Rep. Leanne Krueger January 14, 2025
Jan. 14, 2025
As you may have heard, Prospect Medical Holdings, Inc., the parent company of Crozer Health System, declared Chapter 11 bankruptcy on Saturday night, triggering a restructuring of Prospect’s network of hospitals including Crozer-Chester Medical Center, Taylor Hospital and the previously closed Springfield and Delaware County Memorial hospitals.
While I’m disappointed by this latest maneuver by the for-profit system, I am not surprised. Prospect has repeatedly put its investors and shareholders before patient care and medical staff for years, creating a crisis in our community that has put patients, families and frontline health care workers at risk for their health, lives and livelihood.
Delaware County’s state legislators and elected county officials held a press conference yesterday to call on Prospect and its creditors to make all possible efforts to maintain services and operations at Crozer-Chester Medical Center and Taylor Hospital while restructuring in bankruptcy and to prioritize the needs of Crozer’s dedicated staff who have heroically served Delaware County patients and families while Prospect let conditions and resources deteriorate to this point. Yesterday we reintroduced legislation that passed the PA House last session but stalled in the Senate to provide oversight and accountability during hospital closures and consolidation. We are also working with the office of the Pennsylvania Attorney General on every legal angle to hold Prospect accountable. Governor Josh Shapiro’s office has been very involved in the contingency planning and shares my priority of keeping all services open at Crozer-Chester Medical Center.
You can read our full statement regarding Prospect’s bankruptcy declaration here.
While working to hold Prospect and its former owners accountable for their financial looting of Crozer, the delegation and county leaders have worked to secure state and federal funding to support health services in Delaware County, including at Crozer, the new County Department of Health, and other health providers serving the county. If anyone has a question about the bankruptcy proceedings and how it affects current health care services, Delaware County Council has directed residents to call the Health Department Wellness Line at 484-276-2100.
I will keep you updated as Prospect’s legal proceeding and our efforts move forward.
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