Adventist Health backs out of Madera Community Hospital reopening

Madera’s lone hospital will remain closed for the time being as Adventist Health is changing course.

Adventist Health is no longer going to reopen Madera Community Hospital, backing out of the deal several months after signing a non-binding letter of intent. 

Adventist Health announced that it is backing out on Thursday. 


The backstory: Madera Community Hospital closed its doors nearly one year ago and went bankrupt as operating costs – including paying for travel nurses and Medi-Cal reimbursements – increased in recent years. 

  • In July, Adventist Health jumped in as the hospital’s savior, putting together a reopening plan that helped the hospital become eligible for state funding. 

Driving the news: Madera Community Hospital’s future is once again murky due to its poor financial situation, which was the driving force behind Adventist Health’s decision to exit the deal. 

  • This comes despite the hospital receiving $2 million from a state loan program that lawmakers touted as a lifeline to hospitals in financially precarious positions. 

What they’re saying: “Unfortunately, Adventist Health was unable to find a fiscally viable solution for the costly process of reopening and operating a closed facility, especially given the limited financial resources available and the current economic pressures facing rural and safety-net providers,” said Adventist Health in a statement.

Related Posts