New York hospital misses grant aimed at eliminating debt ahead of nonprofit conversion

Massena (N.Y.) Memorial Hospital aimed to use money from a state grant to pay off its debt before a planned nonprofit conversion; however, it missed out on the funds, according to the Watertown Daily Times.

The hospital's interim CEO, Charles Gijanto, told board members in November how Massena Memorial planned to use the funds if awarded: "Basically, the whole premise is that, assuming we get the grant, the hospital comes out of debt so there is no liability left with the town should the hospital become a 501(c)(3)," he said. "Basically, the grant goes to cover the debts of the hospital," according to the publication.

Mr. Gijanto noted Feb. 5 that the hospital will apply for another round of funding from the state in May. That funding initiative totals $300 million for the state.

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