Steward Health Care announced Friday that it will close two of its eight medical centers in Massachusetts next month. Carney Hospital in Dorchester and Nashoba Valley Medical Center in Ayer will close on or around Aug. 31 after failing to secure qualified bids for both properties, the private, for-profit health care company said. Steward said it is “actively working to sell or transition all of its Massachusetts hospitals, and we are in active final negotiations to sell six of them.” “Despite the lengthy sale process, which involved close coordination with lenders and regulators, there were no qualified bids for two hospitals, Carney Hospital and Nashoba Valley Medical Center,” Steward said. Gov. Maura Healey blamed the closures on “greed and mismanagement.” “This is not over.” It is unfortunate that (Steward CEO) Ralph de la Torre and Steward’s greed and mismanagement are leading to the closure of Carney and Nashoba Valley hospitals. These hospitals have a long history of serving their communities — their closures are about more than just losing beds, doctors and nurses,” Healey said. The union called the move “devastating.” “Steward Health Care’s decision to close Carney Hospital and Nashoba Valley Medical Center is devastating, creating hospital deserts and exacerbating health inequities in the communities they serve. Patients across Massachusetts will now ultimately pay the price for Steward’s mismanagement if care is pushed miles away and emergency room capacity reaches crisis levels. The future of care in Massachusetts is at risk,” 1199SEIU said in a statement. Steward said it will work with both patients and employees affected by the closures. “We will work closely with our patients in Carney and Nashoba to help them find the best possible care alternative and with our valued employees and health care professionals to help them through this very difficult transition,” Steward said. Steward Health Care filed for Chapter 11 bankruptcy protection on May 6. The company was looking to sell all of its hospitals and has received “qualified offers” for some of the Massachusetts facilities, Healey said earlier this week. Steward said it is accepting offers for its other Massachusetts hospitals, including Good Samaritan Medical Center in Brockton, Morton Hospital in Taunton, St. Anne’s Hospital in Fall River, St. Elizabeth’s Hospital in Brighton and Holy Family Hospital with campuses in Methuen and Haverhill. “These hospitals are needed by these communities,” Sen. Elizabeth Warren said. “(De la Torre) has done enough damage to this state.” “For the remaining hospitals, we know that Steward has received multiple offers to not only maintain but also improve five of its hospitals in three key regions. It is time for Steward and its real estate partners to finally put the communities they serve above their own selfish greed. They must finalize these deals that are in their best interest and in the best interest of patients and workers,” Healey said. Carney and Nashoba remained open Friday and will proceed with an “orderly and regulated closure,” Healey’s office said. “Our first priority must be patients,” Warren said. “The callousness demonstrated for the health and well-being of Massachusetts residents is nothing short of astonishing,” Sen. Ed Markey said. “Steward Health Care … intentionally purchased safety net hospitals that communities rely on, and they have run them into disrepair in their effort to extract maximum profits.” A bankruptcy judge will have to approve Steward’s motion to close, after which Steward must send a notice of closure to the Department of Public Health, facilitating a transition for affected patients and employees, Healey’s office said. “There is still a process that Steward Health Care must follow that has been set forth by the bankruptcy court and the law. To this point, Steward has flouted the transparency requirements and its obligations to serve its patients,” Markey said. On Thursday, a bipartisan group of senators voted to open an investigation into Steward. As part of that, they issued a subpoena to de la Torre to testify before a Senate committee in September. Video: ‘Outrageous’: Sen. Warren reacts to closure of 2 Steward hospitals in Mass.
Struggling Steward Health Care announced Friday that it will close two of its eight medical centers in Massachusetts next month.
Carney Hospital in Dorchester and Nashoba Valley Medical Center in Ayer will close on or around Aug. 31 after failing to secure qualified bids for both properties, the private, for-profit health care company said.
Steward said he is “actively working to sell or transfer all of our Massachusetts hospitals, and we are in active final negotiations to sell six of them.”
“Despite the extensive sale process, which involved close coordination with lenders and regulators, there were no qualified offers for two hospitals, Carney Hospital and Nashoba Valley Medical Center,” Steward said.
Governor Maura Healey blamed the closures on “greed and mismanagement.”
“This is not over. It is unfortunate that Ralph de la Torre (Steward CEO) and Steward’s greed and mismanagement are causing the closure of Carney and Nashoba Valley hospitals. These hospitals have a long history of serving their communities – their closures are about more than just the loss of beds, doctors and nurses,” Healey said.
The union called the move “devastating.”
“Steward Health Care’s decision to close Carney Hospital and Nashoba Valley Medical Center is devastating because it will create hospital deserts and exacerbate health inequities in the communities they serve. Patients across Massachusetts will now pay the price for Steward’s mismanagement if care is pushed miles away and emergency room capacity reaches crisis levels. The future of care in Massachusetts is at risk,” 1199SEIU said in a statement.
Steward said he will work with both patients and employees affected by the closures.
“We will work closely with our patients at Carney and Nashoba to help them find the best possible care alternative and with our valued employees and health care professionals to assist them through this very difficult transition,” Steward said.
Steward Health Care filed for Chapter 11 bankruptcy protection on May 6. The company was looking to sell all of its hospitals and had received “qualified offers” for some of its Massachusetts facilities, Healey said earlier this week.
Steward said he is accepting offers for his other Massachusetts hospitals, including Good Samaritan Medical Center in Brockton, Morton Hospital in Taunton, St. Anne’s Hospital in Fall River, St. Elizabeth’s Hospital in Brighton and Holy Family Hospital with campuses in Methuen and Haverhill.
“These hospitals are necessary for these communities,” Sen. Elizabeth Warren said. “(De la Torre) has done enough damage in this state.”
“For the other hospitals, we know that Steward has received multiple offers to not only maintain but also improve five of its hospitals in three key regions. It is time for Steward and its real estate partners to finally put the communities they serve before their own selfish greed. They must finalize these agreements that are in their best interest and the best interest of patients and workers,” Healey said.
Carney and Nashoba remained open Friday and will conduct an “orderly and regulated closure,” Healey’s office said.
“Our first priority has to be patients,” Warren said.
“The indifference shown by the people of Massachusetts to their health and well-being is simply astounding,” said Senator Ed Markey. “Steward Health Care … deliberately bought safety net hospitals that communities rely on and shut them down for the sake of maximum profit.”
A bankruptcy judge will have to approve Steward’s motion to close, after which Steward will be required to send a notice of closure to the Department of Public Health, facilitating a transition for affected patients and employees, Healey’s office said.
“Steward Health Care must still follow a process established by the bankruptcy court and by law. To date, Steward has flouted transparency requirements and its obligations to serve its patients,” Markey said.
On Thursday, a bipartisan group of senators voted to open an investigation into Steward. As part of that investigation, they issued a subpoena for de la Torre to testify before a Senate committee in September.
Video: ‘Outrageous’: Sen. Warren reacts to closure of two Steward hospitals in Massachusetts.