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A lab test company turned hospital operator may owe hundreds of thousands of dollars to former employees of a rural Tennessee hospital it abruptly shuttered.
A class-action settlement agreement between West Palm Beach, Florida-based Rennova Health and former employees at Jamestown Regional Medical Center in Jamestown, Tennessee, is scheduled for final court approval Sept. 10.
Rennova Health closed the 85-bed hospital in June 2019, the day after CMS cut off Medicare payments when the agency discovered the facility lacked key supplies such as blood and medications. Hundreds of vendors had stopped making deliveries after invoices went unpaid, among other serious operating issues. Rennova did not respond to a request for comment.
Another nail in the coffin | Jellico mourns loss of its hospital wbir.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from wbir.com Daily Mail and Mail on Sunday newspapers.
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Jellico hospital closed, operator leaves facility days after city votes to cut ties wbir.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from wbir.com Daily Mail and Mail on Sunday newspapers.
In a lengthy statement to 10News, Rennova CEO Seamus Lagan said he learned about the city s intent to terminate in the press and on social media. The hospital needs a significant capital investment to upgrade heating and cooling systems to make it fit for purpose as a fully functioning hospital, he said.
He said Rennova is willing to share its plans with the city and that the city council is aware of issues with the hospital building, which he said restricts the ability to do surgery. They are aware of the deficiencies in their building and must realize that either they or someone else will have to make the required investment of probably $500,000 or more if the facility is to continue in use as a hospital, Lagan said.