Alabama sends $40 million to Jackson Hospital after bankruptcy exit
The funding covers capital expenses as Governor Kay Ivey says the Montgomery hospital’s new leadership faces more work to secure its future.
Alabama has transferred $40 million in previously promised funding to Jackson Hospital in Montgomery following its emergence from bankruptcy, Governor Kay Ivey announced Thursday.
The money is intended for necessary capital expenses. The transfer fulfills the state’s funding commitment as the hospital’s new leadership works to establish a sustainable future.
“The sustainability of Jackson Hospital and the viability of a strong health care system with Baptist Health remains critical for our capital city and the River Region,” Ivey said. “With Jackson Hospital officially emerging from bankruptcy, the state has transmitted the $40 million we promised for necessary capital expenses.”
Ivey thanked the health care partners and local officials involved in developing a path forward for the hospital.
“I would again like to thank Jackson Healthcare CEO Rick Jackson, Blue Cross Blue Shield of Alabama, as well as county and city officials for working together to forge a path forward for this needed hospital,” she said. “The new leadership at Jackson Hospital has more work ahead to ensure a strong future, but I am hopeful that can be achieved for the people who call this area home.”
The governor’s office said both the Ivey administration and the incoming administration will continue working with stakeholders as discussions about the hospital’s future proceed.
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