The Hawaii Health System Corp. was announced that they will be closing their primary care clinic at Kalaheo, Kauai in September 2014. Services and patients will be transferred to their facility at Port Allen, approximately four miles away. Interim Chief Executive Officer for Kauai for HHSC, Scott McFarland, explained that the inadequate funding from the state of Hawaii and the rising costs of medical expenses forced the company to make this decision. McFarland stated, "Neighbor island health care as a result of this lack of funding and financing is in jeopardy. The region requires a very high level of subsidy currently. Kauai is more of a canary in the coal mine for the fiscal health of the statewide system."
Alice Hall, the President and CEO for the entire Hawaii Health System Corp., added that medical companies can no longer sustain the rising costs of health care while continuing to provide the same levels of service. Hall stated, "The state can't afford to come up with more and more money, and we can't absorb these costs. We're going to have to explore all plausible ideas on how to cut expenses, which may include cutting services and reductions in force. We believe all our services are essential, but we must examine all options in order to make up for the huge deficit that we're anticipating for next year."
Source: Honolulu Star Advertiser, 5-20-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
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