In a unanimous vote Monday night, council hired the law firm Hamm, Milby & Ridings, PLLC out of London, KY, as representation in the Ellwood City Medical Center bankruptcy filing.
A retainer of $1,500 and an hourly rate of $175 were approved.
Ellwood City is seeking $300,000 in unpaid electric and sewage charges as well as $100,000 in property taxes that the Medical Center racked up before closing its doors on December 10. The closure of the facility came after the state Department of Health shut down its emergency room and inpatient services on November 27 for serious violations.
Since that time the community has been rallying for answers to many questions including what exactly the future holds for the medical center.
Ellwood City Mayor Anthony Court announced that he has made it a personal goal to do the most he can for the community. Court said he has had numerous discussions with Nancy Walker, the assistant to Pa Attorney General, Joshua Shapiro. He said he feels the discussions are making some headway but that is all he can say at this time.
“Things are in the works that could benefit our community,” Court said during the January 20 council meeting.
Borough Manager David Allen commended Court and borough solicitor Ed Leymarie in their efforts.
“We are trying to do the best we can for the community,” Allen said.
The hospital has faced a very public financial struggle since Americore acquired it in 2017. Reports of delayed or disrupted payrolls; layoffs of more than 150 workers in the last two months; claims that vendors were not paid in a timely fashion; are just a few issues over the last few years.
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