Delaware County Crozer Health hospitals to remain open for immediate future

(WPHL) — A deal has been reached to keep two Crozer Health System hospitals in Delaware County open after the facilities were on the brink of closing within a matter of days.

After an emergency 11th-hour meeting in Harrisburg on Sunday, Pennsylvania Attorney General David Sunday said the agreement was reached to keep Crozer-Chester-Medical Center and Taylor Hospital open for the ‘immediate future.’

Sunday said Crozer Health, Delaware County’s largest healthcare provider, will receive short-term funding to keep the hospitals open as officials solidify the permanent restructuring of the system.

According to a joint statement

from the Foundation for Delaware County and the Attorney General’s Office, the foundation has agreed to pay an undisclosed amount to stop the immediate closure of the hospitals, which was expected within days.

The decision comes after Crozer Health’s owner, Prospect Medical Holdings, told a bankruptcy court last week that it had run out of money to keep the hospitals open past March 14.

In January, the company, which purchased Crozer Health in 2016, filed for Chapter 11 bankruptcy. In February, it was placed into a 30-day receivership as local and state officials provided $20 million to keep the system open.

The announcement also comes after the Pennsylvania-based health system was sued by the Attorney General’s Office for alleged mismanagement and neglect in October of last year.

Officials said FTI Consulting, the court-appointed receiver, will oversee management of the hospitals for the time being.

If the closures had happened, more than 3,000 doctors, nurses, and other staff members would have lost their jobs, according to the Inquirer.     

“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.”

Sunday said officials expect to release more details in the coming weeks as they pursue a permanent solution.

Delaware County has created a dedicated page to keep residents up to date on the status of negotiations, in addition to offering additional resources, at DelcoPA.Gov/Prospect.

Residents are also encouraged to use the Delaware County Health Department Wellness Line at (484)-276-2100.