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News release from Southern Inyo Healthcare District

Members of the public have asked questions about the status of the Hospital and Clinic in Lone Pine. While many of the issues raised are addressed at the public meetings of the District’s Board of Directors, not everyone can attend these meetings, so the following information is to keep the public fully apprised of recent events.

Southern Inyo Healthcare District (SIHD) has filed to terminate the management agreement with Healthcare Conglomerate Associates (HCCA), The court has requested briefs from the District and HCCA regarding the future of the management agreement, a matter which the District and HCCA have been discussing over the last month. The briefs were filed with the court on or about October 25, 2017.

Under the management agreement, HCCA managed the District’s bank accounts. On October 17th, the judge in the District’s bankruptcy case ordered that the signatories to the bank accounts be switched from HCCA to the District’s directors, which has been done.

HCCA continues to provide management of the Hospital and Clinic. Local management and supervision is being handled by Brian Cotter, Associate Administrator and Chief Clinical Officer, an employee of the district. Alan Germany continues as Chief Restructuring Officer and CFO, and coordinates work being done by HCCA such as finishing up the IT system and completing reports to the state.

The District was recently served with a search warrant by the Tulare County Sheriff’s Department and the Tulare District Attorneys Office. The District is fully cooperating with law enforcement, and will not be providing any further public comment during the pendency of the investigation.

The Board is aware of the recent bankruptcy filing of the Tulare Local Healthcare District, and will continue to monitor the case regarding any impacts it could have on SIHD and HCCA, though as of now, it has not had any effect on SIHD.

The District’s Board of Directors, staff, and physicians remain committed to providing the best possible medical care to our community. All members of the public are welcome to attend the Board’s meetings and ask questions or provide input. Information about Board meetings may be found at http://teamhcca.com/our-locations/southern-inyo-hospital/ and clicking on the link for “Southern Inyo Healthcare District.” The next regular board meeting is scheduled for 4:30 on November 14, 2017 at the RCA church in Lone Pine.

Board President Richard Fedchenko said, “This will continue to be a turbulent time for the Hospital and Clinic, but we are working on making sure that management requirements will be well covered. We are working hard at controlling cash flow and realize that it is due to the patience and dedication of many of our vendors and suppliers that we can keep the Hospital open. We were able to meet payroll last week and anticipate some significant supplemental funding to be received in the near future. One of the major state checks has already been deposited in District accounts.”

“I’m proud of the actions the board of Southern Inyo Healthcare District is taking to protect the hospital and clinic,” said Matt Kingsley, Inyo County fifth district supervisor.

 

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