Madera (Calif.) Community Hospital has received the first installment of its loan to bolster its reopening efforts.
The hospital received the first $15 million of its $57 million zero-interest loan from California's Distressed Hospital Loan Program, according to a June 17 news release from state treasurer Fiona Ma's office.
Madera Community Hospital closed in January 2023 and filed for Chapter 11 bankruptcy in March 2023. In February, a U.S. bankruptcy judge approved American Advanced Management's plan to operate the 106-bed acute care hospital. The hospital reemerged from bankruptcy in May and plans to use the loan funds to aid its reopening, according to the release.
Additional installments will be issued as the hospital shows a cash flow need as part of its larger reopening and turnaround plan, according to the release.