Massachusetts Gov. Can’t Stop Closure Of Two Steward Hospitals

Massachusetts has agreed to provide about $30 million to help support the operations of six hospitals that Steward Health Care is attempting to turn over to new owners after declaring bankruptcy earlier this year, according to court filings, Steve LeBlanc reported for the Associated Press (AP).

The latest update comes as Steward announced that it was closing two hospitals—Carney Hospital and Nashoba Valley Medical Center—due to a lack of qualified bids for either facility. I Image: Tichnor Bros. Inc., Boston, Mass. Wikimedia Commons

The latest update comes as Steward announced that it was closing two hospitals—Carney Hospital and Nashoba Valley Medical Center—due to a lack of qualified bids for either facility.

In a court filing, Steward announced it had received a commitment from Massachusetts “to provide approximately $30 million of funding support for the hospitals’ operations as they are transitioned to new operators in the near term.”

A Senate committee voted to authorize an investigation into Steward’s bankruptcy and to subpoena de la Torre. The subpoena would compel de la Torre to testify before the Senate Health, Education, Labor, and Pensions Committee at a hearing on September 12.

The Dallas-based company also stated in the court filing that it remains steadfast in its goal of doing everything within its power to keep its 31 hospitals open.

In May, Steward announced plans to sell off all its hospitals after filing for bankruptcy protection.

The company’s hospitals are scattered across eight states. The $30 million is intended to ensure that Steward’s hospitals in Massachusetts can continue to operate through the end of August, according to Governor Maura Healey’s administration.