Officials from Pennsylvania and Delaware Fawy recently made an extraordinary decision to ensure $ 20 million to maintain the financial fight of the Crozer-Chester Medical Center and Taylor Hospital during the bankruptcy of their owner.
It was not the first time Pennsylvania undertook to alleviate the collapse of a hospital company supported by private equity.
Last autumn of Pennsylvania provided $ 4.5 million from September to November to maintain the Health Care steward, in another high -profile bankruptcy, from the closing of the Sharon Regional Medical Center in West Pennsylvania.
In addition, the state paid USD 600,000 for an emergency repair.
It wasn’t enough.
After the state absorbed Sharon’s losses for three months, the steward demanded that Pennsylvania undertake to ensure $ 3 million a month from December to maintain the opening of a 163-person institution, the office of the Prosecutor General informed in December in the bankruptcy court.
Otherwise, the steward intended to close a 125-year-old hospital, notification. And it is What happened.
Steward made a notification of closing on December 16, and the hospital was closed three weeks later. It was five days before the bankruptcy of Prospect Medical Holdings, which is the owner of Crozer-Chester and Taylor.
Confusion in communities at the opposite ends of Pennsylvania – Sharon on the border with Ohio between Pittsburgh and Erie and Crozer in the south -eastern part of Pennsylvania – are examples of the precipitation of the local property of the hospital by the National Property of National Property by National by the National Property Companies that were covered by selected officials and community leaders in order to determine the priorities of their own profits.
What’s next for Sharon
The buyer appeared in Sharon and is working on re -opening the hospital, with the financial support of local foundations, municipalities and hospital owner, Medical Properties Trust, who wants to still collect rent.
The buyer is a non-profit organization created by Tenor Health Partners, a company focused on Pasaden’s profit in California, which is described as a company dealing with a hospital return. Tenor paid $ 1.9 millionAccording to New Castle News.
The founder of Tenor is Radha Savital, a lawyer who worked for Prime Healthcare Inc., a profit -oriented company, which is the owner of three hospitals in the Philadelphia region, according to the tenor website. Savitala told local media last week that “soft opening” It can happen last Friday.
According to local messages, this week the company was still waiting for licensing from the Department of Health of State.
If Tenor manages to open and effectively lead Sharon Regional, this would be a uncommon achievement.
According to Inquirer Countege, this has not happened for over a decade at least in south -eastern Pennsylvania. The Health Department did not answer for examples of hospitals elsewhere that were re -opened.
A similar scenario in Crozer?
Prospect Medical Holdings has been saying for weeks that there will be no money to open CROZER-CHESTER MEDICAL CENTER IN DELAWARE COUNTRY IN UPAND and Taylor Hospital at Ridley Park, which supports a low -income area without simple access to other healthcare options.
When demanding $ 20 million in government money to maintain open hospitals for 30 days, Prospect advertises the upcoming sales of a non -profit consortium. He did not call any organizations in the group.
Officials of State and County agreed to deliver money, if Prospect agreed that the momentary manager, known as the recipient, would take control of the Crozer hospital and doctors’ offices for 30 days.
The bankruptcy judge supervising the Prospect case agreed to this agreement on February 6.
During this hearing, the Chief Advocate for the bankruptcy of perspective said that the obstacles remained in the sale of Crozer unidentified consortium of local non -profit care systems.
“You should take some steps and I hope that in the next 30 days they will be taken to make sales more profitable,” said Thomas R. Califano from Sidley Austin.
According to doctors who are not authorized as a recipient, FTI Consulting, she came to Crozer on February 10 and tried to understand Crozer’s finances, who are not authorized to publicly talk about Crozer.
What happens after 30 days is unclear. Prospect previously closed two other Crozer hospitals in Springfield and Drexel Hill.
»Read more: Crozer Health since Prospect acquired him in 2016: Schedule
The Chief Bankruptcy Advocate, Thomas R. Califano, said last week that he expected him to return before the judge regarding the other two Crozer hospitals ago 30 days.
“I hope for sale,” said bankruptcy judge Stacey Jernigan quietly.
A representative of Leanne Krueger, a democrat, whose district includes Crozer-Chester, in a message from February 11 for voters summed up the situation in the healthcare system, currently under FTI.
“Despite earlier Prospect and Crozer ads about sales, The system has not been sold yetshe said. “I am carefully sanguine that we have avoided disordered closing, which selected officials worked at all levels to prevent.”
