Print
Real Estate - Commercial

Novant's Wilmington Surgery Center 'on Hold'

By Ken Little, posted Jul 9, 2010

The ailing economy factors directly into recent moves by Novant Health to cut local hospital staffing, close a Wilmington OB/GYN clinic and place the opening of a same-day surgery center built in New Hanover County on hold indefinitely.

The North Carolina-based healthcare provider announced this week it will lay off 15 full- and part-time employees at Brunswick Community Hospital. Three hospital administrative positions were eliminated two weeks ago.

Meanwhile, the outer shell of the Wilmington Surgery Center in the Autumn Hall development off Eastwood Road is in place, but the facility remains empty and is “on pause” until the economy improves, Novant spokeswoman Amy Myers said.

The medical plaza was built to provide same-day surgery and include two operating rooms, which are not fitted out. One of the reasons Myers gave for layoffs in 13 departments at Brunswick Community Hospital was that consumers are delaying elective surgical procedures and even annual physicals to save money.

“In regards to the construction of the Wilmington Surgery Center, the shell of the building is complete, but the interior has not yet been up-fitted. The project is on pause,” Myers said.

“In this economy, we want to ensure that when we do open, we have the necessary physician support to ensure that it is successful,” she said.

Only part of the structure is reserved for the surgery center.

“The rest of the building is available for sub-lease,” Myers said.

“We support Novant and their approach," said Raiford Trask at Autumn Hall.

"Autumn Hall’s policy during this downturn has been to remain patient and get things right the first time.  We do look forward to Novant opening and expect the Surgery Center to be an important part of Autumn Hall’s integrated life style. There has been a noticeable uptick in activity at Autumn Hall recently and we’re optimistic about the next 24 months."

Novant recently announced that Cape Fear OB/GYN in Wilmington will close on Aug. 2. The practice on Shipyard Boulevard opened in 1994 and joined the Novant Medical Group in 2008.

Novant officials initially would not specify why the obstetrics/gynecological practice, which includes four doctors and two practitioners, was closing. Novant’s financial situation “did not result in the closing of this practice,” spokeswoman Amy Myers said last month.

Myers clarified the statement Thursday:

“The financial status of this practice was one consideration among others in the decision to close the practice,” she said.

Doctors and nurse practitioners who work at Cape Fear OB/GYN will not transfer to other Novant-operated properties, a common practice for the healthcare provider in the past. Company turnover rates have declined dramatically as health-care workers stay put in the shaky economy, Myers said. Brunswick Community Hospital employees who were let go were not offered jobs at other Novant facilities.

Novant, which operates 12 hospitals in three states, has looked at various ways to cut costs in an effort to provide affordable health care. The company scrutinized all expenditures, “including salary expenses,” Myers said.

Staff cuts at Brunswick Community Hospital, along with other “expense reduction initiatives” and “operational efficiency measures” at the hospital will save Novant Health about $2.4 million a year, or about $200,000 per month, Myers said.

“We knew we had to reduce expenses. We reached the point where we had to look at staff reductions,” Myers said. “It was simply based on the position they were in and how these job responsibilities could be reallocated.

The job cuts and belt tightening come at a time when Novant is in the midst of building a replacement for Brunswick Community Hospital, off U.S. 17 in Supply. Brunswick Novant Medical Center is scheduled to open in summer 2011. Novant estimates the cost of the 200,000 square-foot facility and an adjacent medical office building at about $107 million.

“We are on schedule and moving ahead with the new hospital,” Myers said. “Our commitment to build a new hospital for the residents of Brunswick County remains the same.”

At New Hanover Regional Medical Center, steps have been taken to rein in costs and the prospect of layoffs is not an immediate consideration, spokeswoman Carolyn Fisher said Friday.

Ico insights

INSIGHTS

SPONSORS' CONTENT
Jasonpathfinder3

What You Need to Know About SECURE 2.0 and Its Effect on Retirement Plans

Jason Wheeler - Pathfinder Wealth Consulting
Untitleddesign2

The Importance of Real Estate Appraisals

Steve Mitchell - Cape Fear REALTORS®
Mcwhorter 0005

The Coastal Corridor is Helping Wilmington Startups With Connected Devices for Life Sciences Industry

Heather McWhorter - UNCW Center for Innovation and Entrepreneurship

Trending News

Passenger Rail Study Offers New Details About Proposed Wilmington To Raleigh Route

Emma Dill - Apr 22, 2024

Severe Weather Postpones Trump Rally In Wilmington

Emma Dill - Apr 20, 2024

Will NC Be CNBC's Three-time Top State For Business?

Audrey Elsberry - Apr 22, 2024

In The Current Issue

With Coffee And Cocktails, Owners Mix It Up

Baristas are incorporating craft cocktail techniques into show-stopping coffee drinks, and bartenders are mixing espresso and coffee liqueur...


Funding A Food Oasis: Long-awaited Grocery Store Gains Momentum

With millions in committed funding from New Hanover County and the New Hanover Community Endowment, along with a land donation from the city...


MADE: Makers Of Important Papers

W.R. Rayson is a family-owned manufacturer and converter of disposable paper products used in the dental, medical laboratory and beauty indu...

Book On Business

The 2024 WilmingtonBiz: Book on Business is an annual publication showcasing the Wilmington region as a center of business.

Order Your Copy Today!


Galleries

Videos

2024 Power Breakfast: The Next Season