HOLLISTER, Calif. —
Hazel Hawkins Memorial Hospital sent notices to employees of possible closure in 60 days, the hospital announced Monday evening.
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The hospital sent employees what are called Worker Adjustment and Retraining Notification (WARN) Act notices. Federal law requires large employers to send their employees the notice 60 days before a possible closure.
The notices come as the hospital looks for funding to overcome cash flow challenges that have led to the declaration of a fiscal emergency.
The hospital says it projects that it will run out of sufficient cash to continue operating on Feb. 18, 2023.
According to Hazel Hawkins, it is undertaking an aggressive cost savings plan, seeking private funding sources and working with state and local leaders to overcome its financial challenges. The hospital has also implemented a hiring freeze, billing audits, staff position reviews and supply reviews.
WARN Act notices can be extended or retracted if it's successful in finding funding, according to the hospital.
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Hazel Hawkins has requested a $3 million bridge loan from the state treasurer's California Health Facilities Financing Authority program. The request is pending, officials say.
Other attempts to secure funding have come up short. On Dec. 15, the San Benito County Board of Supervisors rejected the hospital's request for $10 million in bridge funding....
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