PASCAGOULA, Miss. (WLOX) – The fate of the Singing River Health System is still in the air.
Meanwhile, the Jackson County Board of Supervisors received an update on Tuesday morning on the condition of the hospital’s group of consultants, who are studying what is best for its future.
According to a study by the Raymond James team, the Mississippi has the second worst general health in the United States, the highest poverty rate and a highly insecure population.
“Another challenge that your local healthcare system has to deal with is when it comes to the quality of healthcare in an economical way,” said consultant Jim Birdwell.
SRHS is the county’s second largest employer, and its largest facility is in Pascagoula.
“What do you do with a 435-bed hospital if you do not operate anywhere according to capacity,” Birdwell said.
Between Medicare (51%) and Medicaid (11.6%), over 63% of the medical group’s revenue is federally funded.
“If your dependence on state payers is over 50%, it makes you vulnerable to decisions outside of the health care system,” Birdwell said.
He adds that the pandemic, national labor shortages and inflation are all weakening the system.
Studies show that SRHS’s operating performance has decreased since 2019.
“Most people who study this do not feel as if it will ever return to the levels we saw before COVID,” Birdwell said.
Board of Directors President Randy Bosarge warned that the facilities would keep taxpayers afloat.
“We are either taxing them and trying to keep this thing afloat or we are moving them along and trying to get another partner here who is relinquishing the responsibility of the taxpayers,” he said.
Matthew Karp and Raymond James’ estimated SRHS is worth between $ 220 million and $ 300 million.
“This is based on all the latest assumptions of management and our assessment of the market,” he said.
Another financial challenge, however, is the court ordering settlement for the health care system’s failed pension fund.
“I want to make sure that everything that happens is that the staff working at the hospital do not feel nervous or scared,” said District 4 Supervisor Troy Ross. “I want to know that the retirement plan is paid out, and I want to make sure we have good quality care and access to the county.”
Birdwell and Karp concluded: “We believe it would be prudent for the Board of Directors to pursue a process that identifies potential buyers and the conditions under which they engage.”
Supervisors were forced to consult the study.
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