Patients are once again recovering at Renaissance Hospital of Terrell. The hospital, which had been treating only emergency patients, reopened last week for full treatment, Administrator Sean Astolfo said Monday.
“This is like a new beginning for us,” Mr. Astolfo said.
Money to run the hospital is being provided by Dr. Tariq Mahmood through an agreement with bankruptcy court. The hospital filed for bankruptcy in August after operating the hospital for about six months.
Dr. Mahmood, who owns several small hospitals throughout the state, has offered to buy the hospital’s assets for $1.2 million.
Bankruptcy records show that Renaissance talked to five possible buyers for the hospital's assets but only Dr. Mahmood made a firm offer.
Those interested in bidding for the hospital have until Oct. 7. The hospital's sale is set for Oct. 10 and will close by Oct. 16, according to bankrupcty court filings.
The hospital building is owned by the city, which leases it to a management company. Renaissance is the fifth management firm in five years. Officials of all those companies have said it is hard for the hospital to be profitable because of the large number of Medicare and Medicaid patients.
Mr. Astolfo said the hospital called back 53 employees laid off when bankruptcy was filed and hopes to bring more back as the number of patients increases. He said local doctors have begun admitting patients again. Other patients come to the emergency room and need further treatment. The hospital had averaged about 20 patients before the bankruptcy filing.
City Manager Torry Edwards said he is pleased that the hospital has reopened, but said the city still needs to see a detailed financial plan.
“Dr. Mahmood needs to prove out a sustainable plan,” Mr. Edwards said. “He’s moving in that direction. He’s willing to do that.”
Dr. Mahmood attempted to take over the hospital about 18 months ago when a previous management company failed. But the city said he did not supply enough financial information and city officials were not happy with the condition of some of his other hospitals.
Mr. Edwards said Dr. Mahmood seems to be gaining support from local doctors. Two who work at the hospital may be investing money, Mr. Astolfo said. Others are admitting patients.
And, “as soon as Dr. Mahmood pays $1.2 million to the court, the city will support him,” Mr. Edwards said.
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