Childrent’s bankruptcy filing details disagreements with UMC
the split between u-m-c and el paso chidlren’s hospital. we worked to get the complaint children’s filed in federal bankruptcy court . it details allegations of overcharging and underpayments from u-m-c to children’s. abc-7’s darren hunt is live from central el paso with the details … darren. rick and estela, this is the 29-page complaint by children’s filed as part of the bankruptcy … it questions why children’s has been asked to pay more than 800-thousand dollars a month in rent for the top five floors of the facility behind me, despite taxpayers approving 120 million in bonds to build it. here’s what children’s claims it was overcharged or underpaid by umc: an overcharge of 27 million for the facility lease … 14 million more for hospital services … underpayment of 15 million for el paso first reimbursements … and another underpayment of 12 million plus for indigent care costs umc allegedly avoided when those patients went to children’s instead. children’s claims a 2007 feasibility study said childrens was supposed to be reimbursed by umc for the pediatric indigent care it provided that umc used to provide. but children’s ceo mark herbers said that never happened. “the feasibility study had many assumptions, but the feasibility conclusions were the basis by which the hospital was promoted and the bond issue ultimately passed … Some of those assumptions never came to fruition.” here is what children’s is requesting in the complaint: declaring a lien umc put on children’s be voided … award children’s reasonable fees and costs … restrain umc from terminating agreements for services … declaring umc has no right to rental payments … and award children’s attorney fees. umc has yet to issue a response to the complaint at this point. the first court hearing is set for tomorrow in austin. rick and estela. with the negotiations