In December of 2014, Nueterra teamed up with the University of Missouri Health Care to acquire the Callaway Community Hospital. MU Health paid $1.15 million and provided a loan for $2.75 million to acquire a 35 percent stake in the venture. The hospital’s name was eventually changed to Fulton Medical Center and it experienced a wealth of problems over the years.
In July of 2015, it was reported that the hospital had few patients and no surgeon. A growing deficit created a grim outlook for the hospital’s future. After struggling for multiple years, the 37-bed hospital will soon be shutting its doors for good. On July the 24th of 2017, Nueterra submitted a Worker Adjustment and Retraining Notification notifying Missouri officials that the Fulton Medical Center would be closed permanently on September 22, 2017.
The hospital is located at 10 South Hospital Drive in Fulton, Missouri. Employees were notified of the impending closure on July the 24th. The company expects staffing needs to fluctuate until its eventual closure. Terminations are expected to begin on or before September 22, 2017. In the notification, Nueterra confirmed that it intended to maintain pay and benefits for all employees for the entire 60-day WARN notice period. According to the notification, 158 employees will be impacted.
The layoffs will be permanent. None of the employees are represented by a union and therefore have no bumping rights. Chief Executive Mike Powell made a statement about the decision. “After careful consideration and in light of the challenges facing rural hospitals in today’s healthcare environment, we have made the difficult decision to close Fulton Medical Center, no later than September 22th, 2017.”
Several reasons were given for the closure with low patient volumes being one of the most notable.