Glenn Medical Center was constructed in 1949 and since that time has served the medical needs of Glenn County and surrounding area residents. The Medical Center is the only acute care hospital in Glenn County and also provides much needed care for travelers on Interstate 5, and visitors to our local and thriving racetrack.
The hospital was operated by Glenn County for many years but in 1995 a decision was made by the Glenn County Board of Supervisors to extend an operating lease of the hospital to Enloe Medical Center in Chico, California. Enloe Medical Center assumed control of the operations of Glenn Medical Center in 1995 and continued this service through June 30, 2006.
During Enloe’s tenure as lessee, Glenn Medical Center like many other small rural acute care hospitals faced severe pressure to keep their facility open. Federal and state reimbursement programs were paying less and less of the amounts needed to even maintain a break-even position. Glenn Medical Center and other small hospitals found themselves having to rely on donations, grants and a somewhat small base of private insurance patients.
In the late 1990’s and early 2000’s a new program was approved by the Federal Government titled “Critical Access Hospital” (CAH). Small, rural facilities operating less than a certain number of inpatient beds and who were at least 35 miles away from another acute care hospital could apply for this special CAH designation. The advantage to becoming a CAH was improved reimbursement by the Federal Government for Medicare patients and improved reimbursement from the State of California for Medi-Cal inpatients (not outpatients or emergency services).
In fact, this CAH designation resulted in Glenn Medical Center and other qualifying hospitals to be paid at their actual costs for services rendered to Medicare patients and Medi-Cal inpatients. While this new program certainly resulted in saving many rural communities from losing their acute hospital, facilities still needed to encourage utilization from insurance companies, continue to seek out grants, conduct fundraisers and most importantly contain hospital costs without interruption of services or lessening of quality standards.
In 2006, after three years of negotiation and discussion, the Glenn County Board of Supervisors with Enloe Medical Center in agreement, assigned the operating lease to Glenn Medical Center, Inc. d/b/a, Glenn Medical Center, a 501c(3) not for profit corporation. GMC, Inc. took over the operating lease on July 1, 2006 and continues to operate the Medical Center today. Glenn County owns the land and buildings which are leased to GMC, Inc.
Since the lease transfer in July 2006, Glenn Medical Center has achieved a small but positive excess of revenue over expenses for each ensuing fiscal year. Adding new physicians, new services, new technology, and recruiting the best employees brought this result. The Medical Center still, however, faces many challenges including an aging physical plant, continued pressure from payers to reduce reimbursements, and an economy that is struggling both nationally and on the state level.
Going forward the Board of the Medical Center, Administration, the Medical Staff and Employees are working diligently in hopes that a new replacement hospital might become a reality in the near future. All of us associated with the hospital believe that a new facility will strengthen our ability to provide even more services, improve patient convenience, and favorably impact the financial climate for Glenn County.
Glenn Medical Center appreciates the support of Glenn County and surrounding area residents and encourages everyone to continue this support to ensure that there is always an acute care hospital in Glenn County offering 24-hours, 7-days a week emergency services with an optimum number of medical providers. For more information on how you can help Glenn Medical Center and the future of healthcare in Glenn County we invite you to call us 530-934-1881.