The Associated Press - Gov. Linda Lingle released $12.7 million last week to help the financially troubled organization that governs Hawai‘i’s 13 publicly subsided hospitals. The money includes an advance of Hawai‘i Health Systems Corp.’s second quarter allocation of $11.8 million to help pay down its accounts payable balance. The remaining $923,000 in general obligation bonds is for capital improvement projects at Hilo Medical Center, Kona Community Hospital and Leahi Hospital. The hospital network is on track to lose $62 million during the current fiscal year.

Senate President Colleen Hanabusa has said the system would run out of money and be forced to shut down in November if it didn’t cut costs or if new funds weren’t appropriated. Lingle previously released the first quarter allocation of $12.8 million in early July at the start of the current fiscal year. HHSC uses the allocations to pay its primary pharmaceutical supplier and other vendors that provide essential goods and services to the hospitals, state officials said.