San Benito County board continues hospital ad hoc, asks consultant for one-page update

The San Benito County Board of Supervisors voted to continue its ad hoc committee on the county hospital and asked Cecilia Montalvo, a consultant with Founder Works, to prepare a one‑page summary of the hospital’s status, finances and options.

The action follows a presentation from Montalvo on November and December financials for the district hospital and after members of the public urged sustained county oversight. "In November the hospital had a net surplus of $1,400,000, and a year‑to‑date surplus of almost $8,000,000," Montalvo told the board, adding that those figures include legal and transaction costs carried by the hospital.

Why it matters: the county is the public provider of last resort for indigent care and the presence of a local hospital affects ambulance transports, behavioral‑health crisis response and travel time for residents who need specialty care. Supervisors said the county should focus on emergency services and preserving local access while preserving transparency in any transaction.

Montalvo summarized several points for the board: current reported surpluses, lower inpatient volumes consistent with statewide outpatient shifts, and uncertainty about how transaction costs and bankruptcy‑related expenses will affect long‑term operations. She also noted the outcome of two local ballot measures: an advisory Measure B that passed with more than 70% support, and Measure X, which gave hospital trustees authority to enter transactions but passed by a narrow margin.

Public speakers and trustees have raised questions about a potential suitor identified in local coverage as Insight. Montalvo and public commenters noted press coverage raising concerns about that prospective partner and recommended that the county seek assurances in any draft transaction documents that preserve services and provide county recourse if terms are not met.

After discussion the board voted to continue the ad hoc, seek closer communication with the healthcare district board, and request that Montalvo produce a plain‑language summary of the hospital’s finances, options and recommended next steps that staff could circulate to the public and post on county channels. The motion passed on a recorded roll call vote.

The board also asked staff and the ad hoc to press the district to evaluate all potential suitors and to make sure new district board members have the information needed for due diligence. The county does not control the district but said it will continue to provide input and press for protections in any transaction documents.

The ad hoc will reconvene and the requested one‑page summary will be provided to the board and posted publicly before the next regular meeting.