The hospital and local government have long been at odds as to who has the right to make decisions on behalf of Blount Memorial, particularly when it comes to the potential sale of hospital assets.
In late 2022, the hospital tried and failed to sell a $22.25 million wellness facility in Alcoa and more recently said it wants to sell other facilities.
The hospital has also sought waivers of default on bond covenants, according to the report.
“Blount Memorial Hospital is on the cusp of financial disaster, and continuing its months-long dispute with Blount County over the makeup of hospital leadership could help push it over a cliff,” according to attorney Craig Garrett.
The troubled hospital could lose a further $10 million in fiscal 2023 after reporting approximately $40 million losses in 2022, the report said.
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