The news that Steward Health Care plans to close two of its Bay State hospitals around Aug. 31 tore through the end of last week's news cycle, and the company's bankruptcy proceedings this week will be another turning point for the remaining facilities up for sale and their potential new owners.
MASSterList reported in May that Steward hospital nurses and communities harbored concerns about the state's lack of commitment to keeping every Steward hospital open regardless of which received bids. That came into view Friday when Steward announced that Carney Hospital in Dorchester and Nashoba Valley Medical Center in Ayer did not receive qualified bids and will soon be shutting down.
Lawmakers and state officials, while expressing disappointment in the decision, haven't signaled they plan any attempt to save the two hospitals. The state has committed, according to a proposal in bankruptcy filings, $30 million to support the other Steward facilities as they transition operators. That proposal seeks approval for the payment agreement and authority to shutter Carney and Nashoba.
Just days before the announcement, Gov. Maura Healey said that every Steward hospital for sale in Massachusetts had received at least one bid. And while that statement was true, officials revealed Friday that the bids Nashoba and Carney received were deemed unacceptable by Steward and its lenders through the bankruptcy process.
Not only do bids for the remaining five Steward hospitals have to be addressed, but the closure timeline of Carney and Nashoba does, too. Under state law and regulations, providers must notify the Department of Public Health 120 days before any planned service closures — a timeline the state says it will attempt to enforce, but isn't sure it can. In textbook cases, if a provider doesn't follow regulations, regulators can withhold a license. In this case, Steward is willingly giving up its licenses anyway, so that tactic likely won’t work.
This Wednesday, July 31, is a big day. It's not just the day Steward is holding a sales hearing for its facilities, but it's the last day of the legislative session. As lawmakers put a critical eye on their list of remaining bills — a number of which focus on health care access and oversight — a bankruptcy court will be hashing out Steward's prospective buyers while the Bay State waits to see if a judge approves Steward's motion to close Carney and Nashoba.
Before then, lawmakers including Congressman Stephen Lynch, Sen. Ed Markey and Mayor Michelle Wu, and advocates representing health centers, nurses and service workers, wlll hold a press conference this morning at Carney Hospital to discuss Steward’s closure plans. — Ella Adams
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