Crozer Health hospitals in Delaware County will stay open for now under a temporary agreement with FTI Consulting, who will manage the hospitals for at least 30 days, according to a bankruptcy court filing Thursday.
The agreement is not final. It calls for the state to provide an unspecified amount of support funds during the temporary arrangement, writes Harold Brubaker and Sarah Gantz for The Philadelphia Inquirer.
The deal was worked out by the Pennsylvania Attorney General and Crozer Health owner Prospect Medical Holdings.
The court filing did not indicate what happens after the receivership ends. A nonprofit healthcare consortium had been slated to take over, but that deal was stalled last weekend.
Prospect Medical is legally obligated to operate the hospitals until June 2026, according to the court document.
FTI Consulting Inc., a national advisory firm, will take over management as soon as it receives court approval. The company has a division that offers crisis management for healthcare operators.
Crozer Health, which currently operates Crozer-Chester Medical Center in Upland, and Taylor Hospital in Ridley Park, has been losing millions of dollars each money, according to its attorney.
Find out more about this latest agreement for Crozer Health hospitals in The Philadelphia Inquirer.
