East San José Hospital Trauma Center Restored on First Day of Public Ownership

Santa Clara County has officially brought a crucial regional hospital into public ownership, following more than a year of turmoil that was touched off when a national health care corporation announced it would shutter the East San José facility’s trauma center and downgrade services.

Tuesday marked the first day that Regional Medical Center is operating under the umbrella of Santa Clara Valley Healthcare — the county’s public hospital and clinic system — joining Valley Medical Center and O’Connor Hospital in San José, as well as St. Louise Regional Hospital in Gilroy.

The county announced Tuesday that the facility’s Level II trauma center, which was downgraded by the hospital’s previous owner, HCA Healthcare, in August, has been restored and is fully operational again, along with other service reinstatements.

“This is about a commitment to excellence in service. This is about a commitment to ensuring access to health care. This is about providing opportunity to families who otherwise would go without,” James R. Williams, the county executive, said Tuesday during a ceremony at the facility,

Williams said the county board and other leaders have shown great leadership to ensure every resident in the county has access to quality health care.

“Even in the face of extraordinary challenges at the federal level, we are making that investment because we know what is possible, we know what is necessary,” Williams said. “We know what it means for the people who live here.”

The county’s takeover of Regional Medical Center follows months of negotiations with HCA over a purchase agreement. The county initially announced its plan to buy the hospital in August at roughly $175 million, which was reduced to $150 million in a January update from the county about the finalization of the deal.

The 258-bed hospital is the main emergency facility for East San José and much of the eastern portion of Santa Clara County. Nashville-based HCA sent shockwaves into the region when it announced in February 2024 that it planned to close the trauma center and completely eliminate severe heart attack services and downgrade stroke services in August.

Following months of public outcry, including protests and demonstrations by health care workers and local and regional elected officials, HCA partially backed off those plans in mid-July, though it still made several reductions in levels of service and care.

County officials warned the closures and reductions would significantly impact people living in the surrounding areas, including some of the most diverse and socioeconomically disadvantaged portions of the county.

More than half of the residents in the area are Latino, about a third are Asian American, roughly 11% are white, and just under 2.5% are African American. People living there face higher rates of chronic disease, trauma and poverty — and they are twice as likely to lack health insurance, the county said.

“Today is a great day for the county of Santa Clara and for the residents of East San José, and for our entire county community,” said Betty Duong, the District 2 supervisor for Santa Clara County, who represents the area where the Regional Medical Center operates.

Duong said her father was treated at the hospital when he was hit by a car, and her mother was treated there when she had a stroke, and she expressed gratitude to the roughly 1,000 staff members of the facility.

“For years, the Regional Medical Center staff has been part of our family. And now I am so proud to be able to say that I’m part of yours,” she said.

In addition to the trauma center, the county has brought back vital stroke and severe heart attack services, also known as the ST-elevation myocardial infarction (STEMI) program. Labor and delivery care, which was eliminated by HCA in 2020, will also eventually be offered again at the hospital under the county’s stewardship, officials said.

“We are restoring critical, life-saving services to our community through this important acquisition,” said Supervisor Otto Lee, president of the Santa Clara County Board of Supervisors.

Dr. Gloria Jiménez, a trauma surgeon who previously worked at Regional Medical Center before it was shuttered in August, asked to return to the staff and work the first shift at the reopened trauma center.

“I contacted the leadership, and I said, ‘I’ve been there, that’s my family. I want to go back home, and I want to be there the first day,’” Jiménez said. “Walking through the hallways this morning, it was like coming home.”

She said having the facility owned in perpetuity by the county will offer residents not only life-saving services closer to home but confidence they will always have access to care.

The county is paying for the purchase of the hospital almost entirely through reimbursements the county received from the Federal Emergency Management Agency last year for its pandemic-related expenditures.

Not purchasing the hospital would have also resulted in significant costs to the county, officials said, as the service cuts at Regional Medical Center would require an increase in staffing and facility space at Valley Medical Center — which houses the only other trauma center within 15 miles — to serve additional patients.

In the first month after services were cut at Regional Medical Center in August, Valley Medical Center’s trauma center saw a 50% increase in patients compared to the same period from the prior year.

Supervisor Susan Ellenberg, who was the board president at the time the purchase agreement talks began, said Regional Medical Center not only plays a vital role in the eastern portion of the county but helps balance the loads at the other county facilities.

“Our emergency departments are near capacity most days, and ensuring a healthy RMC means that patients in this area can get service close to home, leading to better outcomes for them and to less pressure and other E.R. locations, enabling everyone who needs emergency care to receive it in a timely manner,” Ellenberg said.

HCA faced significant criticism for its decision to cut services at Regional Medical Center and was accused by advocates and officials of putting profits over people’s health, as it estimated it would rake in $6 billion in profit for 2024 across its privately owned hospital portfolio.

The company’s proposal to overhaul and expand Good Samaritan Hospital in San José’s West Valley area also faced opposition from residents and community advocates, in large part due to its cuts in East San José. However, the San José City Council ultimately approved the major development plan in November.