Northern Light claws back $49M for pandemic care

File photo / Courtesy of Northern Light Health Northern Light Health, whose flagship hospital in Bangor is shown here, will received a delayed a $49 million federal reimbursement for care during the pandemic.

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By Renee Cordes

Bangor-based Northern Light Health will claw back $49 million for care delivered during the pandemic.

The delayed payback, approved by the Federal Emergency Management Agency and announced by the office of U.S. Sen. Susan Collins, R-Maine, will reimburse costs associated with the health system's COVID response.

Northern Light Health was among the health care providers that faced significant delays in receiving FEMA disaster relief funding following the pandemic, despite the substantial financial burden it incurred while caring for patients, according to Friday's announcement.

“This funding will help ensure that Northern Light Health is reimbursed for the vital health care it provided to Mainers during the COVID-19 pandemic,” Collins said. “From expanding patient capacity, to securing personal protective equipment and increasing staffing in critical care units, Maine’s hospitals stepped up to care for Maine communities during an unprecedented time of crisis.”

The payment comes as Timothy Dentry prepares to retire as president and CEO of Northern Light Health at the end of 2025, five years after taking the helm at the start of the pandemic. (The unexpected opportunity that brought him to Maine is detailed in an episode of the Mainebiz podcast "The Day That Changed Everything," archived here.)

Maine’s second-largest health care system has faced recent financial headwinds, with plans to close Northern Light Inland Hospital and associated service in Waterville amid monthly operating losses of $1 million to $1.5 million.