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Montgomery County Commission approves amendment to Jackson Hospital funding agreement

Montgomery County Commission · April 14, 2026
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Summary

The county approved changes to its agreement with Jackson Hospital, including a three-year payment schedule and added audit and monthly reporting requirements; the vote was unanimous. County staff postponed a separate ARPA small-business amendment to April 21.

The Montgomery County Commission on April 14 unanimously approved an amendment to the county’s funding agreement with Jackson Hospital and Clinic, Inc., updating audit reporting and the timing of future payments.

Under the amendment filed with meeting materials, the County would provide a $10 million initial payment “within a reasonable time” after receiving the required documentation. An additional $7.5 million is scheduled to be paid in increments over three years beginning in 2027 — $2.5 million to be paid no later than Feb. 1 of 2027, 2028 and 2029 — subject to the county’s receipt of required supporting documentation, the amended agreement says.

The amendment specifies that Jackson Hospital must provide the county administrator with a copy of its consent to an annual financial audit that includes “all use and allocations of the Funding.” It also requires monthly invoices or reports demonstrating current use, allocations and intended future allocations of the funds; those invoices must be submitted “no later than the 10th day of each month” until funding is expended.

Commissioner Justin Castanza moved to approve the amendment; Vice Chairman Carmen Moore‑Zeigler seconded, and the motion carried unanimously.

The agenda packet included a longer draft agreement describing the county’s and hospital’s mutual intent to “ensure continuity of healthcare services to citizens of Montgomery” and lists the payments and documentation requirements described above. The draft also says, consistent with a January 2026 bankruptcy-court order included in the packet, that the ARPA funding cannot be used to satisfy indebtedness incurred by the hospital before Nov. 1, 2025.

Separately, the commission considered but postponed action on a proposed amendment to the ARPA-funded Montgomery Thrive small-business program; staff said the Thrive amendment would return for consideration at the April 21 meeting. The Thrive materials in the packet propose reallocating certain ARPA small-business funds and shifting some program administration to a third-party manager, but no final county action was taken April 14.

What happens next: County staff will provide public copies of the executed amendment and monitor the hospital’s required monthly reporting and audit files per the new terms.