MultiCare clarifies temporarily closure of Cottage in the Meadow hospice facility in Yakima

YAKIMA, Wash. — MultiCare Health System has released a statement clarifying that its closure of the Cottage in the Meadow hospice facility in Yakima is a temporary measure and when it reopens under a new certification, it will still be providing hospice services.

Cottage in the Meadow has experienced ongoing operational losses over the past five years, reflecting a national trend of hospice care facilities struggling with low Medicare reimbursement rates and a renewed emphasis on in-home hospice care.

In the statement, MultiCare officials said Cottage in the Meadow is expected to remain closed until late 2025 as part of a plan to obtain state certification to reopen as a skilled nursing facility.

The updated facility will set aside enough beds to maintain current levels of hospice care while also offering short-term rehabilitative services for patients currently treated at MultiCare Yakima Memorial Hospital. This move aims to "free up critical hospital beds for more acute cases and provide care at a lower cost."

According to a letter of intent filed with the Washington State Department of Health, MultiCare is seeking a Certificate of Need to open a 32-bed skilled nursing facility, with an estimated cost of $440,000. The closure is planned for on or before August 21, depending on patient census.

Many staff members from Cottage in the Meadow will transition to MultiCare’s Home Health and Hospice Care Program, which is set to expand with the addition of five clinicians. MultiCare’s goal is to increase its capacity to care for 40% more patients in the area.

Shelby Moore, Executive Director of Heartlinks Hospice and Palliative Care, said that hospice care providers' struggle with low Medicare reimbursement rates, compounded by inflation, is not unique to Yakima.

"It's happening nationwide; more general inpatient units are closing all the time," Moore said.

Heartlinks serves over 90 patients daily in the Yakima Valley area, providing in-home hospice care and contracting with local facilities for inpatient care.

According to Moore, it costs about $310 per day to care for a patient, but Medicare only reimburses $200, which drops to $165 after the first 60 days. She said patients are not billed for the additional cost.

"We rely so much on fundraising and donation support to just sustain our operations," Moore said. "We're doing okay, but there have been some tough months, years, especially with clinical wages going up and the overall cost of care increasing."

Moore said that the current business model for hospice care is unsustainable and that changes are necessary.

"I think Medicare is starting to hear us a little bit more. Next year for 2025, we're going to see a 2.6% reimbursement increase, which doesn't keep up with inflation, but at least it's an increase," Moore said. "They're also trying to reduce some of the regulatory burden, which costs quite a bit to keep up with, so there are some pluses and minuses."

Despite the challenges, Heartlinks is set to open a new adult family home on October 1, which will also be able to provide inpatient hospice care.

FULL STATEMENT FROM MULTICARE:

"MultiCare Health System is committed to providing high quality hospice services in the Yakima Valley. We know that end-of-life care provides valuable support for patients and their families. To that end, MultiCare is expanding hospice services in the valley and evolving the care to meet patients’ needs. Our home health and hospice services is adding five additional clinicians this year with a goal of being able to take care of 40 percent more patients in the area. That care will be provided in the patient’s home, care facility or hospital. As part of that work, we assessed current hospice services including what’s provided at Cottage in the Meadow.

To ensure that Cottage in the Meadow remains a valuable community asset, continues to offer hospice services, and operates sustainably, MultiCare Yakima Memorial Hospital will temporarily pause services at Cottage in the Meadow, with the goal of reopening in late 2025 as a fully-utilized facility specializing in short-term rehabilitation services, while also reserving beds for inpatient hospice care. This will enable patients in need of rehabilitative services who are currently in the hospital can receive those services at Cottage in the Meadow, freeing up critical hospital beds for more acute cases and providing care at a lower cost."

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