County Files for Injunction Over Hospital Lease

Montrose County (Colo.) commissioners have filed an injunction against Montrose (Colo.) Memorial Hospital, claiming its trustees violated open meetings laws and acted outside their authority when agreeing to lease the hospital to a new non-profit, according to a Montrose Daily Press report.

Advertisement

On Oct, 15, the trustees approved a deal that would lease the hospital to non-profit Montrose Memorial Hospital Inc., which then entered into an agreement with hospital management company Quorum Health Resources.

The injunction claims the trustees failed to provide public notice of meetings surrounding the deal, thereby violating the state’s Sunshine, or open meetings, laws. Additionally, the injunction argues the hospital board went beyond its authority in entering into the lease, because the lease is allegedly just an attempt to disguise a sale or transfer of assets, according to the report. The board does not have authority to transfer hospital assets, since the assets are owned by the county.

A hospital trustee responded that the meetings were properly publicized.

Read the Montrose Daily Press report on Montrose Memorial Hospital.

Read more coverage on Colorado hospitals:

Colorado’s Centura Health Releases Patient Safety and Quality Report

Colorado’s Longmont Hospital and Poudre Valley Health Explore Joint Venture

University of Colorado Hospital Announces $400M Expansion

Advertisement

Next Up in Transactions & Valuation Issues

Advertisement

Comments are closed.