Jacksonville hospital operating without state license

Alabama’s health agency has notified Regional Medical Center that it has been operating Jacksonville's hospital without a license since September due to a paperwork discrepancy.

The hospital is expected to resolve the issue avoiding any possible impact to its services or enforcement action from the state.

The lack of a license is an issue that triggered some of the conflict between the city of Anniston and RMC's board that landed both in court earlier this year.

According to a Nov. 25 letter that the Alabama Department of Public Health sent to RMC, the agency had recently reviewed the status of the license to operate RMC Jacksonville and determined RMC was not in compliance. The letter states that the RMC board merged with RMC Jacksonville in September, but failed to file a change of ownership application with the department to receive a new license. Though the board has owned RMC Jacksonville for almost two years, it has operated the hospital through QHG of Jacksonville, Inc., a nonprofit corporation. The merger wiped QHG from existence, but left its name on the 2014 operating license.

The letter also states that to resolve the matter, the board should file an application, along with a license fee, on or before Dec. 12 to receive a license by Jan. 1.

City officials in recent months have said RMC conducted the merger to circumvent a city ordinance that mandates consent from the City Council before relocating RMC property to an outside facility.

The property in question includes 15 geriatric psychiatric beds. RMC recently applied for approval from the State Health Planning and Development Agency to move the beds from Anniston to RMC Jacksonville at a cost of approximately $3.2 million.

City attorney Bruce Downey has said the lack of a proper operating license could put the board in violation of certain federal regulations, possibly jeopardizing its ability to bill for services through Medicare and Medicaid at RMC Jacksonville.