Still hoping for hospital miracle

Oct. 17--As Pauls Valley's hospital was continuing to shut down this week there was one guy still busy working the phones trying to find a miracle to keep it open.

Frank Avignone, CEO of Alliance Health Partners, which has managed the local hospital since early July, was hoping to find an answer in a desperate time after the Pauls Valley Hospital Authority voted last Friday to cease operations at the hospital.

They took that extreme step because the money needed to continue operating the hospital had run out.

What Avignone was hoping for about a week ago was a deal to reverse the hospital's fortunes. That deal involved a company to potentially come in and team up with Alliance to get the hospital back on solid financial ground.

Avignone says he was seeking a deal with the Schuster Group out of Oklahoma City.

The thinking was a 50-50 partnership with Schuster, which he said with "100 percent certainty" would have saved the hospital and prevented the closure.

The deal fell through last Thursday because of some different rules that apply in this situation.

"They backed out," Avignone said about Schuster.

"Because of federal compliance institutional investors can't get involved in situations with litigation and this much debt.

"A private group could put all that money in but not an institutional investor. I was very hopeful, but we're done as of now.

"I'm still talking to people. In the middle of a storm there still could be an answer. It would take a miracle but that's pretty slim."

The only "miracle" would be having $5 million come from a non-profit group interested in buying the hospital. That, he said, would keep the hospital open and operating until the transition to a new owner could be completed.

Avignone was also thinking about the employees, who are still seeking back pay and answers about where withholdings for taxes and insurance can be found.

"We've got to work on getting those employees the help they need."

He did add he believes the local Willows Assisted Living Center should be able to continue its normal operations.

As for the hospital, its closure comes after a national CBS news crew was here just last week to get more for a future broadcast it had planned using Pauls Valley as an example of difficulties facing rural healthcare all over America.

----With the news of the closure the hospital's former manager, NewLight Healthcare, released a statement Monday.

"We extend our deepest sympathies regarding the announced closure of Pauls Valley General Hospital.

"NewLight helped the hospital emerge from bankruptcy in 2016 and worked tirelessly to bring excellent healthcare options to the region during its tenure as manager.

"NewLight loaned and advanced the hospital millions of dollars and, even after it was no longer managing the hospital, continued to work with the new management in an attempt to keep the hospital open.

"It is unfortunate that Alliance Healthcare Partners, the new manager, in conjunction with the Pauls Valley Hospital Authority, were unable to develop a viable business plan that would allow for continued operations.

"We are very saddened by this development for the hospital and the community of Pauls Valley."

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