Northern Light Health warns of coming service changes

By Leela Stockley, Bangor Daily News Staff

Northern Light Health is warning of coming changes at the health care system — but says no hospitals will be closed.

The system is “building a path forward to achieve financial sustainability” to continue to serve its communities, according to a statement issued July 1.

That includes “evaluating our workforce and leadership structure and maximizing revenue opportunities to strengthen our future,” Tim Dentry, president and CEO of Northern Light Health said.

There are no plans to close any facilities, but services offered at individual facilities may change. 

This is the latest indication of ongoing troubles at Northern Light Health. The health care system lost $156 million in 2024, according to its annual report released in April, and its credit rating has continued to plummet over the years. 

The health care system is also carrying nearly $617 million in debt at the end of 2024, compared with $445 million at the end of 2023, the report said.

There have also been a slew of departures from the system. Most recently, Northern Light Acadia’s President Mark Lukens stepped down in early June for “personal reasons.”

The system has experienced “increased cost for supplies, pharmaceuticals, and labor, combined with reduced post-COVID volumes” and low reimbursement and high denial rates from payers, according to spokesperson Karen Sanborn. 

Northern Light Health also faces uncertainty due to Medicaid changes that have been proposed as part of President Donald Trump’s “Big Beautiful Bill” that needs a Senate vote to pass. 

Both Democrats and Republicans, including U.S. Sen. Susan Collins, have concerns that the provisions in the bill would gut Medicaid spending.