Shuttered California hospital draws $1M bid

Colusa (Calif.) Regional Medical Center has been closed since April, but the hospital has received a takeover offer that may allow it to reopen.

Officials announced plans to close Colusa Regional in late March, and the hospital shut down April 22. Hospital officials cited reimbursement models under the Affordable Care Act, loss of capital and a medical paradigm shift to outpatient care as the primary reasons for the closure.

Hoping to restore healthcare services in Colusa, Modesto, Calif.-based American Specialty Healthcare wants to buy Colusa Regional for $1 million, according to the Appeal-Democrat, which cited court documents. American Specialty CEO Gia Smith told the Appeal-Democrat she estimates it will take at least $8 million to reopen the hospital, and the process could take up to a year.

A hearing is scheduled for July 19 on the proposed sale of Colusa Regional to American Specialty. 

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