Property and Equipment

12 Months Ended

Dec. 31, 2022

Property, Plant and Equipment [Abstract]

Property and Equipment

Note 5 – Property and Equipment

Property and equipment, net at December 31, 2022 and 2021 consisted of the following:

	December 31,			December 31,
	2022			2021
Building	$	4,181,434		$	4,181,434
Land		550,700			550,700
Equipment		1,637,585			2,708,024
Equipment under capital leases		189,711			742,745
Furniture		38,798			138,893
Leasehold improvements		2,160			2,160
Computer equipment		32,115			152,124
Software		402,815			496,469
		7,035,318			8,972,549
Less accumulated depreciation		(2,841,019	)		(4,342,459	)
Property and equipment, net	$	4,194,299		$	4,630,090

Property and equipment are depreciated on a straight-line basis over their respective lives. Buildings are depreciated over 39 years, leasehold improvements are depreciated over the life of the lease(s) and the remaining equipment is being depreciated over lives ranging from three to seven years. Depreciation expense on property and equipment was $0.5 million and $0.6 million for the years ended December 31, 2022 and 2021, respectively.

Management periodically reviews the valuation of long-lived assets, including property and equipment, for potential impairment. The Company did not record an asset impairment charge during the year ended December 31, 2022. During the year ended December 31, 2021, the Company recorded a $2.3 million asset impairment charge for Jamestown Regional Medical Center’s building. In determining the fair value of Jamestown Regional Medical Center’s building, the impairment reflected the changed condition of the building that has not been in use since operations were suspended in June 2019. On March 1, 2021, the Company closed Jellico Community Hospital, and accordingly wrote off $0.3 million of equipment that was no longer of use in 2021.