Hillsboro (Kan.) Community Hospital, which avoided having its utilities shut off earlier this month, is listed in a foreclosure lawsuit that remains pending, according to the Hillsboro Free Press.
The lawsuit is reportedly regarding debt on a $9.7 million construction loan issued for the hospital in 2015. In the lawsuit, the Bank of Hays asks that the principal on the loan be paid within 14 days of a judge's ruling on the issue, the Free Press states. If that doesn't happen, the bank seeks a sale of the property to recoup money its owed.
Hillsboro Community Hospital is managed by Kansas City, Mo.-based EmpowerHMS, which is facing financial challenges and has reportedly worked with the city of Hillsboro to pay the hospital utility bills.
A call by the Free Press to EmpowerHMS was not returned.
More articles on healthcare finance:
RCM tip of the day: Use exit interview to understand patient's payment choice
Hospital bill mediation requests spike in Texas
Minnesota hospitals saw bad debt climb nearly 25% in 2017