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Missoula Hospital Lays off 16 Due to State Budget Cuts

Community Medical Center will see at least a $6 million reduction in payments for treating Medicaid patients

By Associated Press

MISSOULA — Community Medical Center in Missoula has laid off 16 employees due to state budget cuts.

The Missoulian obtained a copy of an email that hospital CEO Dean French sent to the medical staff on Friday. It said state cuts to Medicaid reimbursement rates means the hospital will see at least a $6 million reduction in payments for treating Medicaid patients.

Hospital spokeswoman Megan Condra says the people whose jobs were eliminated were in management or in non-clinical staff positions. The hospital’s website says it employs about 1,100 people and has an annual payroll of over $65 million.

Bozeman Health says it expects to see a $2.6 million drop in revenue due to state cuts while Kalispell Regional Medical Center recently announced some layoffs, saying it expected a $6.6 million revenue decrease.