Nurses at county's only acute-care hospital demand Hazel Hawkins remain fully open, pointing to robust financial statements

Registered nurses at Hazel Hawkins Memorial Hospital (Hazel Hawkins) will hold a town hall on Thursday, July 6, to discuss the future of San Benito County’s only acute-care hospital and why nurses took a no confidence vote in the Board of Directors of the San Benito Health Care District after they decided to file for bankruptcy. 

“As nurses, we provide vital and critical care for people from all over San Benito County who would not be able to find it anywhere else in the county,” said Sonia Duran, a registered nurse in the medical-surgical unit. “It is imperative that Hazel Hawkins remains a full service hospital with no cuts to services. We have already seen our ICU closed for more than a month: staff are leaving due to the administration’s threat to invalidate the negotiated union contract and concerns over the hospital’s future. We demand that the district adopt a spirit of collaboration and transparency in order to best serve the health needs of all the people of San Benito County.”

• What: Town Hall on Hazel Hawkins Memorial Hospital’s future 
• When: Thursday July 6, 6 p.m. to 8 p.m.
• Where: Strada Verde, 354 1st Street, Hollister, Calif.

In February, Hazel Hawkins’ interim CEO published a column outlining why the district believed a bankruptcy filing would negatively impact the community. Nonetheless, in May, the district reversed course even though financial statements released by the district the next month indicated the hospital had nearly $15 million in cash reserves – up more than $2.8 million from the month before, and far more than the $8 million the district had projected in its bankruptcy filing.  

“Why is the district acting as if the hospital is in the midst of a financial calamity, when its own financial statements show the hospital is faring better than it has in years past?” said Diane Beck, a registered nurse in the medical-surgical unit. “Over the last few months, the hospital has improved its cash-on-hand situation significantly. Yet, we have the district board screaming, ‘fire!’ and irresponsibly causing an exodus of nurse staff that threatens the health of this community. Why? How did this district come up with doomsday projections that have turned out to be so wrong? Certainly, when one looks at the situation in June compared to the district’s bankruptcy projection, it is natural to question their competency or their motivations.”

Nurses recognize that Hazel Hawkins is the largest employer in Hollister, and as such, understand the economy of the entire community is tied to the health of this hospital. Nurses are concerned that the district’s recent threats, to invalidate union contracts and cut benefits, will have a chilling effect on the economic health of the community.

On June 22, Hazel Hawkins nurses informed the district they had taken a no confidence vote citing the district’s lack of transparency. CNA has repeatedly asked the district to explain how it calculates its projections, but as of yet has not received a clear response.

“Threatening to invalidate nurse contracts is union-busting, plain and simple, and a slap in the face to the frontline workers who put their lives and their families’ lives on the line for our community during the pandemic,” said Jean Cohen, the executive officer of the South Bay AFL-CIO Labor Council. “Cutting nurse benefits is a short-sighted move. Not only does it trample on the sacrifices made by health care workers, but as the largest employer in Hollister, this union-busting move jeopardizes our local economy and patient care.”

In addition, the San Benito County Board of Supervisors put out a press release on June 7 expressing their own concerns that the district was not willing to be transparent: “...when the County discussed their interest in collaborating with Salinas Valley with hospital representatives, they were told that the hospital [Hazel Hawkins] was not willing to permit the County and Salinas Valley Health to conduct due diligence…”

Nurses understand it is important for the district to find a path to ensure that Hazel Hawkins is financially sound. However, they have seen what happened to Watsonville Community Hospital when for-profit administrators partnered with private equity to take over the facility, leaving the hospital bankrupt.

“We are willing to work with the district, which is why we agreed to delay a negotiated wage increase, but we cannot abide seeing our agency stripped away and our union busted,” said Ariahnna Sanchez, a registered nurse in the emergency department. “We are encouraged by the determination and power of our union siblings who, through a fierce fight and community support, were able to make Watsonville Community Hospital a hospital that once again served its community. We want to see Hazel Hawkins leadership acknowledge that they are directly accountable to the community they serve and follow the community’s lead as they pursue future partners.”  

Over the last five years, Hazel Hawkins has received about $20 million from property taxes collected by San Benito County. Last December, the San Benito County Board of Supervisors agreed to give Hazel Hawkins a tax advance of more than $2 million. In January, the hospital was granted a $3 million loan by the state.

California Nurses Association/National Nurses United is the largest and fastest-growing union and professional association of registered nurses in the nation with 100,000 members in more than 200 facilities throughout California and nearly 225,000 RNs nationwide.