Sierra View Medical Center is among the hospitals across California that has applied for help as part of the state’s Distressed Hospital Loan Program.
Sierra View has requested a $17.35 million loan through the program. There has been $300 million set aside for the program but as of mid-July loan applications had already exceeded that limit. To date, 16 hospitals have applied for $385.3 million in loans.
Among them was Madera Community Hospital which had to close in January. That hospital alone has applied for a loan of $80 million.
State legislation established the loan program to help non-profit and public hospitals that are facing financial hardship. Originally just $150 million was set aside for the program but funding has since been doubled, according to The Porterville Recorder.
If chosen to receive a loan Sierra View stated it would use whatever money it received for working capital that Sierra View stated would assist it “in accomplishing its turnaround plan over the next 18 months.”
Sierra View would also use funding for staffing development to increase its nursing, imaging and laboratory staff so it could reduce contact staffing expenses. Read more.
