Closing delayed, but HMC officials think hospital sale will be approved

The ball remains in the state attorney general's office regarding the sale of non-profit I-70 Medical Center to for-profit HMC/CAH and as of Friday, Sept. 5, an AG spokesman would only say that the agreement is still being reviewed.

At the Sweet Springs Board of Aldermen meeting Monday, Sept. 8, HMC officials provided more information, indicating that the impending sale of debt owned by Arkansas National Bank -- which includes the hospital's debt -- was the final "domino" that has to fall into place before the agreement will be approved.

Bill May, regional vice-presient of operations for HMC, told the board that the Arkansas bank is in receivership and will be auctioning its debt Tuesday, Sept. 9.

If the Federal Deposit Insurance Corporation approves that sale, the transaction could be complete in a few weeks, paving the way for approval of the I-70 Medical Center deal, he said.

The original closing date for the hospital sale was to be Aug. 30, but the agreement allows for an extension to Dec. 31, if necessary, he said.

"We don't think that will be an issue," he said. "I don't see it taking that long."

The agreement calls for HMC to assume all $10 million of the hospital's debt.

Hospital board member Ronald Hinton asked May whether HMC would pay the difference if the hospital's debt sells for less than that.

May wouldn't commit to that, but reiterated the company's commitment to the community and its promise to build clinics in Sweet Springs, Concordia and Alma.

Contact Eric Crump at marshalleditor@socket.net