Bankrupt Alabama Hospital Gets Nod for City’s $22.5 Million Deal

April 9, 2026, 4:44 PM UTC

The city of Montgomery, Ala. secured court approval to provide $22.5 million in emergency funding to Jackson Hospital & Clinic Inc. to help the bankrupt health-care provider as it works to reorganize its operations.

Jackson Hospital, a 344-bed hospital, got the nod Wednesday from the US Bankruptcy Court for the Middle District of Alabama. The city’s funding agreement comes after Montgomery County was approved to contribute up to $17.5 million to the hospital in February.

The funding will be used “to restore and continue healthcare services from Jackson Hospital to the citizens of Montgomery and central Alabama,” the hospital said ...

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