Page 54 - BusinessWest December 8, 2025
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Gauging the Ripple Effects
Hospital Administrators Say 2026 Will Pose Stern Challenges
BY GEORGE O’BRIEN
[email protected]
When he came to Holyoke Medical Center as its new
president and CEO in 2013, Spiros Hatiras consid-
ered it the proverbial best-kept secret.
By most all accounts, it isn’t that any longer.
“It took us a decade or so, but we’re no longer a secret,”
he said, meaning that healthcare professionals have found
the facility and helped make it a workplace of choice, and
area residents have as well, making it their hospital of choice.
“We’re in a growth mentality.”
This emergence, if you will, and lost status as a best-kept
secret, has helped HMC grow in several ways over the past
several years — and remain in a growth mode, even as several
colliding forces have created an ultra-challenging environment
for all hospitals, one that is projected to be much more daunt-
ing in 2026.
Indeed, HMC’s strong performance stands as an outlier in a year that saw
continued cutbacks and layoffs within the four-hospital Baystate Health system,
including, most recently, an offer of buyouts to some 1,300 employees to cut
costs; apparent ongoing discussions that could result in a merger of Baystate
Health and Mercy Medical Center; and, most recently, Mercy’s announcement
that it is temporarily suspending maternity and newborn services at its Family
Life Center, effective Dec. 8, due to what the administration there calls “signifi-
cant provider and nurse staffing constraints.”
These headlines have mixed with those concerning the One Big Beautiful Bill
Act (OBBBA), signed into law last summer, which is expected to have a signifi-
cant negative effect, financially and operationally, on hospitals, primarily through
more than $1 trillion in federal healthcare spending cuts.
SPIROS HATIRAS
Overall, the law is projected to increase
“It took us a decade
or so, but we’re no
longer a secret.
We’re in a growth
mentality.”
the number of uninsured individuals, leading
to a surge in uncompensated care costs for
providers and a growing number of individu-
als putting off preventive care, as they did
during COVID, with detrimental results that
are still being felt. Meanwhile, reimburse-
ment for the care provided to those who are
insured, especially by Medicaid and Medi-
care, is expected to decrease and fall even
further behind the continually rising cost of
providing that care.
Dr. Robert Roose, president of Community
Hospitals for Trinity Health Of New England,
put things in perspective and talked at length about ripple effects from these cuts.
“The federal changes are going to directly impact people who get coverage
through Medicaid and/or any state-based health insurance exchanges, and that
impact is going to be profound for those people and their families,” he explained.
“The ripple effects will be felt by all of us ... the health systems and the commu-
nities we serve will feel the effects in other ways. There could be reductions in
access and services, longer wait times, and potential impacts in delivering care.”
Kevin Whitney, who became president and chief operating officer of Cooley
Dickinson Hospital in Northampton, a member of Mass General Brigham, last
March, agreed.
“We’re concerned about the rising cost of care, especially since COVID,”
said Whitney, a registered paramedic and registered nurse who was serving as
vice president of Community Operations for the Mass General Brigham Com-
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