Latest news with #CrozerHealthSystem
Yahoo
22-03-2025
- Business
- Yahoo
Deal reached to keep Crozer Health System open as search for long-term solution continues
MEDIA, Pa. - An agreement has been reached to keep the Crozer Health System in Delaware County "open and operational" as the search for a long-term solution continues. The Office of the Attorney General released a statement on Friday after a meeting with several parties, including Prospect Medical and the governor's office. The statement also said "we look forward to updating the bankruptcy court, which has ultimate approval authority over plans for Crozer, at our next hearing." A Texas bankruptcy judge had ordered the parties to meet by Monday afternoon to smooth over a disagreement about funding that emerged earlier this week. What we know Pennsylvania Attorney General Dave Sunday announced Friday night that a deal was reached to keep Crozer Health System in Delaware County "open and operational." "I am pleased to announce that an agreement was reached with The Foundation for Delaware County," Sunday shared in a statement. The future of Crozer Health System has remained uncertain after a judge recently called an emergency meeting due to a funding issue that threatened a life-saving sale. "The Foundation will be engaged with the still-developing plans for Crozer's restructuring — first under a receiver, FTI Consulting, and ultimately, its permanent non-profit owner," Sunday's statement continued. As all parties continue to work towards finding a "permanent owner," Sunday said he's confident that they "remain focused on preserving accessible healthcare for the Delaware County community and maintaining the workforce that provides that essential care." What they're saying The Delaware County Foundation released the following statement after Sunday's announcement: "We are pleased to announce that the immediate funding pieces necessary to bridge to a long-term solution are in place, per an agreement made with the Commonwealth's Attorney General. We are encouraged that the parties, today, remain focused where they should be — preserving accessible healthcare for the Delaware County community and maintaining the workforce that provides that essential care. Present for today's meeting were representatives from the Office of Attorney General, Governor's Office/Office of General Counsel, The Foundation for Delaware County, a Patient Care Ombudsman, FTI Consulting, Prospect Medical, Delaware County, and the Unsecured Creditors Committee (UCC). We look forward to joining with the Attorney General to update the bankruptcy court — which has ultimate approval authority over plans for Crozer — at our next hearing." What's next Sunday said they will update the bankruptcy court overseeing the sale at their next hearing. "There is much work to be done, but we will not stop fighting on behalf of Pennsylvanians," Sunday said.
Yahoo
20-03-2025
- Business
- Yahoo
Crozer Health deadline to find buyer approaches: "Heading in the right direction"
The Brief Two Delaware County hospitals will remain open until late March after a "short-term" funding solution was announced. The non-profit "Foundation for Delaware County" will provide $7 million to Crozer Health System to help cover operating expenses for one more week. A long-term solution is being sought to continue to provide hospital services. PHILADELPHIA - A plan for Crozer Health to find a buyer looms. However, after a court hearing Wednesday, there might be some good news coming. What they're saying A Texas bankruptcy judge said she was "relieved" Wednesday afternoon after she heard an update about a possible sale of the ailing Crozer Medical System of Delaware County. On I-95 looming above the Crozer Medical Center, a billboard tells the story of the fight to save the ailing health system. Put up by the nurses' union, it warns, "time is running out" to save Delaware County's Crozer and Taylor Hospitals. On Wednesday, some good news came out of a Texas bankruptcy court. Nurses union leader Peggy Malone was asked what she will tell her members about that hearing. "That we'll remain cautiously optimistic," Malone said. "That we'll continue to give great quality care inside this building and take it as a great sign of hope." "Cautiously optimistic" are the exact words an attorney with the Pennsylvania Attorney General told the bankruptcy judge this afternoon about a possible sale of the hospitals to a white knight, healthcare buyer. An attorney for the former for-profit owner, Prospect Medical Holdings of California, told the judge he's "more optimistic" about the possible sale, adding, "they're not there yet." Union leader Malone says 900 nursing jobs hang in the balance. "It's been a roller coaster up and down good news and we hear bad news. Today definitely sounds like good news, heading in the right direction with good news," she added. Prospect, in bankruptcy, had threatened to close the hospitals until an infusion of millions in state, local and foundation cash tossed a temporary lifeline. A source with knowledge tells FOX 29 the talks are focused on a large, Philadelphia-based healthcare provider. The Source The information in this story is from Nurses union leader Peggy Malone and details from a Texas bankruptcy court hearing.
Yahoo
12-03-2025
- Business
- Yahoo
Crozer Health: Time is running out for solution to keep hospitals open
The Brief Two Delaware County hospitals will remain open until late March after a "short-term" funding solution was announced. The non-profit "Foundation for Delaware County" will provide $7 million to Crozer Health System to help cover operating expenses for 2 weeks. Long-term solution being sought to provide hospital services for "underserved" residents. UPLAND, Pa. - The Crozer Medical Center of Upland and its companion smaller hospital, Taylor of Ridley Park, have a lifeline of two weeks and $7 million to cover payroll before its for-profit owner could move to shutter them. Emergency funding will now keep the bankrupt Crozer Health System running for just another two weeks. Prospect Medical Holdings, a for-profit Los Angeles-based company, was planning to close the hospitals later this week. What we know Stark details are emerging from a bankruptcy hearing Tuesday morning in Texas. Dr. Monica Taylor, leading the Delaware County Council, tells FOX 29 she hopes the two weeks are enough to save the hospitals. She was asked if she is concerned two weeks is not enough time to produce a plan. She said, "It just didn't come up two weeks ago. There have been people in the Governor's and Attorney General's office who've been working for a while to try to work out a sustainable solution." Race against the clock Pennsylvania's attorney general and the governor are now in a race against time to pull together a long-term solution for the Crozer system mired in debt and leaking another $10 million a month. The short-term deal has led Crozer's owner, Prospect Medical Holdings of California, to put on hold its efforts to close the hospitals by Friday. But in Texas Tuesday morning, Prospect's attorney suggested the company would return to the possible closure of Taylor and Crozer if there's no long-term agreement by late March. A source with knowledge of the issue says local health systems including Penn Medicine and Mainline Health have been involved in talks about Crozer with no agreement on a plan. A union leader says 900 nursing jobs hang in the balance. What they're saying "We are going to fight like hell to keep this hospital open. Nobody is going to take this from us an our community. Our patients have no voice and Prospect Medical came in here counting on the fact they were going into an impoverished neighborhood where people had no voices and they were going to destroy us and take this health system from us," said Peggy Malone, RN, President, Crozer-Chester Nurses Association. "Our hope is that some of these larger systems surrounding Crozer will step in and help us, and they will help to rebuild our reputation, help to provide the services we've lost again." "These aren't just patients. These are our family. We know them by name. By faces. They know us. They know when we walk in the door we are going to care for them like they are our family," said Kyle Lombardi, Crozer Radiology Technician. "We pray, oh God, that you will intercede right now. We pray right now, oh God, that you will touch the hearts of the people that make decisions. Oh God, that their heart will be open and mindful to do no harm," said Chaplain Amanda Johnson. Some are even calling for criminal charges against the for-profit California company. "I"m calling on our Attorney General and our DA here in Delco to look into criminal charges against the CEO who stole $90 million dollars away from this place," said State Senator John Kane of Chester. Big picture view The closure would mean the loss of more than 3,200 jobs and leave part of Delaware County without critical services like a trauma center or burn unit. A Crozer emergency department doctor, Max Cooper, says cuts to his department has meant the difference between life and death recently for a young gunshot victim. "And while they did not pull the trigger, the disinvestment in this facility and the contraction of EMS care because of Prospect Medical Holdings killed that young man and they need to be held responsible," Cooper said. And with time running out those fighting for their hospital say they'll keep fighting. "Let me tell you Prospect. You messed with the wrong town. This is Delco and this is what we do!!"" said Malone. FOX 29 has repeatedly asked Prospect Medical Holdings for a comment or statement regarding the closures. We have not received a of the County Council said, "Understanding what the services are they provide to our community, the access to care that they are able to provide, knowing the impact - I just can't imagine us without them." What's next The bankruptcy judge has asked for an update in court on Wednesday.
Yahoo
10-03-2025
- Business
- Yahoo
Crozer hospitals to stay open in Delaware County amid permanent restructuring: officials
The Brief Crozer Health will remain open until a long-term plan within the system is solidified. The agreement was reached in a bankruptcy settlement meeting Sunday. PHILADELPHIA - A potential health-care crisis has been averted in Delaware County. Pennsylvania Attorney General Dave Sunday says an 11th-hour deal has been reached to keep Crozer Health hospitals open for the 'immediate future.' What we know A bankruptcy settlement meeting was held in Harrisburg Sunday with Prospect Medical Holdings, the owner of Crozer Health System. After the meeting wrapped, Attorney General Dave Sunday and The Foundation for Delaware County announced an agreement was reached to keep Crozer Health open. Crozer Health will remain open while permanent restructuring of the system is pursued. Crozer-Chester Medical Center and Taylor Hospital were slated to close Friday, March 14 after Crozer Health's parent company, Prospect Medical Holdings, ran out of money to keep the two hospitals operating. If the closures had gone through as planned, nearly 3,000 jobs would have been lost, leaving only two hospitals in Delaware County to treat its population of more than a half-million people. What they're saying Attorney General Sunday and his senior staff attended the meeting, along with board members and the president of the Foundation for Delaware County. "I am pleased that the parties focused on how to move forward on behalf of Pennsylvanians, instead of how we got here, and worked to an agreement after more than six hours of negotiations," Attorney General Sunday said. "I thank all parties for their good faith negotiations and sacrifices made to make this happen. This work was done on behalf of the thousands of people and families who depend on Crozer Health System for essential services — and the many hardworking professionals who provide that care…My office will remain engaged in this process as we work to find a long-term solution." "We are encouraged by this outcome and hopeful it will lead to a long-term solution with a nonprofit provider. For three years, we have advocated for the residents of Delaware County, supporting negotiations and exploring every available option to keep the healthcare system from closing. While we cannot sustain an entire health system, we remain committed to ensuring continued access to care," said The Foundation of Delaware County President Frances Sheehan. "The future of Crozer Health has dominated my first month in office," Attorney General Sunday said. "And it deserves that full attention, as this system is an asset to the communities it serves and an economic driver for Delaware County." What's next Details of the long-term plan will be announced once it is solidified. The Source The information in this story is from Attorney General Dave Sunday and The Foundation for Delaware County.
Yahoo
07-02-2025
- Business
- Yahoo
FTI Consulting to take over Crozer Health System management preventing hospital, facility closures
The Brief Crozer Health System's parent company, Prospect Medical Holdings, Inc., declared Chapter 11 bankruptcy in January. Delaware County officials and patients have spoken out about the post-bankruptcy filing changes. Now, a federal bankruptcy judge will rule on the future of Crozer Health. MEDIA, Pa. - The fate of Crozer Health, vital to Delaware County, is being decided in a Dallas, Texas court where a federal bankruptcy judge is ruling on its future. Stefan Roots is the first term mayor of Chester pressing to bring back the city from decline. What they're saying "We're in the city of Chester with no primary care physicians. We're talking a healthcare system where the emergency room is pretty much the doctor's office," Roots said of Crozer Health, "People go there for bumps, bruises, people fall down that's the only choice they have." In January, Crozer's for-profit owners, Prospect Medical Holdings, filed for bankruptcy, threatening its Delaware County Hospitals. A court filing in Texas details a short-term solution, reading, "the Parties have been working tirelessly to find a consensual resolution." It continues, "the parties have agreed to have FTI Consulting, Inc. assume the operation of the facilities." That would last 30 days while long-term solutions are sought for Crozer Medical Center of Upland and Taylor Hospital of Ridley Park. Roots said, Crozer is important, "not just for healthcare but for jobs. So many people are employed at Crozer. It's a staple here. It's hard to imagine for people who've lived here for a long time that would be gone." Later Thursday evening, Attorney General Dave Sunday issued the following statement regarding the developments: "The Office of Attorney General has been actively engaged in seeking a solution to mismanagement of the Crozer Health System, which has resulted in closures and cuts to services. On Thursday, a Texas bankruptcy court approved the appointment of a receiver of our choosing, FTI Consulting, to take over management of the Crozer Health System. This action prevents the impending, immediate closure of remaining Crozer hospitals and facilities, ensuring care for current patients as permanent plans are developed." Anthony Esposito, CEO of Crozer Heath, sent the following statement regarding the court's approval of the receiver agreement: "Crozer Health looks forward to working constructively with the Commonwealth of Pennsylvania and FTI Consulting to ensure that our communities continue to receive uninterrupted access to the critical health services they require. As always, we remain focused on providing high-quality and personalized care to our patients, and will continue to uphold that commitment throughout this process." Governor Shapiro's spokesperson Will Simons sent FOX 29 the following statement: "As Governor Shapiro made clear in his budget address this week, private equity has infected our health care system – and for nearly two years, the Shapiro Administration has worked with the Office of Attorney General and local partners to get Prospect Medical Holdings out of Delaware County, keep Crozer open, and support its dedicated workforce. As a result of hard work by the Shapiro Administration culminating with today's legal action, Prospect will no longer manage Crozer – an independent receiver will immediately take over, providing an opportunity to transition the health system to sustainable, nonprofit ownership. To maintain critical health services and support the health care workforce as the health system looks to make that transition, the Shapiro Administration is providing critical bridge funding directly to the receiver. Prospect has a long track record of reckless, greedy, and irresponsible management of Crozer – and they will not receive a cent of this funding. The Shapiro Administration will continue to engage with regional health care partners and local leaders to identify a long-term solution that ensures access to health care for Delaware County residents." What's next With Crozer struggling, Roots said he has hired a health director to tackle infant mortality and asthma. In a statement, the chair of Delaware County Council, Dr. Monical Taylor, writes that the county wants to support Crozer Health, but "until Prospect's financial issues are resolved, we won't know specifically how we will need to step up." "I need, and the county needs, this facility to remain open somehow, it's going to have to remain open. We've seen the numbers. 60,000 ER visits in a year. That's 150 ER visits a day. That's vital," said Mayor Roots. After the announcement of FTI Consulting taking over, the Commonwealth and Delaware County are expected to contribute significant funds to support the plan. The Source The information in this story is from Mayor Stefan Roots and court documents.
