Prospect Medical Holdings says Crozer Hospitals could close Thursday without $9M in funding

On Tuesday, Prospect Medical Holdings, the owners of Crozer Health, told a bankruptcy judge that it needs $9 million by Wednesday at 4 p.m. to keep Crozer-Chester Medical Center in Upland and Taylor Hospital in Ridley open for another two weeks while it tries to negotiate a sale.

Prospect said if it doesn’t have the money wired to them by Wednesday afternoon, closure proceedings will begin.

According to the Inquirer, Crozer could stop accepting patients in its emergency room as early as Thursday morning.

Crozer Health currently employs more than 3,000 people.

“We’re all very concerned not only for our jobs, but also for the community in which we serve,” said Kate Denney, a paramedic at Crozer-Chester Medical Center. “If we shut down, that is going to have serious consequences in the county.”

Hospital staff have continued to come to work, despite their jobs being in jeopardy.

“The judge and the Attorney General’s office, both in the hearing today, commended the hardworking staff who have continued to show up for work in very very challenging circumstances,” said Leanne Krueger, a State Representative for Delaware County’s 161st Legislative District

Prospect has said it would close the hospitals several times since filing for bankruptcy in January.

The latest announcement comes after the Commonwealth of Pennsylvania, Delaware County, and the Foundation for Delaware County put up $40M to avoid a closure and help make payroll.

The system’s operating account currently holds $25 million, with $10 million committed to payroll this week, officials said.

If Prospect Medical Holdings gets the funding, it could buy them a few extra weeks, but officials say there’s no guarantee they won’t end up back in the same position again soon.

“Prospect has put up roadblock after roadblock after roadblock against all of our efforts to save this system, I fear we are out of time,” said Krueger.

The judge ordered a private Zoom meeting for all parties on Wednesday at 9 a.m. A hearing is also scheduled for Thursday at 4 p.m.

Officials say if Prospect moves forward with closure proceedings, the process could begin before the parties are back in court on Thursday..

Residents looking for updates and resources can call the Delaware County Health Department Wellness Line at (484) 276-2100 or click here.