State Watching, Waiting On Steward Bankruptcy Case
DPH Chief Deflects On Adequacy Of Steward’s Financial Resources
BROOKLINE, MASS., JUNE 10, 2024…..State public health officials are continuing to brace themselves for the outcomes of Steward Health Care’s bankruptcy proceedings in Texas.
Department of Public Health Commissioner Robbie Goldstein did not directly answer a reporter’s question about whether officials are concerned that Steward, which operates eight hospitals in Massachusetts, is about to run out of money.
Steward, which previously received a $75 million loan from its de facto landlord Medical Properties Trust, has said it needs more money by June 14, The Boston Globe reported. A bankruptcy judge later gave Steward permission to give “financial sweeteners” to other lenders to secure more financing, according to the Globe.
“I think we, just like everyone else across Massachusetts, are watching what’s happening in the courts down in Texas. We’re in communication with regional health care providers here in Massachusetts and through the Steward system, and we’re doing all we can to gather all of the appropriate information,” Goldstein said following an unrelated press conference in Brookline.
He continued, “I think it’s probably best for us all to watch what happens in the court system, and to make sure that we are prepared, which is what we are doing at the Department of Public Health with our incident command structure and making sure that we have the right resources in place to act should we need to.”
A federal bankruptcy judge last week approved the timeline for Steward to sell or auction its hospitals across the country, including a deadline for bids of June 24, aside from facilities in Florida, and sales hearings on July 11.
Goldstein, asked whether officials are preparing for the possibility that some of Steward’s hospitals in Massachusetts could close, invoked previous remarks from Gov. Maura Healey.
“The governor has made it pretty clear that she’d like to see Steward sell all of its facilities in Massachusetts to a new operator, and we are working with the governor and across the administration to make that happen,” Goldstein said. “We’re also prepared for whatever might happen in the next few weeks or months.”
DPH has deployed monitors to Steward hospitals since January to ensure they have adequate supplies, equipment and staffing in a bid to protect patient safety.
“The message continues to be that the Steward facilities are open, that they’re safe, and that they’re providing quality care,” Goldstein said when asked whether monitors had found anything troubling about the quality of care being delivered at Steward hospitals. “And our monitors are there to make sure that it’s true every single day.”
