Eden Township Pledges Funds For San Leandro Hospital Rescue

District will join Alameda County Medical Center and the city of San Leandro to keep open the Sutter Health owned hospital -- if Sutter agrees.


The Eden Township Healthcare District Board of Directors has voted unanimously to approve a third year of funding to join the Alameda County Medical Center (ACMC) in maintaining Emergency Room Services at San Leandro Hospital (SLH).

The San Leandro City Council, as the third partner in the rescue attempt, recently approved a to shoulder some of the expense.

Any deal would need the approval of Sutter Health, which owns San Leandro Hospital. 

The Board voted to provide more than $250,000 in fiscal year 2013 and more than $500,000 in each of the two following fiscal years.

The Board could also release additional funds from District reserves with permission from the District’s lender, US Bank, which has outstanding loans of $48 million secured by the District’s assets and reserves.

Alameda County Medical Center has proposed taking over operations of San Leandro Hospital and maintaining the facility as an acute general hospital for the next two to five years. SLH’s current operator, Sutter Health, had previously planned with ACMC to convert the facility to rehabilitation services. 

Eden Township Healthcare District (ETHD) Board Chair, Carole Rogers, said, “We were the first agency to make a commitment and now we are increasing that commitment”.

Eden Township Healthcare District CEO, Dev Mahadevan, said funding was contingent upon ETHD ending a pending legal action with Sutter Health stemming from a recently ended lawsuit between the District and Sutter concerning Sutter’s lease of SLH.

District officials said Sutter deserved great credit for maintaining full acute and emergency services at SLH during its dispute with the District over the last two years, and for giving ACMC time to pull together this rescue attempt.

“Sutter and ACMC’s efforts were now bearing fruit,” Mahadevan said.

What are your thoughts on the rescue effort? Does San Leandro Hospital.

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tony santos November 18, 2012 at 10:12 PM
All a long way from conclusion-fact is district could be in serious financial trouble because of the litigation it filed against Sutter-fact is sutter is entitled to damages and court will award Sutter damages sometime in February 2013-ETHD no longer owns San Leandro, a loss in assets of some $60 million dollars and I assume its fiinancial situation in desperate straights.It could very well be bankrupt-for The district to contribute the amounts suggested is absurb-after all, all was under its control and responsibility. all could have been settled in 2009 except for Ms. rogers and two of her colleagues who schuttled the potential agreement by firing its Counsel and starting lawsuit against Sutter-a loser from the start-Finally, why should City save the district from its responsibility?? City has no jurisdiction over matter and owes neither Sutter nor the county nor the district anything-in my view, City should resciind its offer pending outcome of negotiations between ACMC and Sutter-further, ACMC really does not want to operate an ER section-too expensive-ER will eventually not be a part of the hospital's service so why spend the money?


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