Irondale’s breach of contract lawsuit against Trinity Medical Center will proceed, a Jefferson County Circuit Court judge ruled Tuesday.
Trinity Medical Center attorneys said the east Birmingham hospital never agreed to build a hospital in Irondale and asked a Jefferson County judge Thursday to dismiss the city’s lawsuit seeking financial damages.
National insurance firm Allstate could play a pivotal role in helping Irondale unwind $32.2 million in bonds the city issued to aid Trinity Medical Center’s now aborted relocation effort.
Council members tabled the pay-cut discussions to have time to review Alexander’s proposed budget lineby- line and to listen to suggestions from city employees, including the local’s members, about what can be adjusted in the budget to prevent pay cuts.
Under Councilman Craig Sanderson’s resolution, the mayor would have had options including reaching a settlement with the hospital and Daniel Corp. to pay off the debt, reaching a payoff arrangement with bond holders or filing for Chapter 9 bankruptcy in federal court.
The rest of the council — including Alexander — voted against the resolution that would have given the mayor those powers instead of the council.
from al.com
By Anna Velasco — The Birmingham News
A Birmingham-Southern College professor of business said Trinity Medical Center’s proposed relocation to U.S. 280 would have a far less beneficial economic impact than the hospital’s expert predicts.
Testifying Monday in a hearing over whether Trinity should be allowed to move from Montclair Road to U.S. 280, Stephen Craft [...]
The Irondale City Council on Tuesday is expected to discuss allowing Mayor Tommy Joe Alexander power to resolve the city’s debts concerning Trinity Medical Center’s abandoned plans to move to Irondale, with bankruptcy listed as one option.
It is unclear how Langford’s sixty count conviction will affect the Fortune 500 company’s decision to move to Highway 280. Langford’s close involvement in the 280 move could cause further public relations problems for Community Health Systems who is already under fire from the U.S. Justice Department over alleged Medicaid fraud at a New Mexico hospital and is facing a labor dispute in Pottstown, Pennsylvania. Community Health Systems is also currently in negotiations with a hospital in Porter County, Indiana in a land purchase similar to the deal with Irondale.
The reason Trinity decided to move to U.S. 280, and not to Irondale as originally planned, was to be closer to more affluent patients with insurance, they said.