University Medical Center of El Paso has agreed to resume mediation with El Paso (Texas) Children's Hospital to resolve an ongoing financial battle between the two, according to an El Paso Times report.
The dispute goes back to early 2014, at which time El Paso Children's Hospital stopped paying UMC for rent and services, according to the report. The hospitals disagree on the amount owed by the children's hospital to UMC.
UMC gave El Paso Children's Hospital a"term sheet"that essentially laid out a plan to keep the struggling facility open. El Paso Children's Hospital had until Feb. 27 to accept the offer. However, the children's hospital did not accept the proposed agreement, according to the report.
UMC previously told the El Paso Times that if the children's hospital declined the offer, it would terminate contracted services it has been providing to the children's hospital but not receiving payment for.
As of last month, El Paso Children's Hospital was contemplating whether to file for bankruptcy to avoid a takeover by UMC. But now, El Paso Children's Hospital officials are telling the El Paso Times they are attempting to avoid bankruptcy by trying to return to mediation with UMC.
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