Director raises questions after Levi Hospital announces closure of adult psychiatric program
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Summary
Director Dudley Webb outlined a series of concerns after Levi Hospital announced it would close its adult psychiatric program, citing licensing status, a CARF accreditation award, a fire-code upgrade timeline and physician staffing as elements needing explanation.
During board-comment time, Director Dudley Webb raised concerns about Levi Hospital’s announced closure of adult inpatient psychiatric services and urged greater transparency from the hospital’s board of directors.
Webb said he contacted the Arkansas Department of Health’s Division of Facility Services and was told Levi “remains fully licensed and is fully certified to participate in Medicare and Medicaid” and that the facility “meets all the life safety codes under which they are serving.” He also said the hospital had recently completed a CARF (Commission on Accreditation of Rehabilitation Facilities) survey for its adult outpatient behavioral health program on April 16, 2025, and received a three-year accreditation certificate; Webb said he was told CARF had been notified via email on June 11, 2025 that the program would close June 30, 2025.
Webb described multiple possible factors behind the closure: a July 2023 notice from the Hot Springs Fire Department requiring upgrades to the 2021 fire prevention code with a five-year compliance schedule that would not expire until July 1, 2028; recent leadership turnover after the prior CEO retired in February 2023; difficulty recruiting a replacement psychiatrist after a retirement; and broader reimbursement uncertainty tied to proposed federal Medicaid changes and the provider tax program. Webb said the fire department had offered a two-year extension to meet the new standards and asked whether the city could extend related timelines to July 2030 while Levi evaluates replacement or modernization options.
Webb pressed the board to seek a fuller explanation from Levi’s board before the hospital finalizes plans, noting the hospital’s long community history and the local significance of inpatient psychiatric services. He questioned whether closing the hospital and using Levi Foundation assets for non-direct patient services would improve mental-health outcomes and urged the hospital’s leaders to provide a detailed rationale for the decision.
No formal action was taken by the board during the meeting; Webb framed his remarks as a request for more information and raised questions for city administration and the fire department to pursue.
