FEMA to release $805K in critical funds to TLC Health Network
Today, U.S. Senator Charles E. Schumer announced that the Federal Emergency Management Agency has heeded his call to release $805,490 in already approved reimbursements owed to the TLC Health Network from two of the three outstanding Project Worksheets.
Schumer said the funds will help keep Lake Shore Health Care Center open until a buyer can be found and make it a more attractive commodity. The TLC Health Network is currently navigating Chapter 11 bankruptcy and struggling to keep Lake Shore up and running, as it quickly draws down on remaining available funds. Schumer has identified three outstanding PWs, where the hospital system has already spent the funds and FEMA has agreed the costs are reimbursable, but that FEMA has yet to reimburse for TLC.
Today Schumer secured the release of the majority of the funds for two of those three project worksheets, totaling $805,490 and said FEMA is committed to releasing the remaining soon. The money is currently at the New York State Emergency Management Office and can flow to the TLC Health Network immediately.
“Today’s news that FEMA is releasing over $800,000 in reimbursements to TLC is critical to Lake Shore Hospital and should give them more time to keep the hospital running while they search for a long-term buyer,” said Schumer. “Lake Shore Hospital provides an essential service for a small community, and I am doing everything I can to help them transition to new ownership, and reestablish stable finances. The FEMA reimbursements are a great first step – and they can be used immediately – but we will hold their feet to the fire to release the remaining funds.”
These worksheets have been pending for over a year, stemming from TLC-owned Tri-County Hospital in Gowanda, and reimbursements can be used immediately to help keep Lake Shore open for longer. Schumer announced that FEMA has approved: the final release of all funds from PW 807, totaling $385,419; and the obligation of most of the remaining funds from PW 1095, totaling $535,140. Subtracting a 12.5% local cost share means that TLC should receive $805,490 from SEMO. The other PW Schumer identified was PW 1126, which requires further information from TLC before it can be released by FEMA.