In a pivotal meeting held on July 16, 2025, the Board of Directors for Levi Hospital in Hot Springs, Arkansas, announced a transformative decision to transition the hospital into a community health foundation focused on behavioral health. This decision, which will see the hospital officially close its doors on August 1, 2025, marks a significant shift in how healthcare services will be delivered to the community.
The board's discussions revealed that renovating the existing facility at 300 Prospect was deemed unfeasible. Previous administrations had opted for short-term fixes rather than sustainable investments, leading to a building that reflected years of operating in survival mode. The board approved a plan for a downsized hospital focusing on behavioral health in December 2024, with an estimated cost of $18 million. However, uncertainties surrounding Medicaid changes prompted a reevaluation of the hospital's financial model, leading to the decision to close.
Data presented during the meeting highlighted concerning trends in patient care. Of approximately 1,200 patient discharges in 2024, only 800 patients had received care, with a significant portion of readmissions linked to unstable housing and other social determinants of health. This insight underscored the need for a more comprehensive approach to community health, prompting the board to unanimously agree on the foundation's new direction.
The decision to close the hospital was not driven by financial distress; in fact, Levi Hospital reported its strongest financial years in 2023 and 2024. The board emphasized that this move is a strategic reinvention rather than a failure, aiming to better serve the community's needs. The former CEO's call for the board's resignation was met with strong rebuttals, as board members highlighted their commitment to service and the community's welfare.
As the transition unfolds, the Levi Foundation plans to collaborate with the city to preserve the historic thermal water and pool, explore future uses for the Levi Building, and develop programs for the most vulnerable residents of Hot Springs. The board's proactive approach aims to conserve resources and ensure that the community continues to receive essential health services, albeit in a new format.
In conclusion, the Levi Hospital's closure and transformation into a community health foundation represent a significant shift in healthcare delivery in Hot Springs. The board's commitment to addressing the root causes of health issues, such as housing instability, reflects a broader understanding of community health needs, paving the way for a more sustainable and impactful future.