Last week city officials jumped on a rescue plan after the County of Ventura pulled out of negotiations to lease the facility. The City Council has filed a complaint with the state Attorney General’s Office alleging lack of board oversight and conflict of interest by Romney, the former longtime city attorney.The hospital board announced almost 11 months ago that SPMH was on the brink of closure and needed donations to keep it operational through a 90-day period.Hospital debts have continued to mount: aside from a $1 million line of credit, SPMH in recent months obtained a $2.5 million loan using the 25-acre hospital property as collateral. Trade debt is reportedly about $3.5 million and creditors are starting to clamor for payment.Ventura County officials had been negotiating with the hospital since spring and said negotiations were dropped due to a lack of full disclosure on hospital finances, a charge that SPMH directors said is untrue. A consultant hired by Community Memorial Hospital, which in January offered to take over SPMH and keep it operational for five years, is reviewing the hospital’s financial situation before a decision will be made regarding negotiations.
Two City Council members meet in private with hospital representatives
November 19, 2003
Santa Paula City Council
Santa Paula City Council members were scheduled to discuss Santa Paula Memorial Hospital in a closed session on Monday after meeting Friday with representatives of the cash-strapped “Hospital on the Hill.”
By Peggy KellySanta Paula TimesSanta Paula City Council members were scheduled to discuss Santa Paula Memorial Hospital in a closed session on Monday after meeting Friday with representatives of the cash-strapped “Hospital on the Hill.”“We had a productive discussion that Mayor John Procter will discuss with the full council in closed session Monday night, before we take any further steps,” said Councilwoman Mary Ann Krause on Nov. 14th, her only comment on the meeting.The almost two-hour meeting was between City Manager Wally Bobkiewicz, Procter, Krause and Phillip Romney, chairman of the SPMH board of directors, Carol Burhoe, chairwoman of the hospital negotiating team and Gene Kaberline, SPMH’s interim chief executive officer. Kaberline took over SPMH in recent weeks from former administrator Mark Gregson, an employee of Quorum Health Resources, and the hospital’s management firm since 1995. Gregson had joined SPMH in November 2000.
