NATCHEZ — The Adams County Board of Supervisors has received the financial reports from Natchez Regional Medical Center the board members expressed frustration over not receiving earlier this week.

Some of the supervisors complained during their board meeting Monday that information provided by the hospital about its finances was not what they had asked for.

Instead of financial statements, the documentation provided had been patient census information, which the supervisors said was not what was required under an agreement the board had signed in March for the hospital to get a line of credit with United Mississippi Bank.

The agreement stipulates the hospital must provide the supervisors and the bank with regular financial updates. The line of credit is used to finance the hospital’s accounts receivable as needed.

Board attorney Scott Slover said the hospital provided the financial information — a 26-week projection — Tuesday afternoon.

“They had sent it to us before, and they said it won’t happen again,” Slover said.

“The financials looked much better — and you would hope that in the middle of a bankruptcy proceeding you would be able to get your head over water — and since the finances look much better, the only thing that makes sense was that there was an oversight.”

The hospital’s attorney, Walter Brown, apologized for the apparent miscommunication, Slover said.

Brown did not return a message left Wednesday afternoon.

Supervisor Mike Lazarus, who was one of the board members who expressed concern about the statements, said he hadn’t had a chance to review the financial information but was pleased to have it available.

“I would like to think it was all just a mistake,” he said. “When the deal was made, we were supposed to get the same finances as the bank, and that is what we were expecting.”

Even as the county-owned hospital continues through the Chapter 9 bankruptcy process, negotiations to finalize its sale continue.

The hospital has entered into a letter of intent with Community Health Systems — the parent company of Natchez Community Hospital — and is negotiating to finalize an asset purchase agreement.

“I think the agreement is very close,” Slover said. “The letter of intent is the major principle of the agreement, which was reached weeks ago, and a lot of what is happening now is a lot of legalese and what will be the procedure of things.”

Supervisors President Darryl Grennell said he has not gotten a significant update about the process of negotiations since meeting with representatives of CHS two weeks ago when they were in town to do due diligence.

“I am just waiting to hear from them to find out what the next step is,” he said. “I am hoping no news is good news.”

The supervisors will have to approve any asset purchase agreement before the sale moves forward.

If they approve the asset purchase agreement and adopt a sale resolution, the hospital will be advertised for sale.

Once the notice advertising the sale is published, county residents have the option of filing a petition asking to take the sale to a voter referendum for approval. The petition would require 1,500 signatures to take the matter to a vote.

If a successful petition is not filed, the hospital can go to sale without further objection.

After 30 days, NRMC will be go up for auction, and if no one outbids the negotiated agreement, the sale will automatically close with CHS. Even if someone submits a higher bid than CHS’ negotiated base price, the company can submit a new, higher bid to remain competitive in the auction.

NRMC opened in 1960 as Jefferson Davis Memorial Hospital. Its $2.4 million construction was underwritten by an $800,000 local contribution and state and federal funds.

It has been financially independent since 1974 and does not receive tax support, but is backed by a 5-mill standby tax that the Mississippi Development Bank required the hospital to get in 2006 when it asked for the MDB to reissue its revenue bond.

The hospital board of trustees announced in February its intention to declare bankruptcy, citing at the time a $3 million deficit between financial assets and liabilities.

The bankruptcy proceeding is moving forward in federal courtrooms in Jackson and Natchez.

The county supervisors appoint the hospital’s volunteer trustees.