UPDATE: The Madera Community Hospital has sped up its timeline for closing. Since announcing their closing in January of next year, there has been a mass exodus of employees that now the hospital cannot staff shift. The hospital is closing within 24 hours despite an emergency meeting today in the Madera County Board of Supervisors chambers at 10 am.
MADERA - Additional conditions imposed by California Attorney General Rob Bonta on Trinity Health Corporation have halted plans for the operator of St Agnes Hospital to take over the financially troubled Madera Community Hospital. This move has caused Madera County’s only full-service hospital to file for bankruptcy protections, lay off employees, and begin the closing of its 106-bed facility by early next month after 52 years of service to the community.
The board of directors of the Madera Community Hospital disclosed to the public last February that they were in negotiations with Indiana-based Trinity Health Corporation to establish a permanent affiliation with the Catholic-based healthcare network that includes 92 hospitals in 22 states, with St Agnes operating its Fresno hospital and 21 primary, specialty, and urgent care clinics in the local area.
Before such a sale could occur, first, the approval of the California Attorney General would be needed pursuant to California Corporations Code section 5920. Last Friday, AG Bonta gave his approval for the sale with certain added conditions, including the requirement that the hospital provides emergency reproductive healthcare service, which would include the dispensing of emergency contraceptives for survivors of sexual assault, and provide the public with information about nonemergency reproductive healthcare (birth control) the hospital does not offer and alternative providers. These services would violate the Ethical and Religious Directives for Catholic Health Care Services written by the U.S. Conference of Catholic Bishops. As a condition of employment or medical privilege, doctors, nurses, and clinical personnel must follow these directives when caring for patients in Catholic facilities like Saint Agnes Hospital.
Under the terms of the sale, Trinity was committed to making financing available up to $45 million for installing and implementing a new medical records system and providing upgrades to the hospital. They also agreed to spend $3 million per year on necessary investments in the hospital, including equipment upgrades. Bonta’s other requirements, beyond reproductive services, for his approval, were that Trinity:
- Use commercially reasonable best efforts in good faith to maintain services at the Madera Community Hospital for five years.
- Accept price caps to ensure continued affordability for Madera residents.
- Ensure continued certification of the hospital as a Medi-Cal and Medicare facility.
- Provide charity care, financial assistance to patients, and community benefits.
- Comply with nondiscrimination rules in the provision of healthcare services.
Bonta’s office on Thursday afternoon released a statement about his additional requirements, “These minimal conditions were necessary because, without them, the communities could not be assured of even basic essential services, as they could be shut down at any time. Any deal without those conditions would make the hospital one that would not serve or help the people. In addition, the conditions allowed for the flexibility necessary for any turnaround plan. It is disappointing that Trinity Healthcare has chosen to leave residents in need by walking away from this deal, which took more than a year to craft, without any effort to engage. We are actively working with Madera Community Hospital to explore every option to help keep the hospital open for residents.”
Congressman Jim Costa, whose district no longer includes Madera, but did during the time of the negotiations, issued a press release following Bonta’s decision, “It disappoints me greatly that Trinity Health decided to walk away from its affiliation agreement with Madera Community Hospital. For more than 18 months, we have worked with the Madera hospital and its board of directors, the California Attorney General, and state and local leaders to help maintain access to the Madera hospital and the full services that only this acute hospital provides in Madera County.”
The hospital will file for bankruptcy on January 3rd when all emergency services discontinue. The hospital’s rural clinics in Madera, Chowchilla, and Mendota, will shut down on January 10th. While layoffs are expected to begin right after Christmas, employees will be paid until the entire facility closes on January 17th. Madera Community Hospital did not return our calls for an interview nor issue any press release regarding these closures. Their public information officer left the hospital a year ago for another facility in Northern California.
The Madera Community Hospital serves over 150,000 people from the city and surrounding communities.
