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Providence response to Councils letter 11.18.22

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1700 13 th St. Everett, WA 98201 425-261-2000 providence.org November 18, 2022 Snohomish County Council members Everett City Council members Attn: Megan Dunn, Snohomish County Council Chair 3000 Rockefeller Avenue, M/S #609 Everett, WA 98201 Re: Response to your letter on Nov. 15, 2022 To the members of the Snohomish County Council and Everett City Council, We have received your letter and appreciate the concern you have for the health and wellbeing of our community. We share your concerns about the sustainability of hospitals and health care systems in Washington state and the nation, as facilities and providers across the health care continuum, from acute care to skilled nursing facilities, are facing immense operational and financial challenges. Providence Regional Medical Center Everett admitted approximately 30,000 patients last year and had nearly 500,000 outpatient visits. Our Emergency Department is one of the busiest in the state and had about 80,000 patient visits in 2021. We are proud of our history as a leading health care provider in Snohomish County and consider it a privilege to serve our community. However, like all health care organizations in the U.S., Providence Everett has been heavily impacted by the pandemic. Providence Everett was the first hospital in the nation with a confirmed case of COVID-19. In addition to being at the center of the pandemic, more patients are coming in with more advanced diseases, hospitals' finances have been devastated by inflation and stagnant reimbursement rates, and healthcare staff are leaving the workforce nationwide. In fact, the International Council of Nursing estimates a worldwide shortage of 13 million nurses by 2030, and analysts predict a shortage of up to 450,000 nurses in the U.S. by 2025. Additionally, in line with other large health systems across the country, Providence has reported significant operating losses this year, due to sharply increasing workforce costs, supply costs, and shrinking reimbursement. Through the first nine months of the year, the Providence health system experienced a net operating loss of $1.1 billion. Providence has

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