Lake Shore Health Care Center in Irving still is waiting for an infusion of $1 million in state money but remains open as its case makes its way through U.S. Bankruptcy Court in Buffalo.
There were few developments at Monday’s hearing in bankruptcy court, but the hospital soon should have access to the $1 million promised from the State Dormitory Authority – money the hospital is relying on to fund operations long enough for a buyer to make a binding purchase offer.
The hospital has relied on money advanced by a parent company and affiliated hospital to keep open its doors. Hospital officials are confident they have enough on hand to stay open until the state funding is released, possibly in the next few days.
Lake Shore’s operator, TLC Health Network, had filed for bankruptcy protection in December and the hospital was threatened with closure in January. The next bankruptcy hearing in the case is scheduled for Feb. 19.
Also Monday, U.S. Sen. Charles Schumer, D-N.Y., urged the Federal Emergency Management Agency to release $1 million in reimbursements that Lake Shore could apply to its operations and further ease its financial crunch until a buyer is found.
Lake Shore and its parent spent the $1 million on various projects, including the demolition of a storm-damaged hospital in Gowanda, and the hospital is awaiting repayment from FEMA.