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Victorville Hospital Files For Chapter 11

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(credit: CBS)

(credit: CBS)

CBS Los Angeles (con't)

Affordable Care Act Updates: CBSLA.com/ACA

Health News & Information: CBSLA.com/Health

VICTORVILLE (AP) — A Southern California high desert hospital has filed for Chapter 11 bankruptcy protection.

Officials with Victorville’s 101-bed Victor Valley Community Hospital blame the California budget impasse in part for their financial woes, saying the state owes it $2.5 million in Medi-Cal reimbursements.

The bankruptcy filing Monday in Riverside says the hospital was $20 million in debt.

Prime Healthcare Services Foundation Inc., owner of Desert Valley Hospital, announced this week it has agreed to acquire Victor Valley Community.

The Victorville Daily Press says the hospital plans to remain open during reorganization and there are no plans for layoffs.

(© Copyright 2010 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)

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