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-Editorial
Residents gathered at the El Centro Public Library for a community meeting hosted by El Centro Regional Medical Center (ECRMC) CEO Pablo Velez and Board President Tomas Oliva, where they provided an update on the hospital’s status.
Velez and Oliva presented a comprehensive report addressing the facility’s financial and operational challenges, followed by an open Q&A session that allowed attendees to voice their concerns and ask questions about the hospital’s future.
Vélez reported a steady increase in outpatient visits at El Centro Regional Medical Center (ECRMC), rising from 50,369 in 2022 to 54,273 in 2024, reflecting the growing demand for healthcare services in the region. Notably, 41% of patients at ECRMC are from El Centro, while the remaining 59% come from other cities in the Imperial Valley.
As of April 30, 2024, El Centro Regional Medical Center owes $112.9 million in bonds initially funded by Preston Hollow Community Capital (PHCC) in 2018. PHCC has since provided over $51 million in support, covering costs for analyses, construction monitoring, legal fees, and working with the City of El Centro and UCSD on long-term management plans. This collaboration led to the successful completion of the Joint Powers Authority in May 2024.
During public discussion, a contentious exchange between board president Oliva and concerned Heber resident Dihana Garcia-Ruiz spotlighted the ongoing debate over women’s healthcare services in Imperial Valley. The closure of ECRMC’s maternity services and their consolidation with Pioneers Memorial Hospital in Brawley has drawn significant criticism.
Oliva defended the decision, citing economic challenges. “The maternity program was costing $3 million annually. Doctors were working at both hospitals, charging for on-call availability, patient care, and delivery,” Oliva explained. “In November 2022, we were informed that if these expenses continued, ECRMC could face closure by January 2023. Consolidating services ensures sustainability.”
He emphasized that emergency services for labor would still be available at ECRMC, while scheduled deliveries, such as C-sections, would take place at Pioneers.
Garcia-Ruiz countered, highlighting the human impact. “You just said 13 births occur monthly—those are 13 lives. A child’s birth cannot always be scheduled. I had two children by C-section after 36 hours of labor. You can’t put a price on that,” she argued. “This decision also affects hysterectomies and other procedures now sent to Brawley. It’s insulting and dangerous.”
Oliva responded, stating, “We can respectfully agree to disagree. Transparency is an overused term. While births aren’t always planned, many are—like scheduled C-sections.”
Vélez, who joined El Centro Regional Medical Center (ECRMC) as CEO in April 2024, explained the difficult decision to close the hospital’s labor and delivery unit, citing significant financial and logistical challenges.
“This is not unique to Imperial Valley,” Vélez said. “Multiple hospitals across the country have closed their labor and delivery services. To keep such a unit operational, you need obstetricians, anesthesiologists, operating room technicians, and nurses available at all times. When we reviewed the data, ECRMC was delivering only 13 patients a month, making the costs unsustainable.”
Vélez noted that consolidating services with Pioneers Memorial Hospital allows them to absorb all deliveries, creating a more viable program. He added, “This has also happened in San Diego, where several hospitals have faced similar competition and financial pressures.”
Oliva also addressed longstanding issues in Imperial Valley’s healthcare system and the urgent need for reform, highlighting challenges experienced during the COVID-19 pandemic.
“During the COVID-19 pandemic, history might incorrectly state that the first COVID-19 patient in the region was at El Centro Regional Medical Center,” Oliva explained. “This is not true. The first patient was at Pioneers Memorial Hospital, but the CEO at the time refused to acknowledge it.”
Oliva further revealed that this lack of transparency created obstacles during the crisis. “We couldn’t determine ICU bed availability or get accurate reports on COVID-19 cases from both hospitals. This mismanagement highlighted the rivalry between the two hospitals, which failed to cooperate and report critical data to the County Public Health Department.”
To address these issues, Assembly Bill 918 was introduced, mandating collaboration between ECRMC and Pioneers Memorial Hospital. The bill proposes consolidating leadership and services, operating under a single license, and achieving “sole hospital designation.” This would increase reimbursement rates for Medi-Cal and Medicare, as the next nearest hospital is more than 50 miles away.
According to Oliva, this move could generate an additional $6–$9 million annually, allowing the system to repay debts, expand services, and reopen previously closed facilities. The newly established Imperial Valley Healthcare District would oversee the unified system.
“This collaboration represents a necessary step toward a more efficient and equitable healthcare system for Imperial Valley,” Oliva concluded, emphasizing the unsustainability of the current rivalry and the need for a cooperative future.
Hospital Acquisition
On November 5, the Imperial Valley Healthcare District (IVHD) proposed acquiring El Centro Regional Medical Center (ECRMC) for a symbolic price of $1. The agreement, designed to address the hospital’s financial challenges, includes transferring at least $10 million in cash and retaining no more than $23 million in liabilities. The City of El Centro will provide $2 million in semiannual payments starting in 2025 until IVHD secures voter-approved funding, and maintain ECRMC’s cash reserves during the two-year transition. The deal also includes provisions for due diligence, indemnification, and governance frameworks, with both parties aiming to finalize the agreement within 90 days.
