A California county's only hospital cleared a federal hurdle, but it still needs millions to reopen

"(Christina House/Los Angeles Times) A shuttered Northern California hospital is getting a lifeline from Congress, but it doesn't come with money to actually reopen and serve patients. A new federal law will restore the "critical access" designation for Glenn Medical Center, the only hospital in Glenn County. As a result, once it reopens, the hospital qualifies for full Medicare reimbursement, a key source of revenue."

"Separately, last week a California lawmaker introduced a bill to create state loans for struggling hospitals, which could help the facility find the money it needs to reopen. For now, Glenn Medical Center says it needs $40 million to $50 million to restart operations and bring back staff. Glenn Melnick, a health economist at USC, says because a federal decision led to the hospital's closure, it would make sense for the federal government to provide funds for the hospital's reopening."

"The problem with Glenn Medical Center, according to the U.S. Centers for Medicare and Medicaid Services, was distance. Critical access hospitals must be at least 35 miles from the next closest facility, and a review showed that Glenn Medical was only 32 miles from a hospital in Colusa County. Hospital officials appealed arguing that the hospital's location had not changed since it qualified for the designation a quarter-century earlier, but their appeals were unsuccessful, and the hospital closed last fall."

Congress passed a law restoring 'critical access' status for Glenn Medical Center, the only hospital in Glenn County. That status will enable full Medicare reimbursement once the facility reopens. The law does not provide reopening funds. Hospital officials estimate $40–50 million is required to restart operations and rehire staff. A California bill was introduced to create state loans for struggling hospitals, which could assist with financing. CMS revoked the designation after a review found Glenn was 32 miles from the nearest hospital, below the 35-mile requirement. The closure left a county of 28,000 residents without a local hospital and underscores calls for federal or state financing to restore services.

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