U.S. Bankruptcy Court Judge Christopher Lopez has approved Santa Fe Springs, Calif.-based College Health Enterprises, a healthcare management company, as interim manager for Phoenix-based St. Luke's Behavioral Health Center in an Oct. 22 hearing.
The hospital filed an Oct. 1 WARN notice for 255 employees after it furloughed more than 200 Aug. 26. Steward was ordered by the state of Arizona to suspend operations and evacuate all patients at the 127-bed facility in mid-August after indoor temperatures reached 99 degrees.
Steward, a for-profit health system, sought Chapter 11 protection May 6 and is working to offload the remainder of its 31 hospitals.
Mr. Lopez approved the sale of three other Steward hospitals in Arizona, Florence Hospital, Mesa-based Mountain Vista Medical Center and Tempe St. Luke's Hospital, to Scottsdale, Ariz.-based HonorHealth on Oct. 3.
Under the approval, College Health assumed operating cost and liabilities for the facility on Oct. 3.