SAN LEANDRO (KCBS) – The Alameda Health System, formerly known as the Alameda County Medical Center, plans to take over San Leandro Hospital, officials confirmed this week.

Published reports began circulating late Monday, and the county confirmed the news Tuesday that Sutter Health would donate San Leandro Hospital to Alameda Health System and provide $22 million in funding to facilitate the transition.

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San Leandro Hospital is a 93-bed facility, and serves an estimated 27,000 patients annually in its emergency room. But, it has been something of a financial drain for Sutter, losing an estimated $40 million between 2011 and 2012.

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Alameda Health System already runs Highland Hospital and several other health care facilities throughout the county. The transfer of ownership of San Leandro Hospital was expected to be completed in October.

“Sutter had wanted to close the hospital for a number of years,” said Alameda County Supervisor Wilma Chan, who is credited with helping to negotiate the deal.

“I’ve been working for three years now to keep the hospital open,” she said. “But instead, we were able to broker a deal.”

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