The healthcare provider says it is able to remain operational through the summer.
Hazel Hawkins Memorial Hospital recently announced that efforts to turn around its financial crisis have been paying off, securing enough funds to keep operating through the summer—previously it was expected the organization would run out of money by April.
"The Herculean efforts by our team are finally catching up with the crisis," Mary Casillas, Interim CEO for Hazel Hawkins, said in the announcement. "What we are seeing now is the ability to sustain the current operations for the district through late summer."
For months Hazel Hawkins Memorial Hospital has worked to improve its financial positioning and avoid a bankruptcy filing. The Hollister, California-based provider with 25 staffed beds and over $300 million in revenue, says it has received and scheduled near-term payments from MediCal, Medicare, and Anthem. The hospital has also implemented cost savings measures and reductions in staffing costs. While having made some progress, Hazel Hawkins Memorial Hospital still considers its financial situation "critical."
"We are not out of the woods yet, but we are in a much better position to complete a partnership agreement or sale by this fall, Casillas said in the announcement. "Though our cash position has improved dramatically over the past few weeks, we need more help. We hope that the community can see our progress and get behind our efforts to save access to quality healthcare for thousands of San Benito County residents."
Hazel Hawkins Memorial Hospital stated back in February that finding a "strategic partner" or a buyer would be the best way to help it out of its current economic predicament.
"Our team has begun the process of reviewing the first LOI and we have been alerted that there may be more LOIs submitted in the coming weeks," Casillas said. "The importance of finding the right partner or buyer is crucial for our community as it will pave the way to access to critical healthcare services here in San Benito County."
Amanda Schiavo is the Finance Editor for HealthLeaders.