Fairfield Medical Center in Lancaster, Ohio, will close an ambulatory surgery center and sleep medicine services this spring as it implements cost-reduction strategies ahead of its planned acquisition by Columbus-based OhioHealth, a spokesperson for the hospital confirmed to Becker’s.
The 222-bed hospital said it will close River View Surgery Center and its Fairfield Healthcare Professionals Sleep Medicine office this spring, with its sleep lab closing Feb. 27. The changes also resulted in “limited staff reductions” across several departments, according to a statement shared with Becker’s.
The hospital did not respond to Becker’s inquiry about how many employees or which roles would be affected by the layoffs.
To minimize disruption, procedures currently performed at the ASC will transition to Fairfield Medical Center’s main campus or other outpatient settings. The hospital is no longer accepting new patients at its sleep medicine office but will continue seeing existing patients for follow-up care through the spring and assist with transitioning patients to other providers.
The hospital said the service closures were driven by financial pressures, including reimbursement shortfalls, rising supply costs and workforce challenges.
“The decision to discontinue these services was made as our organization … continues to face financial pressure due to reimbursement shortfalls, rising supply costs and ongoing workforce challenges,” the statement said. “These complex realities require deliberate and responsible action to support sustainability and protect access to care. As the healthcare landscape continues to evolve, Fairfield Medical Center remains focused on strong financial stewardship and strategic collaboration to preserve essential services for the communities we serve.”
The changes come as OhioHealth proceeds with plans to acquire Fairfield Medical Center, which would become its 17th acute-care hospital.
The organizations signed a nonbinding agreement in fall 2024 to explore a formal partnership. In September 2025, both boards agreed to advance the process, pending regulatory approvals and closing conditions, an OhioHealth spokesperson told Becker’s.
If finalized, Fairfield Medical Center would mark OhioHealth’s fifth hospital acquisition in about three years. OhioHealth currently operates 16 hospitals, three joint-venture hospitals and more than 200 ambulatory care sites.
