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City of El Centro Releases Open Letter on ECRMC Transfer to Regional Healthcare District

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-Editorial

The City of El Centro has publicly addressed community concerns regarding the future of El Centro Regional Medical Center (ECRMC) in an open letter published July 23. The letter outlines the city’s involvement in the hospital’s transfer to the Imperial Valley Healthcare District (IVHD) and reaffirms El Centro’s commitment to transparency and long-term healthcare stability for the region.

The open letter comes amid growing public concern over the hospital’s ownership transition. City officials acknowledged the concerns raised by healthcare workers and residents and stated that they are engaged in a deliberate process to ensure a successful outcome.

“The City of El Centro recognizes the strong feelings and concerns surrounding the future of El Centro Regional Medical Center,” the letter states. “We hear the frustration… and we want to assure the public that we are actively engaged in a thoughtful, thorough process.”

The Imperial Valley Healthcare District was established to unify local healthcare services under a single, regional structure. While El Centro was not obligated to transfer ECRMC to this new district, the city opted to do so, calling it a proactive step toward building a more resilient and integrated healthcare system for Imperial County.

Since the early stages of IVHD’s formation, the city has supported the district’s development, offering meeting space, city staff assistance, and logistical support, according to the letter. This early involvement, officials noted, came at no cost to the district.

On March 11, 2025, the El Centro City Council approved a term sheet outlining the proposed transfer of hospital assets. Since then, city officials, in coordination with IVHD and legal counsel representing multiple entities, have been working to finalize the Asset Transfer Agreement (ATA). The agreement outlines the legal, financial, and operational conditions of the hospital’s transition. Officials stated that the process is in its final stages, though a full transfer is expected to take at least six months from the date of execution, by regulatory timelines.

A key topic addressed in the letter was the employment status of ECRMC staff. The city confirmed that all employees would be temporarily terminated during the transfer, but emphasized that they would be immediately rehired by IVHD. Officials underscored that this legal step does not signal layoffs or job losses, and that the district’s financial condition is expected to improve following the completion of the transition.

To further support the process, the City of El Centro has committed to transferring hospital-related real estate, valued at approximately $200 million, to the district. This includes the 161-bed seismically compliant hospital and associated facilities. The city will also provide a $5 million payment at closing, in addition to reimbursing some closing costs, with the stipulation that the funds be used solely to strengthen healthcare services in Imperial Valley.

City officials emphasized the importance of protecting the city’s financial well-being throughout the process. While IVHD is tasked with managing healthcare operations, the City of El Centro retains responsibility for maintaining municipal services and fiscal stability. “Every decision made must reflect this broader obligation to safeguard the financial health and long-term prosperity of the entire city,” the letter states.

The letter also highlighted the city’s continued investment in local government operations and staffing. The recently approved municipal budget includes expanded services, the conversion of temporary positions to permanent roles, and new staffing designed to better serve a growing population.

In closing, city officials expressed appreciation for the efforts of healthcare professionals, city workers, and residents during the transition period.

“We understand that uncertainty can be challenging,” the letter concludes. “We appreciate [the] dedication and thank all residents, healthcare workers, and city staff… as we navigate this important and complex process with care, responsibility, and the seriousness it deserves.”

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