The Riverside County (Calif.) Local Agency Formation Committee voted to begin the dissolution of the Palo Verde Healthcare District and seek state support to restore services at Palo Verde Hospital in Blythe, Calif., amid ongoing challenges.
The committee also considered the county’s and other potential successor agencies’ possible role in taking control of the 51-bed facility, according to a Sept. 25 committee news release. In addition, a municipal service review for the Palo Verde Healthcare District was presented in a public hearing.
“The review underscored the severe situation of Blythe’s hospital, which has suspended all surgical services, inpatient admittance for medical issues and childbirth delivery services since May. The closest hospitals for these services are 100 miles away,” the release said. “Despite cutting the services, the Palo Verde Healthcare District is unable to sustain cash flow to meet a level of service delivery that is highly necessary for public health issues of a critical and non-critical nature.”
Palo Verde Hospital received the authority in mid-July to file a Chapter 9 bankruptcy petition, should it become necessary.
LAFCO staff shared nine options to restore the hospital financially and operationally. LAFCO will hold an Oct. 16 meeting with additional details regarding the Palo Verde Healthcare District’ dissolution.
“The most important goal currently is to ensure the hospital can provide the services needed for this rural community and to keep our doors open,” Sandra Anaya, CEO of Palo Verde Hospital, said in a Sept. 26 statement shared with Becker’s. “County officials agreed that the potential for dissolution of the district be explored. We are an example of the national and statewide threat to rural health hospitals that are facing significant challenges.”