State Attorney General William Tong filed a "statement of interest" on Tuesday in the bankruptcy case of hospital owner Prospect Medical Holdings, "making it clear that Connecticut expects to have a full seat at the table in ensuring the transition of Prospect's hospitals in the state to a responsible new owner," Tong said. The filing is also aimed at "protecting and asserting Connecticut's claims for relief based on Prospect's prior misconduct."
During his confirmation hearing Jan. 21, Veterans Affairs Secretary Doug Collins pledged to preserve veterans benefits and not "balance the budgets on the backs of veterans." But the confirmation of OMB Director Russell Vought, who contributed to two conservative playbooks that support significant changes to VA disability benefits, has put veterans service organizations on guard against any potential shifts in VA compensation.
Mass General Brigham said Monday it will let go of hundreds of employees in the next two months, the largest layoff in the organization's history, as the health system grapples with anticipated financial shortfalls and ongoing operational challenges at its 12 hospitals. Facing rising costs and hoping to make its sprawling network more efficient, the state’s largest private employer aims to cut payroll costs by over $200 million.
Negotiations between bankrupt hospital owner Prospect Medical Holdings and the Pennsylvania attorney general over Crozer Health's transfer to a new nonprofit "hit a snag" over the weekend, Prospect's lawyer told a bankruptcy judge Monday. Prospect will be back in federal court Thursday to either ask for a 30-day extension of bankruptcy funding for Crozer or with a plan for shutting down the Delaware County hospitals, Prospect's lawyer, Thomas R. Califano, of Sidley Austin, told the judge. "I really hope it's not the agreed shutdown," he said. Califano said Prospect and the Pennsylvania attorney general's office worked over the weekend. He did not say what the snag was. On Friday, Prospect put out a news release saying it had reached a deal to transfer Crozer Health to a "not-for-profit consortium of health-care operators" with state support, even though no agreement had been reached.
Montgomery Mayor Steven Reed and state lawmakers reacted Tuesday afternoon to news that Jackson Hospital and Clinic, which he called "a cornerstone of our community’s healthcare system," filed for Chapter 11 bankruptcy protection. The financially-troubled hospital filed paperwork on Monday, court filings show. On Tuesday, U.S. Bankruptcy Judge Christopher L. Hawkins granted an emergency motion for an expedited hearing, which is set for 10 a.m. Wednesday at the U.S. Bankruptcy Court in Montgomery. Court documents indicate Jackson listed assets and liabilities of between $100 million and $500 million. In a list of 30 creditors who have unsecured claims, Jackson Hospital owes more than $28 million to CAPTA HEALTH PARTNERS, LLC, based in Chicago. Jackson Hospital officials have since confirmed the hospital and its clinics will remain open and operating as usual and says it’s focused on the care and safety of its patients.