Borrego Health Files for Chapter 11; Will Keep all Clinics Open

Borrego Community Health Foundation announced Monday that it has filed for Chapter 11 bankruptcy protection, but will keep all its clinics open — including several in the Coachella Valley — while it restructures its finances and resolves state regulators’ concerns about its billing practices, the Desert Sun reports in California.

State regulators suspended Medicaid payments to the health system two weeks ago.

CEO Rose MacIsaac said “nothing changes” for staff members or patients during the Chapter 11 proceedings.

“All of our clinics will remain open, we will continue to provide care and paychecks will get paid and everyone will be operating as they would any other day,” she told The Desert Sun.

In the valley, the nonprofit’s clinics include Centro Medico in several cities, Palm Springs Family Health, Stonewall Medical Center in Cathedral City and the new Coachella Valley Community Health Center in Coachella.

The chapter 11 filing is the latest turn for a nonprofit organization that has spent years trying to recover from what its new leaders say was years of corruption, self-dealing and theft by company insiders. Read more.

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