On Tuesday, a federal court judge approved American Advanced Management (AAM) to move forward with their bid to manage, reopen and purchase the shuttered hospital. AAM had submitted their proposal seven weeks ago.
Their approval was briefly at risk Monday when Adventist Health, UCSF, and Madera County submitted a joint bid to purchase and reopen the hospital.
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In court, Madera County asked for more time to consider the new joint bid from UCSF and Adventist Health. The county argued that UCSF and Adventist's reputations would make it easier to recruit more doctors, nurses, and other staff to the hospital. The county also pointed to the potential use of Madera Community Hospital as another future teaching hospital in the Central Valley.
AAM argued they would be able to open a hospital sooner than another bidder, potentially in as little as 4 months. They also said to not rule out the potential of another teaching hospital in the valley.
"UCSF is welcome to if their interest is in finding ways to support Madera Community Hospital they're certainly welcome to reach out and continue that with our organization as would as another academic affiliate that might have interest in supporting this community," said Matthew Beehler, Chief Strategy Officer for AAM.
The judge repeatedly asked UCSF where they had been in the past year since the hospital's closing and why they had not been a part of the bidding process sooner and pointed to Adventist's previous interest and withdrawal.
RELATED: Adventist Health and UCSF announce effort to buy Madera Community Hospital
He explained the court's decision needed to consider what is in the best interest of the estate, creditors, and community ultimately deciding that allowing AAM to move forward would be the better option.
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Madera County, Adventist, Senator Anna M. Caballero (D-Merced), Assemblywoman Esmeralda Soria (D-Fresno), and Assemblymember Dr. Joaquin Arambula (D-Fresno) all released statements expressing their disappointment with the decision.
The county's statement read in part, "The Board is disappointed that the bankruptcy court did not grant time to consider a strong proposal that would have brought another UCSF affiliated medical campus to the Central Valley, and specifically to Madera."
The Madera County Department of Health Director who spoke against AAM's purchase in court turned down a request for an interview.
AAM still needs approval from the California Department of Public Health before it can begin the process of reopening.
A physician who is a co-chair on the creditor's committee testified Tuesday that nurses and physicians who had previously worked for the hospital would be willing to return under AAM's management.
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