Valhalla, N.Y.-based WMCHealth has reached a settlement with New York Attorney General Letitia James over allegations it improperly closed inpatient psychiatric beds and put patients at risk.
The health system has agreed to restore psychiatric beds closed during the COVID-19 pandemic as part of the settlement, according to an April 21 news release.
Ms. James’ office began an investigation into WMC Health in 2022, uncovering what it called “troubling lapses in patient care” at three WMC hospitals, according to the news release. Investigators also found the system allegedly discharged patients with active suicidal ideation from its emergency rooms without proper stabilization.
Investigators from the attorney general’s office also found that WMCHealth allegedly kept an inpatient psychiatric unit closed for longer than allowed. According to the attorney general, WMCHealth closed the 40-bed inpatient psychiatric unit at HealthAlliance Hospital in Kingston, N.Y. The unit was closed to increase capacity for COVID-19 patients, according to investigators, but remained closed long after June 2021.
In December 2024, WMCHealth reopened 20 inpatient psychiatric beds at HealthAlliance Hospital, and shared plans to build another 20-bed unit at MidHudson Regional Hospital. As part of the settlement, the health system cannot close any of these beds for three years.
In a statement shared with Becker’s, WMCHealth said the system is the largest provider of inpatient psychiatric services in the region.
“At a time when most other healthcare organizations in the region have shifted away from investing in psychiatric care and behavioral health, WMCHealth has remained unwavering in our commitment to meeting the needs of patients across our communities,” the system said. “This commitment includes strengthening and expanding behavioral health services across our network.”
Any adjustments to services are made in consultation with state regulators, the system said.
As part of the settlement, WMCHealth will implement “extensive reforms” at its emergency rooms, including modifying its risk screening for suicide and/or elopement. The system will also develop individualized discharge plans for any patients that may struggle with transition to community-based care.
The system must also develop new protocols for using restraints and medication to treat agitated patients, according to the attorney general.
WMCHealth will pay $400,000 in fees to New York state as part of the settlement. It must also submit compliance reports to the attorney general’s office for two years, and pay $10,000 for each violation of any provision in the settlement agreement.
The settlement is the first reached by an attorney general for an investigation into inadequate care for mental health and substance use disorders under the Emergency Medical Treatment and Labor Act, according to Ms. James.
In its statement, WMCHealth said it is “pleased to have resolved this matter so we can continue to focus on meeting the diverse healthcare needs of our community.”
“Our goal is always to provide the highest quality care for every patient and take immediate action to address any situation where our standard of care has not been met. We also implement any necessary process improvements or operational changes to prevent future issues,” WMCHealth said.