The city council of Montgomery, Ala., unanimously voted Oct. 7 to approve a non-binding resolution of intent to aid the city’s struggling Jackson Hospital.
“No funding was approved,” a spokesperson for the city council said in an Oct. 9 statement shared with Becker’s. “The resolution contains no dollar amounts and makes clear that any future support will require additional due diligence, a formal agreement, and another City Council vote.”
The 344-bed hospital sought Chapter 11 protection in early February. By October, hospital officials revealed that Jackson Hospital could close at the end of the month without a requested $20 million loan from the city to cover operating expenses and payroll.
“[Jackson Hospital] is a cornerstone of care for Montgomery and the surrounding counties, and we know that it’s under severe financial strain,” Mayor Steven Reed said during the meeting. “Its potential closure would not only jeopardize access to critical medical services for those residents of Montgomery, but for those throughout the river region and beyond.”
The city council spokesperson said that a potential agreement would also require participation from Montgomery County, Ala., and would be subject to public notification and legal review.
