DAP Health selected to acquire Borrego Health system
DAP Health was to take over the Borrego Health system, officials announced on Wednesday.
The Borrego Health Board of Trustees selected DAP Health to acquire the Borrego Health system based on a process conducted through Borrego Health’s Bankruptcy Court proceedings. Borrego Health filed for Chapter 11 bankruptcy in September.
The move still needs to be approved by the Bankruptcy Court and Health Resources & Services Administration. Once approved, DAP Health would assume control of all Borrego Health clinics along with operational and administrative support from Innercare and Neighborhood Healthcare.
Officials said DAP Health plans to operate Borrego Health with an eye toward optimization and stabilization, ensuring community access to integrated health services well into the future.
“Borrego Health delivers high-quality, essential care, and we began this process because the communities we serve need that care to continue,” said Rose MacIsaac, Chief Executive Officer of Borrego Health. “I am confident in DAP Health’s commitment to ensure our patients continue receiving culturally competent care from clinicians and support staff with local experience. I am looking forward to now collaborating with this alliance of well-respected providers to shape a smooth transition that does not interrupt patient care or team members' careers."
Borrego Health clinics remain open, and patients do not need to reschedule appointments as a result of this announcement.
Borrego Health has clinics all throughout Southern California, from San Bernardino County down to San Diego County. In 2021, Borrego Health served more than 120,500 patients and had more than 463,000 visits. Locally, it operates clinics in Cathedral City, Palm Springs, Desert Hot Springs, Indio, Thermal, and just recently opened one in Coachella.
Borrego Health officials said this decision is a culminating step in a process to sell Borrego Health’s operations to "a like-minded federally qualified health center."
"Borrego Health’s goal throughout the process has been to secure continued access to a health home and safety net for the patients and communities it serves," reads the announcement by Borrego Health officials.
“DAP Health is encouraged by today’s news that our bid is being advanced by Borrego Health to a court hearing to consider approval of the sale,” said David Brinkman, Chief Executive Officer of DAP Health. “We entered this process with one goal – to ensure that people who receive care today will find the doors to that care open tomorrow. It is with great humility, and with Borrego Health’s patients in mind, that we await a final decision.”
The Board’s selection will now be taken to the Bankruptcy Court and Health Resources & Services Administration for the necessary approvals, with the final sale hearing in Bankruptcy Court now scheduled for Wednesday, March 1 at 10 a.m.
Stay with News Channel 3 for continuing updates.
