UMC argues for lease payments in Children’s bankruptcy case

In court documents, UMC has asked the bankruptcy judge to make the El Paso Children’s hospital pay some of its debt to the county hospital, which is more than $100 million.

Children’s must have its expenses approved by the bankruptcy judge until the case is resolved.

The troubled hospital filed a proposal explaining how much money came in and how much they spent in the month of June.

UMC filed a motion complaining that Children’s should be making larger payments to cover its lease and services.

UMC also argues the expenses Children’s has reported related to the bankruptcy, specifically its consultants and attorneys, are too high, and that Children’s is using money that should go to repay UMC, to instead fight UMC in court.

Children’s said in court documents that the hiring of AlixPartners is a good business decision that has already yielded positive results for the bankrupt hospital.
It also said its bankruptcy attorneys, the Jackson Walker law firm, cannot provide financial advice. AlixPartners cannot provide legal advice, so Children’s argues those services are not duplicated.