Benefis to close clinic in Great Falls, end behavioral health services

Benefis Health System will close a satellite clinic in Great Falls and eliminate some services starting in December. In an internal message to employees Tuesday, the hospital cited efforts to “protect the financial health of the organization.”

Benefis’ northwest clinic, which offers family medicine and urgent care, will close in a process that starts Dec. 19, the health system confirmed to Montana Free Press. Those services will be consolidated to its primary Great Falls location, called the east campus.

In addition, the health system will discontinue a 20-bed inpatient specialty rehabilitation unit. And Benefis plans to discontinue behavioral health services, including outpatient counseling, psychiatry and psychology. Those services will be referred to outside organizations such as the Center for Mental Health and Shodair Children’s Hospital, according to the internal announcement, which was shared with MTFP and confirmed by the hospital Tuesday.

The transition away from these services will continue into 2027, according to an email from Sarah Yoder, a Benefis spokesperson.

Financial headwinds are driving these changes. The health system’s staff memo noted that 75% of its patients are covered by government programs, including Medicare and Medicaid. The American Hospital Association, an industry trade group, has said that Medicare reimbursements cover only 82 cents of every dollar that hospitals spend on patients covered in the federal program.

In addition, Medicaid enrollment dropped by 5.1 million nationwide from 2025 to 2026. Program revisions, such as work requirements, could affect enrollment for about 71,000 Montanans. 

In its memo, Benefis suggested tougher times ahead.

“Change is sometimes hard, but necessary,” the memo said. “We are making some changes to preclude [Benefis Health System] slipping from breaking even (our current situation) to financial losses to protect the financial health of the organization; to assure our promises to employees; and to prepare us for an even more financially challenging year in 2027.”

The memo went on to say that the health system is pursuing “multiple efforts to optimize revenue and reduce costs.” Benefis didn’t clarify whether any staff positions would be affected by the changes.

This news comes shortly after Benefis paused oncology services at a Helena specialty center, which, according to the hospital, was a temporary situation when an oncologist at the center died in 2025. The Benefis spokesperson told MTFP Tuesday that the restructuring in Great Falls doesn’t impact efforts to recruit an oncologist in Helena.

A month ago, Benefis opened the Goodnow Healthy Aging Center, a 15,000-square-foot outpatient facility in Great Falls named for the health system’s CEO, John Goodnow. The facility received $16 million in loans from the Montana Facility Finance Authority and nearly $3 million in private donations.

The health system is also building a luxury senior living neighborhood called Sanavita Estates, with units renting for $5,550 to $7,550 per month.

Benefis is also completing improvements to its north tower on the main hospital campus. That project was slated to receive $55 million in proceeds through the Montana Facility Finance Authority, a division of the Montana Department of Commerce that issues bonds for economic development projects.