MONTPELIER, Vt. (WCAX) - Rutland Regional Medical Center will not close its inpatient pediatric unit after all, according to the Green Mountain Care Board.

The hospital had announced the plan to close the five-bed unit later this month as a cost-cutting measure.

Some local residents told WCAX they were dismayed by the decision.

During a hearing on Friday , regulators questioned why the hospital didn’t negotiate better Medicaid reimbursement rates with the Agency of Human Services, and why it made the decision without consulting the community.

The hospital on Thursday backtracked, filing a notice that the unit will remain open for now.

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