The hospital’s board of directors on Nov. 4 passed a resolution declaring the fiscal emergency, which granted administrators the authority to file Chapter 9 bankruptcy if and when necessary. No bankruptcy filing has occurred to date, Hazel Hawkins said in a Nov. 29 news release.
Hazel Hawkins has been in talks with the district’s creditors and is seeking ways to obtain emergency funding according to the release. The hospital’s outreach efforts have included discussions with the San Benito County supervisors, state assembly members’ and state senators’ offices and the California state treasurer’s office. The hospital has also had advocacy meetings with Association of California Healthcare Districts and California Hospital Association.
Nurses at the hospital have expressed concern over their employment and the ability of the hospital to pay its staff, but a Hazel Hawkins spokesperson told BenitoLink on Nov. 29 that all staff members received their regular paychecks on Nov. 23 and it does not expect issues with the next pay period on Dec. 9. The hospital also said it “continues to offer high-quality patient care without compromise.”
The hospital has until Dec. 31 to file a bankruptcy petition, according to the report.
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