Bankruptcy attorneys for Prospect Medical Holdings said last-minute funding provided by The Foundation for Delaware County will keep Crozer Health’s two remaining hospitals and other facilities open for two weeks only, writes Joe Holden for CBS News Philadelphia.
The hope was the funds would last four to six weeks as a long-term funding solution was sought.
After Crozer Health owner Prospect Medical filed for bankruptcy in January, it announced it was closing the healthcare system, which includes Crozer-Chester Medical Center and Taylor Hospital.
The move would affect 3,200 employees and deprive many in Delaware County of vital healthcare.
Crozer Health is being sustained on $20 million from the state and the county, which runs out March 14.
The Foundation for Delaware County stepped up at an emergency meeting Sunday with short-term funding, which will likely run out around March 28.
Prospect’s attorney Dave Sunday said everyone in the room on Sunday was “overwhelmingly committed to continue doing health care in Delaware County.”
Crozer Health’s financial condition has made it difficult to find regional healthcare providers to rescue it..
Another hearing in Texas bankruptcy court is scheduled for March 26.
Find out more about the status of Crozer Health at CBS News Philadelphia.
