid expansion money. After reviewing the votes of the NC house we also discovered that Rep. David Lewis who represents Harnett County voted against the expansion on Feb 13th and voted in favor of it on Feb 14th. On the final vote Feb 26th Rep. David Lewis was not present to vote.
Some critics feel that another key factor was mismanagement of the Health system, it has been reported that administrators were paid hefty salaries along with bonus during the time that the Health system was reporting a tremendous lost. The 2nd hospital was built and many felt that Harnett Health did not have the revenue or extra funding to build another Hospital within 10 miles of the main hospital Betsy Johnson.
The Board of trustees for Cape Fear is schedule to meet again and decide the outcome of Harnett Health in the next couple of days.