Magazine article The Alcoholism Report

Parkside to Undergo 50% Reduction of Facilities

Magazine article The Alcoholism Report

Parkside to Undergo 50% Reduction of Facilities

Article excerpt

Parkside to Undergo 50% Reduction of Facilities

Lutheran General Health Care System announced a restructuring of Parkside Medical Services Corporation which will result in the sale or closing of about 50% of its freestanding Parkside owned and operated facilities, including inpatient programs, outpatient clinics and property located in several areas throughout the U.S.

The restructuring will not affect about 40 units managed by Parkside under contract with other owners nor any of the four treatment facilities in the Chicago area.

"We were pioneers in the establishment of a national system of alcoholism treatment and, later, substance abuse treatment centers," said Stephen L. Ummel, president and chief executive officer of Lutheran General Health Care System. "And we have continued to provide such services, despite the fact that corporations and managed care organizations have decreased access to services, as well as reduced coverage for both inpatient and outpatient services."

Orville McElfresh, president of Parkside Medical Services, said it had become "apparent that the current, fragmented health-care payment system will not support an extensive network of substance abuse centers over the long term. …

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