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California AG approves Trinity's acquisition of 'financially distressed' hospital

California Attorney General Rob Bonta has conditionally approved the sale of "financially distressed" Madera Community Hospital to Livonia, Mich.-based Trinity Health, according to a Dec. 15 news release. 

The 106-bed hospital offers services to more than 150,000 residents in Madera, Calif., and its surrounding communities. Conditions of the approval demand that the community maintains access to emergency and surgical services in the area. 

Under the terms of the sale, Trinity has committed to providing up to $45 million to implement a new medical records system and make upgrades to the hospital, and spend $3 million a year on other necessary investments, including equipment.

Among other provisions, the state attorney general is requiring Trinity to:

1. Use commercially reasonable best efforts to maintain services at the hospital for five years.

2. Accept price caps to ensure continued affordability for Madera residents.

3. Ensure continued certification of the hospital as a Medi-Cal and Medicare facility.

4. Provide charity care, financial assistance to patients and community benefits.

5. Comply with nondiscrimination rules in the provision of healthcare services.

6. Provide emergency reproductive healthcare services, notice and information to the public about nonemergency reproductive healthcare not provided, as well as information about alternative licensed providers and transport.

"Having a hospital in the neighborhood can make the difference between life and death for a patient. Maintaining access to critical healthcare for our communities is always our top priority," Mr. Bonta said in the release. "Today's conditions seek to protect the welfare of Madera County residents, and ensure they can continue to access life-saving and hospital services when they need them most."

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