Hope hospital unable to meet payroll - KSLA News 12 Shreveport, Louisiana News Weather & Sports

Hope hospital unable to meet payroll

Posted: Updated:
HOPE, AR (KSLA) -

It's pay day for employees at Medial Park Hospital in Hope, but the hospital administrator confirms no one will be getting a check, due to what he described as a "rather dramatic" suspension of reimbursements he says are legitimately owed the hospital.

Those reimbursements, Mark Caton explains, are supposed to come from Little Rock-based Pinnacle Business Solutions, Inc. (PBSI). The third-party company is a Centers for Medicare & Medicaid Services (CMS) contracted carrier and intermediary. According to the company's web site, PBSI is the Part B carrier for Arkansas and Louisiana, and is the Part A Fiscal Intermediary for Arkansas, Louisiana and Mississippi.

But according to Caton, PBSI has lost its contract with CMS. Caton says the hospital has at least $1 million in claims pending from Medicaid/Medicare through PBSI, and as a result, cannot handle it's payroll.

About 280 employees are awaiting their paychecks for the last two weeks of work.

Caton says he has been in touch with his Congressional representatives over the issue. While he hopes to have the problem resolved soon, Caton says he does expect all employees to return to work in the meantime.

Copyright 2012 KSLA. All rights reserved.

Powered by WorldNow