Thundermist Financial Crisis*

This article was written by Kwana this past October. However, it was never published, so this is an archived article. Please be aware that it may contain information that is no longer up to date. A follow-up article is in the works and will be posted in the upcoming weeks 

Recently, Options reported that Thundermist Health Center laid off 124 employees and cut salaries and benefits for the remaining. According to an op-ed posted by Thundermist, they were a good ship in trouble and needed all hands on deck. In this op-ed posted on 9/16/24, they had only recently become aware of the crisis, and interim CEO Maria Montanaro came out of retirement to turn it around. With her leadership, they were able to gain $9.5 million and stay open. The money came from a combination of insurers, loans, and grants. They received over $4 million from accountable entities - Neighborhood Health Plan, Tufts, and United Healthcare. A one-time grant fund through EOHHS gave $2 million, one that was already deposited and one that will be deposited in December. Loans, which are to be paid back, coming from Blue Cross Blue Shield, Care New England, and Landmark covered the rest of the deficit. “When we started in September, we did not have the working capital to keep our doors open, and now have received and deposited most of the capital and have a line of sight on the remainder to be received in December,” Montanaro told Options. 

How did this financial crisis happen in such a short time? There doesn’t seem to be a straight answer. The Valley Breeze reports that former CEO Jeanne LaChance was let go due to negligence on her part. Under her leadership, Thundermist not only lost its financial reserves but also entered the 2925 fiscal year without a budget on September 1st. LaChance is allegedly out of the country and not available for comment. They are allegedly having a forensic audit done to see where and how they got themselves so deep into this hole and hired a new CEO, Chuck Jones, who will start in December. 

A press release was shared with Options stating they were able to receive funds working with a variety of partners and stakeholders. Thundermist thanked their stakeholders for such a speedy response in helping secure funds to stay open. The press release did not offer an explanation of how this financial crisis came about, except to mention the firing of LaChance and reducing the workforce by 14%.

“The care I have received at Thundermist has been head and shoulders the best primary care I’ve received as an adult… I went to Thundermist when I had no other option, in poor health, with chronic illness, and no insurance.

When asked how the financial crisis might impact their care, many Reddit users, felt concerned and wished the best for Thundermist. It seems that receiving gender-affirming care can be difficult to find in this state. Montanaro is confident that there is no worry of another financial crisis of this magnitude. The cuts and sacrifices they had to make were necessary to keep moving forward. Unfortunately, that means it’s highly unlikely that any laid-off employees will be able to return. Those payroll reductions were needed to close part of the operating deficit of over $2 million a month, says Montanaro. 

“I heard about their crisis recently and only know the surface of it. I was kind of surprised that their staff were being underpaid and their budget was low. I felt like for their company they were really accommodating in terms of payment plans, different access to care, and offering people who spot different languages accommodations. I am a transgender male and I started testosterone in 2019 and from what I remember it was a fairly easy process and they got me to start T almost immediately with a referral from my primary care. Everyone that I have met there were super nice and helpful and was able to help transition me with new staff when needed. I also really enjoy the app they have and the ability to email for an appointment and scheduling with a link to cancel or reschedule if needed. Their hours are also really accommodating for when I need a later visit and I really have enjoyed their services. Sometimes they had their downs but mainly ups and without them I don't think any other clinic would have helped me get my testosterone so I'm really grateful for them to help me through this process and continue it!”

Benjamin George was one of the 124 to be laid off. George was employed there from August 2022 to September 2024 in the Marketing and Communication department. Internally, they were close to not being able to pay anyone. They had to cut costs in order to get people their paychecks. According to George, initially, they started with pay cuts- 10% at the managerial level, and 3% for everyone allegedly. A week later, they were still in trouble. “We’re going to have to do something. We’ll be in touch as quickly as we can,” was the message received. Shortly after, 124 people were laid off. The whole marketing and communication department was cut except for the boss, and the same went for many departments including grants and philanthropy. Lower-level workers were all let go, and a big chunk of HR, and some mid-level managers were also let go. 

George designed the Thundermist ads for Options Print editions for the last 2-3 years. PS, if you see a baby in the ads, that is George’s daughter, and if you see a pregnant person that is George’s partner, who also receives care at Thundermist. The majority of the photography and videography work was George’s own and he was happy to do it. His family will continue to receive care at Thundermist and have nothing but great things to say. George’s work can be found here. 

Many Reddit users, who chose to remain anonymous, had nothing but positive things to say about the care at Thundermist. They expressed deep concern about the possibility of losing gender-affirming care, hormone therapy, and other affordable services. The consensus seems to be that it would be extremely difficult for trans folks to get their hormone therapy if Thundermist closed. Montanaro reiterates that she’s proud to be part of a health center that offers these services and they went to great lengths to keep offering these through the crisis. They did not stop seeing patients, or cut services. In fact, 1000s of new patients were added. 

“Honestly, it’s unnerving. I’m a transman that gets my hormone therapy from Thundermist so hypothetically if they go out of business, I’d be kinda screwed. I do know that the whole crisis is rooted in Thundermist overpaying salaries and that basically poached people from other health centers so that’s just not so great as well.” shares one Reddit user.

An anonymous Thudermist patient states, “I fucking love Thundermist. One of the reasons why I came to Rhode Island was because Rhode Island was one of the best states for Trans health care.”

Thundermist Health Center is one of the main health centers providing health care to queer folks in Rhode Island. A financial crisis can have a huge impact on what can be provided. As of now, the future of Thundermist is still being determined, although they have pulled themselves out of the red. Thundermist is a huge resource to the Queer and Trans community of Rhode Island and the impact of losing them would surely be noticed. Luckily, Thundermist’s patients can continue receiving the care they deserve and do not have to suffer as a result of the crisis. 

Outside of Mikel Wadewitz, who helped Options get in touch with Montanaro, employees at Thundermist did not respond to Options' efforts to reach out for more insight. Amanda Barney, Chief of Staff, could not be reached for comment due to being on medical leave, per her autoresponder. Marissa M, who was supposed to be filling in did not respond to Options’ email.