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\n OGDENSBURG, NY \u2014 Today, North Star Health Alliance (NSHA) announced workforce reductions as part of broader operational adjustments to ensure the long-term sustainability of essential healthcare services across the North Country.
\nToday, North Star Health Alliance (NSHA) announced workforce reductions as part of broader operational adjustments to ensure the long-term sustainability of essential healthcare services across the North Country.
\nLike many rural healthcare systems, NSHA continues to face significant financial pressure driven by rising costs, workforce constraints, and ongoing challenges that limit the ability to sustain current operations at every site and service line. Since August 2022, we have worked collaboratively with the New York State Department of Health (DOH) on an approved transition plan for the Ogdensburg campus and completed all of the milestones of that plan.
\nOver the past 18 months, NSHA transformed a single 127-bed hospital into two co-located facilities: Claxton-Hepburn Medical Center (CHMC), a 40-bed inpatient acute psychiatric hospital, and Claxton-Hepburn Medical Campus (Claxton Campus), a 25-bed Critical Access Hospital. This co-located, right-sized model is designed to strengthen sustainability while preserving access to critical services.
\nDuring this time, CHMC received a 4-star Care Quality rating from CMS and was recognized by Forbes in late 2025 with a 5-star rating for quality, while simultaneously completing the transition\u2019s required state and federal regulatory reviews and compliance requirements.
\nDespite this progress, further adjustments are necessary to support long-term sustainability. During the transition, NSHA experienced short-term revenue cycle impacts related to required billing transition periods and reimbursement timing, which contributed to near-term financial pressure.
\nOur state-approved transition strategy is grounded in detailed financial modeling and includes a defined path to long-term sustainability.
\nAt this point, we must proceed with staffing reductions to stabilize operations and continue delivering safe, reliable care. Over 100 positions across management, clinical and non-clinical teams will be impacted throughout the organization. We remain in communication with the DOH as we implement these and any future decisions.
\n\u201cThese decisions are incredibly difficult, and we recognize the impact they have on our staff and the communities we serve,\u201d said Richard Duvall, President and CEO of North Star Health Alliance. \u201cOur focus is to support affected team members while realigning resources to support consistent care delivery across the system.\u201d
\nWe understand patients may have questions about how these reductions impact care delivery and healthcare services. While reductions span multiple departments, our focus remains on ensuring patients can access the care they need. During this time, we are committed to supporting impacted employees and our patients.<\/p>\n