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St. Margaret's Health officials again seek emergency funding from the state; this time, for Spring Valley

St. Margaret's Health - Spring Valley
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Officials at the troubled Saint Margaret's Health in the Illinois Valley are now warning their Spring Valley hospital is in jeopardy of imminent closure.

President and CEO Tim Muntz told employees in a memo Wednesday that the hospital could close as soon as June 16 without a state bailout.

Spring Valley Mayor Melanie Malooley Thompson says she's pessimistic about the chances of that happening. The city of Spring Valley is objecting to the closure petition with state regulators, and asking state Rep. Lance Yednock and state Sen. Sue Rezin to support that effort.

Thompson said the hospital's closure would result in longer ambulance rides and fewer medical services.

"We hope that the uncertainty surrounding the situation will resolve itself soon, and further hope that the resolution will include the high level of health care and services the residents of Spring Valley have come to expect," she said.

OSF HealthCare announced its plans to acquire St. Margaret's Peru hospitaljust two weeks ago. This comes after its abrupt closure in January.

At that time, Muntz and other hospital leadership similarly sought out state financial help, and a Rural Emergency Hospital designation for Peru, allowing them to offer more limited services while receiving enhanced Medicare benefits.

Muntz says OSF has no plans to acquire the Spring Valley hospital. An OSF HealthCare spokesperson didn't return a request for comment.

The LaSalle medical clinic, hygienic clinic, and Henry clinic will be closed on June 9 regardless of whether funding comes through, he said. The leased Streator clinic will close May 31.

Tim is the News Director at WCBU Peoria Public Radio.