Community Wellness Center to shut-down June 1

LACONIA — Fears that its time to find solutions to the financial problems confronting the Community Wellness Center were running out were confirmed yesterday when LRGHealthcare officials notified key members of the center's advisory committee that June 1 was the target date for shutting down the popular facility on Gilford Avenue.

According to Henry Lipman, LRGHealthcare Chief Financial Officer, the local healthcare provider that operates Lakes Region General and Franklin Regional Hospitals has little choice but to close the facility. "Given our current financial situation we cannot continue to absorb the $500,000 in annual losses resulting from the center's operations," he said. "What we're attempting to do is make certain that those people who have the most critical needs will continue to receive services while helping others to find alternative options."

Acute cardiac and pulmonary patients, as well as highly vulnerable patients still in the recovery process from an illness will continue to be served, Lipman explained. But their programs will be shifted onto the campus of Lakes Region General Hospital, taking over a portion of the building currently used as a conference area.

However, the 460 people who use the Center for their health maintenance programs will be more or less on their own.

"They're suggesting local fitness centers as a traditional solution," Terry Thomason said of LRGHealthcare officials. Thomason, who chairs the advisory committee, conceded he is somewhat frustrated by LRGH's decision.

"We met for two hours," Thomason recalled, "but most of the time was devoted to the hospital administration bringing us up to date on their plans."

What LRGHealthcare officials did not offer, Thomason observed, was any long-term plan for the 460 people. "They're looking to us for such long-term solutions," he said.

Thomason indicated that his group still hadn't had time to digest the news of the June 1 closing. "We'll bring this back to the entire group for their consideration and response tomorrow," he said.

Both Thomason and Lipman confirmed that the representatives from the adivsory committee had shared with LRGHealthcare officials a number of ideas for securing sufficient funding to offset the center's losses, including approaching the county government for assistance.

"There was talk of the committee forming a new 501(C)3 organization (an IRS designation for a non-profit organization authorized to received tax deductible donations) and pursuing different funding opportunities," Lipman said. "While we're willing to work with them on that objective, we're not in a financial position to wait."

The local healthcare provider, which is a non-profit, charitable foundation, continues to struggle financially due in large part to inadequate medicare reimbursements and a steady increase in costs. Faced with an estimated $6 million in losses this year following three years of over $5 million in annual losses, LRGHealthcare promises to launch a number of initiatives to increase revenue while at the same time phasing out money-losing services it can no longer support. "We have to protect our core mission," Lipman said. "It hasn't been easy having to cut back on programs, but we hope that through the process we'll discover more efficient and effective methods to deliver the services our clients need."

The Community Wellness Center, he said, is proving to be an example of how needed efficiencies can be achieved. By shifting programs for the patients with the most serious needs back to the hospital, Lipman believes LRGHealthcare will be cutting annual expenses by nearly $500,000 by next year. At the same time, even if only during an interim period, Lipman suggests that should the remaining users of the Wellness Center take advantage of fitness clubs or other facilities, that would give them time to come up with a community supported facility that could accommodate their needs.

"Sometimes it takes these difficult times to make us look at how we're doing things and see if they could be done better," Lipman said.