New management to take over the hospital immediately

Hillsboro Community Hospital is temporarily under new management.

This morning, the Marion County District Court approved the Bank of Hays and the City of Hillsboro’s joint request to remove HCH out from EmpowerHMS and appointed a new company to take over the management.

As the Free Press previously reported, the Bank of Hays filed a foreclosure action against the current ownership group of the hospital, also known as EmpowerHMS.

According to a press release issued early this afternoon by the City of Hillsboro, Cohesive Healthcare Management has been appointed by the court to take possession of the hospital and to operate, manage and oversee it while the foreclosure lawsuit proceeds.

The court’s order states, “that immediate and irreparable harm is likely to result if a receiver is not appointed to operate and manage the hospital in order to ensure that it remains open and retains as much of its value as possible.”

Cohesive became the leading candidate after a collaborative search conducted by the Bank of Hays and the City of Hillsboro’s legal counsel. The company has assisted other hospitals in similar situations.

“It is the city’s ongoing desire to undertake reasonable steps to assist in keeping the hospital open during the bank’s foreclosure lawsuit, and securing the appointment of an outside, disinterested receiver to operate and manage the hospital on an interim basis is a critical step in this regard,” said Mayor Lou Thurston. “The city looks forward to a healthy working relationship with Cohesive going forward.”

As previously reported, the City of Hillsboro is represented in the foreclosure lawsuit by Tyler E. Heffron of Triplett Woolf Garretson, LLC in Wichita.

Heffron stated, “The circumstances facing the hospital is factually and legally complex. The city realized access to healthcare by the citizens of Hillsboro and the surrounding area is important. The court’s approval of our joint request to appoint a receiver that can provide immediate assistance at the hospital was essential to maintaining community access to healthcare while the foreclosure lawsuit proceeds through the court systems.”

The City of Hillsboro will be unable to have any further comments on the matter due to the pending legal action.

The staff all received paychecks this morning from EmpowerHMS in spite of rumors that Empower was attempting to rescind the payroll.

“Everyone got paid. Our paychecks are safe,” said Nurse Manager Kelli Olson.