Waukegan aldermen, mayor urge state and county engagement as Vista Medical Center staff and vendors go unpaid

Aldermen and the mayor used the council docket on May 4 to spotlight growing concerns about Vista Medical Center East after aldermen reported employees had been paid late, utility bills were unpaid and private-equity owners had floated a plan to sell a parking lot to cover tax obligations.

"They did eventually get their pay," Alderman Florian said during committee discussion, but she told colleagues she had received constituent reports that staff had worked under "extremely trying" conditions for months and that the hospital’s water bill to the city exceeded $300,000 and had gone unpaid for over two years. "I have residents that are frightened that they're going to be taken by ambulance to Vista and won't be cared for properly," she said.

Council members repeatedly noted the city does not license or operate the privately owned hospital and lacks full authority to intervene, but Mayor Cunningham and others said Waukegan would not be a bystander. "We are collaborating with county, state and federal partners to ensure residents in Waukegan and northern Lake County have access to high-quality health care," the mayor said during his remarks, adding that all options—private, nonprofit and public—were on the table.

Several aldermen urged direct engagement by state regulators and county health officials. Alderman Florian said she had reached out to state legislators and county board members but had been told details were not shareable; others described a working group involving state legislators and community leaders that had met previously but not recently.

Residents and council members flagged rapid calendar deadlines: a private lien holder’s court date was noted by a public commenter as July 10 and a June 12 cash deadline was cited as a looming trigger for potential ownership change. Council members encouraged public participation in a Lake County listening session hosted by the Illinois Department of Healthcare and Family Services, the Illinois Department of Public Health and the Lake County Health Department on May 14, 5–7 p.m., at 3010 Grand Avenue in Waukegan.

What happens next: Council members asked staff to continue outreach to county and state partners, monitor creditor timelines, and to keep the public informed of any developments. Aldermen emphasized the need to protect city claims on unpaid water charges and explore coordination to prevent an unwanted transfer of ownership or a disruption in patient services.