{"id":304840,"date":"2025-10-15T08:01:15","date_gmt":"2025-10-15T08:01:15","guid":{"rendered":"https:\/\/www.europesays.com\/us\/304840\/"},"modified":"2025-10-15T08:01:15","modified_gmt":"2025-10-15T08:01:15","slug":"judge-approves-funding-to-keep-jackson-hospital-open","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/us\/304840\/","title":{"rendered":"Judge approves funding to keep Jackson Hospital open"},"content":{"rendered":"

MONTGOMERY, Ala. (WSFA<\/a>) – A federal judge has approved additional funding to help keep Jackson Hospital\u2019s doors open – for now. <\/p>\n

Jackson Hospital\u2019s financial future remained uncertain Tuesday as representatives appeared in federal bankruptcy court in downtown Montgomery. <\/p>\n

The <\/b>bankruptcy court needed to approve funding<\/b><\/a> <\/b>for the struggling facility. However, creditors willing to provide that funding have been demanding more authority over the hospital\u2019s operations, a proposal that has drawn opposition from the hospital\u2019s bondholders.<\/p>\n

The decision to approve funding was reached following testimony that the hospital would not be able to remain open through the end of October<\/b><\/a> <\/b>without additional financial support. <\/p>\n

The ruling extends an existing loan from 22 to $25 million. It also opens the possibility for an additional $25 million. However, lenders said Jackson Hospital must obtain $100 million in government grants from the city, county and state for that to happen. <\/p>\n

Jackson filed for bankruptcy this year after defaulting on $60 million in bond payments in 2024. The bond holders are against the additional funding saying the hospital is losing money, and additional loans negatively impact its investments.<\/p>\n

During an hours-long hearing last week, Judge Christopher Hawkins asked all parties to try to come to an agreement, but said if they couldn\u2019t, he would make a ruling about whether to approve additional funding. <\/p>\n

\"JacksonJackson Hospital\u2019s financial future remained uncertain Tuesday as representatives appeared in federal bankruptcy court in downtown Montgomery. (Jackson Hospital)<\/p>\n

In a hearing one week ago, the hospital\u2019s CEO warned that the hospital does not have sufficient cash on-hand for an orderly shutdown, should that become necessary.<\/p>\n

Staff departures amid closure threat<\/p>\n

A chief restructuring officer testified Tuesday that some hospital employees are leaving because of the threat of closure, adding to the facility\u2019s operational challenges. No specific details were immediately available.<\/p>\n

An investment banker told the court that Jackson Hospital needs $50 million in aid from city, county, and state governments to move forward. However, later in the hearing, the lender clarified it requires $100 million in government aid, which the addition hospital funding would be contingent upon.<\/p>\n

The Montgomery City Council passed a resolution<\/b><\/a> last week expressing interest in providing financial assistance to Jackson Hospital. However, similar commitments have not been made at the county or state level at this point.<\/p>\n

Hospital representatives have said that without more money, they cannot keep the doors open beyond the end of this month, leaving the community\u2019s healthcare access in jeopardy.<\/p>\n

Attorneys for the bondholders requested an emergency stay following Tuesday\u2019s ruling. Both sides will be back in court Thursday.<\/p>\n

Not reading this story on the WSFA News App? Get news alerts FASTER and FREE in the Apple App Store<\/a> and the Google Play Store<\/a>! <\/p>\n

Copyright 2025 WSFA. All rights reserved.<\/p>\n","protected":false},"excerpt":{"rendered":"MONTGOMERY, Ala. (WSFA) – A federal judge has approved additional funding to help keep Jackson Hospital\u2019s doors open…\n","protected":false},"author":3,"featured_media":304841,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[35],"tags":[12955,27739,210,1141,56406,1142,154561,154560,154562,26979,67,132,68,53737,53736],"class_list":{"0":"post-304840","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-health-care","8":"tag-alabama","9":"tag-bankruptcy","10":"tag-health","11":"tag-health-care","12":"tag-health-crisis","13":"tag-healthcare","14":"tag-hospital-closure","15":"tag-jackson-hospital","16":"tag-jackson-hospital-crisis","17":"tag-montgomery","18":"tag-united-states","19":"tag-unitedstates","20":"tag-us","21":"tag-wfsa","22":"tag-wsfa"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@us\/115377136250634098","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/304840","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/comments?post=304840"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/304840\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media\/304841"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media?parent=304840"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/categories?post=304840"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/tags?post=304840"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}