The Nathaniel Witherell skilled nursing facility in Greenwich, CT, has been a fixture in the community for over a century. But its future is now uncertain, as years of financial losses have forced town officials to consider selling or closing the facility.
The Witherell, the last municipally-owned nursing home in Connecticut, has lost roughly $51 million over the past decade, according to town budget documents. This has led to calls for change from local leaders like Harry Fisher, chair of the Board of Estimate and Taxation.
“I think it’s time for the Board of Estimate and Taxation and Nathaniel Witherell to work collaboratively to pursue alternative strategic ideas,” Fisher said during a recent meeting, as reported by the Greenwich Time. “I don’t think the status quo can continue anymore.”
A Costly Decade
This isn’t the first time the town has grappled with the Witherell’s financial woes. In 2017, officials debated closing, selling, or finding new management for the facility. Ultimately, they opted to keep it open and brought in a new administrator in 2020.
However, the financial challenges persisted. The COVID-19 pandemic exacerbated the situation, with the facility accumulating $3 million in bad debt due to billing issues. In 2023, leaders projected another $1.1 million in losses.
“It’s very bad for the town and very bad, ultimately, for the residents and the families that this discussion keeps going on year after year after year,” said Brad Markowitz, chair of the Witherell’s board. “That presents challenges for long-term planning, and it also creates uncertainty and impacts, negatively, quality of life for the residents of the facility.”
A National Trend
The Witherell’s struggles reflect a broader trend of municipalities grappling with the financial burden of operating nursing homes. According to a study by the University of Wisconsin-Madison, the number of county-owned nursing homes in the US has been steadily declining due to factors like rising operating costs and Medicaid reimbursement rates that fail to keep pace.
What’s Next?
Witherell leaders have implemented cost-cutting measures and operational changes in an effort to improve the financial outlook. They briefly achieved their goal of breaking even in September, but setbacks in October and December highlight the ongoing challenges.
As Greenwich enters its budgeting process, a group of town officials will convene to discuss the Witherell’s future. Options include selling the facility to a private operator or closing it altogether.
The fate of Connecticut’s last public nursing home hangs in the balance, with no easy answers in sight.