Deal reached to keep Crozer Health System hospitals open in Delaware County

UPLAND, Pa. (WPVI) -- Late Sunday night, Pennsylvania Attorney General Dave Sunday and The Foundation for Delaware County announced that a deal has been reached to keep Crozer Health System Hospitals open for the immediate future while a long-term restructuring plan is worked out.

The announcement to keep Crozer-Chester and Taylor hospitals open came after a day-long emergency meeting in Harrisburg on Sunday.

Last week, Prospect Medical Holdings, which owns Crozer Health told a bankruptcy judge they only have enough money to keep the hospitals open until this coming Friday.

Residents like Gregory Logan, who is a cancer survivor, has been keeping a close eye on the situation.

"I don't like it, because then we aren't going to have anywhere to go if something really happens around here," he said.

It's the grim reality residents are facing, as Prospect Medical Holdings announced plans to close Delaware County's largest health system. It includes Crozer-Chester Medical Center, Taylor Hospital in Ridley, and several other facilities.

"The next trauma hospital is Lankenau Hospital, so it's dangerous," said Tamika Savoy of Ridley Township. "In case someone gets shot, it's like EMS, do they save them or let them go? It's very dangerous."

Sunday's meeting was an emergency hearing to look for a final reconciliation. It came after state and county officials gave $20 million to keep the hospital open.

Prospect Medical Holdings is the private California-based company that owns Crozer Health System.

The Attorney General's Office sued Prospect last year, alleging mismanagement and neglect of Crozer Health System.

Lawmakers are now calling attention to what they say is a problem with private companies taking over hospitals, selling off their assets, and closing them.

"What private health equity firms do is they buy up these health care institutions, and they run them into the ground while they put a profit in their pocket," said Pennsylvania Governor Josh Shapiro, who says he has also called for the elimination of private equity in healthcare spaces.

"It's just about the money," said Ridley Township resident Jamar Savoy. "It's not about the patients. That's the sad part about it."

The Delaware County Health Department has created a website where residents can stay up-to-date on negotiations and get resources.