RITZVILLE, Wash. – Hundreds gathered at the Legion Hall in Ritzville to discuss the future of East Adams Rural Healthcare amidst concerns about financial mismanagement and missing audits.
The leadership team addressed the community for the first time since these issues came to light. Todd Nida, the interim CEO, said, “At this time, we’re in uncharted territory, right? We do not have a definitive answer. Our focus remains on maintaining services and financial stability while we assess all available options to keep us moving forward.”
The administrators tackled numerous pre-submitted questions, revealing years of missing documentation and incorrect financial reports. John Kragt, a commissioner, expressed regret over the situation, saying, “I feel sick. I feel terrible that we didn’t force the audits. If we would have had the audits, I think we would have been in a lot different situation… and I’m sorry. I truly am.”
Viola Babcock, the CFO, stated that 2021 was the last year the hospital finished in the black. Audits for 2022 and 2023 are now complete after discovering missing documentation and approximately $4.5 million in uncollected accounts receivable. Much of this money was never recorded under the previous administration.
Inside the hall, staff members shared emotional pleas to keep the hospital operational. Dan Chris, the lab manager, emphasized their commitment, saying, “We stand watch for you. I can tell you in the eight years I’ve been here I’ve been probably called 300 times at 1 a.m. for you… You have a servant leader here, okay? You have a servant leader in this room, and we want you to know that.”
Community members also voiced their concerns, stressing the hospital’s importance in this rural area. One attendee stated, “We can’t survive here without this hospital. And it’s end of story. I don’t care if I have to go get a job in my retirement. I’m willing to pay more property tax to save our hospital.”
Others called for improved patient communication, responsiveness, and accountability as the hospital works to rebuild trust.
