I believe the hospital was USA flagged.
No, it was in Panama.
The Canal Zone had not yet been incorporated to US territory and there was no hospital there yet.
That resolution was used as cover for Obama by the Democrats and the Republicans went along, knowing both were ineligible, because so many of their up and comers were also ineligible, Haley, Jindal, Rubio and Cruz.
Both parties wanted the Constitution changed withut the hassle of amending it.
They had tried dozens of times to get Congress to change it unsuccessfully.