After five years of investigating the best method to bring advanced, specialized medical care to the area, the Llano County Hospital Authority entered into a contract to merge the Llano Memorial Healthcare System into Scott & White Healthcare System (now Baylor Scott & White) in September 2010. The agreement required Scott & White to continue to operate the Llano Memorial Hospital for at least ten years after the merger date.
The ten year commitment to operate the Llano hospital expires by its own terms at the end of 2020. The LCHA Board of Directors has been working with BS&W leaders to investigate different options for the future of the Llano hospital. Tim Ols, President of BS&W Health – Hill Country Region, said, “It is important to note that no definitive decisions have been made and nothing is changing at this time. We continue to stay focused on providing excellent care and service to our patients, and we are thankful for the trust our patients have in us a provider of care. We appreciate the continued commitment of our employees and physicians to providing exceptional patient care to the Llano community.”
Bob Wallace, President of LCHA, said it is business as usual at the Llano hospital for the remainder of the year as the community investigates all options for continued quality healthcare in Llano County. Wallace said Llano County Judge Ron Cunningham has been proactive in seeking input from civic, governmental, community, and healthcare leaders since last fall to help the county analyze and evaluate the best path forward.
Ols explained the some of the issues. “For the last year, we have been working with leaders in our community to evaluate opportunities to continue providing medical care when our lease ends at the end of this year. We have been continuously reviewing options for how to best evolve as our community’s needs change and funding challenges escalate, considering every option for future funding of the hospital. It’s important to note that unlike many rural Texas counties, Llano does not receive funding from a hospital district tax. And at our medical center, Medicare reimbursement does not cover our costs. This makes for a unique situation that requires a true community collaborative effort. We remain committed to working closely with the Llano County Hospital Authority as they review healthcare options for Llano County.”
At the March 17, 2020 LCHA Board of Directors' meeting, Ols said the Llano hospital's physical plant is at the end of its useful life, the hospital is operating at an annual loss, and the demographics of its service area do not provide sufficient volume to support its operation. Ols presented several options for remodeling, replacement, reduction of services and/or combination of services for emergency, hospital or clinical services in the future.