Little Rock-based Baptist Health plans to end most hospital operations at its Fort Smith campus, transitioning the facility to primarily emergency room services and possibly limited surgical care, according to information released by system officials.
The move would shift Fort Smith from a two-hospital system to a single full-service hospital. Baptist Health-Fort Smith, formerly Sparks Hospital, currently has 492 licensed beds.
Officials said the decision is driven by significant financial losses, an unfavorable payer mix, and the high cost of modernizing aging infrastructure on the campus. The system’s western division, which includes Fort Smith operations, reportedly lost about $25 million in 2025 and approximately $7 million so far in 2026.
As part of the transition, Baptist Health plans to consolidate services into the newer “Renaissance” portion of the facility, which houses the emergency department and surgical areas. The transition is expected to take place over an estimated two-year period, though a specific timeline has not been finalized.
In addition, some physician employment agreements tied to the Fort Smith campus are set to expire June 29 as the system moves toward a new regional operating approach.
System officials said they have been evaluating options since 2024 and determined that both maintaining the existing facility and constructing a new hospital would be cost-prohibitive.
Baptist Health plans to invest more than $20 million into the downtown campus during the transition while coordinating with other providers to maintain access to care in the region.
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