North Country HealthCare, Inc., a healthcare provider with clinics across northern Arizona, has filed for Chapter 11 bankruptcy protection, according to documents filed Dec. 19, in the U.S. Bankruptcy Court for the District of Arizona.
Chapter 11 bankruptcy allows an organization to continue operating while it reorganizes its finances under court supervision. It is often used by businesses and nonprofits facing cash-flow challenges or mounting debt but seeking to avoid closure.
Court filings show North Country Healthcare reported tens of millions of dollars in both assets and liabilities, along with more than $15 million in money owed to the organization, largely from insurance companies and government healthcare programs. The filing lists more than 1,000 creditors, including medical suppliers, staffing agencies and financial institutions.
The bankruptcy paperwork lists clinic properties in Winslow and Holbrook among the organization’s assets. Both locations are owned by North Country Healthcare and are part of its network of rural health clinics serving northern Arizona communities. The filings also show that several properties, including the Winslow and Holbrook clinics, are tied to long-term financing and federal healthcare funding agreements. On the day of the filing, North Country Healthcare submitted multiple requests to the court asking for permission to continue normal operations while the case moves forward. These requests included paying employee wages and benefits, maintaining bank accounts, continuing relationships with vendors, using existing cash, and obtaining short-term financing to cover operating expenses. Court records show that some of these requests have already received interim approval.
The Painted Desert Tribune submitted a set of nine questions to North Country Healthcare leadership seeking clarification on potential local impacts. Those questions focus on whether the Winslow and Holbrook clinics will remain open, whether staffing or services could change, whether clinic properties could be sold, and how patient care may be affected during the bankruptcy process. As of publication, those questions have not yet been answered.
A meeting of creditors is scheduled for Jan. 27, 2026, with additional hearings expected in the coming months as the court reviews financing arrangements and the organization works toward a reorganization plan. Any major decision, such as selling property, reducing services, or closing facilities, would require court approval and would be reflected in public filings.
