On Friday, Sept. 25, the governing board and leadership of the East Hawai`i Region of Hawai`i Health Systems Corporation (HHSC), consisting of Hilo Medical Center, Ka`u Hospital, and Hale Ho`ola Hamakua,  reached an agreement with Avalon Healthcare to transition the operations and management of the Yukio Okutsu State Veteran Home to HHSC.

HHSC in a release said “Avalon has been contracted to manage Hawaii’s only nursing home facility caring for our state’s veterans since it opened in 2007. Despite many years of successful operations, the recent, unfortunate outbreak of COVID-19 in the facility has caused a reassessment by the East Hawai`i Regional Board responsible for the management contract.”

At least 71 residents and 34 employees have contracted COVID-19 since the start of the outbreak, and 26 of the residents of the home have passed away from COVID-19.  Although all had underlying health conditions, those might not have taken their lives, but did make them less able to fight off the virus.

“We are humbled and privileged to be entrusted with caring for our veterans,” said Dan Brinkman, CEO of the East Hawai`i Region of HHSC.  Over the next several months, we will be collaborating with the Avalon team to safely and effectively complete the transition.”

“Avalon deeply appreciates the service that our nation’s veterans have provided to our country,” said Allison Griffiths, a spokesperson for Avalon Health Care Group. “Throughout the pandemic, Avalon has diligently sought to implement the guidelines of the Hawai`i State Department of Health, the CDC and the Centers for Medicare and Medicaid Services.  Avalon has been and continues to be deeply committed to the welfare of all of our residents and will work with HHSC to transition the facility to its leadership.”

U.S. Senator Brian Schatz  released a statement on the change in management at the Yukio Okutsu State Veterans Home in Hilo.

Earlier this month as the COVID-19 outbreak worsened at the veterans home, Schatz called for immediate federal intervention to contain the spread and help save lives. As a result, the Department of Veterans Affairs mobilized a team to assess and support the veterans home and found a number of serious infection control issues that contributed to the deadly COVID-19 outbreak there.

“The recent reports have shown that Avalon is ill-equipped to operate the veterans home and contain this outbreak. Avalon has also been unwilling to take responsibility for their mismanagement so this was the right decision.

“What happens next will be critical. The transition plan to a new management team must put the health and safety of patients and staff first. HHSC must also ensure that a change in management does not adversely impact staffing and census in other facilities and that all residents of nursing facilities on Hawai’i Island receive care in the most appropriate setting.

“My staff and I will continue to work with federal, state, and local leaders to improve the management at the veterans home and at long-term care facilities across the state.”