Healthcare Technology Featured Article

January 15, 2013

United Medical Center to Undergo $12.7M Recovery Project



United Medical Center, a hospital in Washington, D.C. recently put under city control, has been given a lifeline in the form of a $12.7-million renovation, which will be handled by Chicago-based Huron Healthcare.

D.C. Mayor Vincent Gray’s administration announced that Huron Healthcare will head the project, which consists of a two-year plan to help the struggling hospital rethink its financial policies so that the hospital would be valuable once again for the private sector, according to the Washington Business Journal.

The D.C.-based hospital opened its doors in 1966, and since 2008, has spent over $50 million in improvements and upgrades to the facility. Although UMC has turned itself into a state-of-the-art medical center, its yearly revenue never matched the amount of costs put into it.

This led to a decade long loss of revenue.

This, according to the Washington Business Journal, led Gray to endorse a 2011 report from McGLadrey LLP that suggested shrinking the capacity of the hospital and reforming it into an outpatient care center.

United Medical Center has been in the news in recent months since the hospital had been bought by the District of Columbia in an informal and noncompetitive auction. Most of the news consisted of how D.C. planned on using the hospital and on who will be elected to the interim governing board.

Huron Healthcare is a branch of the Huron Consulting Group, which targets below-par healthcare organizations and offers help toward “improving performance, recovering from distress, and stimulating growth.”

The contract for the project must be approved by D.C. Council before these plans can go into effect. But there are no reported cons that would stop Huron Healthcare from taking the reins on this opportunity.




Edited by Braden Becker




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