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Watsonville Community Hospital to receive $8.3 million in zero-interest loans through state program

Source: Santa Cruz Sentinel

WATSONVILLE — Watsonville Community Hospital was one of 17 health care centers throughout California to receive no-interest loans under the Distressed Hospital Loan Program, announced earlier this year by Gov. Gavin Newsom. Watsonville will receive $8.3 million in loans.

The announcement was made Thursday by the California Department of Health Care Access and Information.

The program was established through Assembly Bill 112, which aimed to author no-interest, working capital loans to hospitals and nonprofits facing financial difficulties. The bill was sponsored by Sen. Anna Caballero, D-Merced; Assembly Speaker Robert Rivas, D-Salinas; and Assemblywoman Esmeralda Soria, D-Merced. Soria authored the legislation following the closure of Madera Community Hospital in her district. The bill unanimously passed both the Assembly and Senate and was signed into law by Newsom on May 15.