The Hawke's Bay district health board says the governance of Cranford Hospice in Hastings will be changed, to safeguard its palliative care services.
The DHB provides 70% of funding for the hospice, which caters for up to 150 people from across the region.
An audit made public last week found that a dysfunctional relationship between staff and management made its working environment insustainable.
DHB chief executive Kevin Snee says the way Cranford owner Presbyterian Support governs the hospice will be changed and its structure will be reviewed.
