Steward Health Care Faces Lawsuits and Financial Troubles, Prompting Concerns of Hospital Closures
In a shocking turn of events, Steward Health Care, a prominent healthcare provider in Massachusetts, is facing multiple lawsuits and financial difficulties. The lawsuits allege that Steward Health Care has failed to pay vendors for supplies and services, amounting to a staggering $7.5 million. Additionally, the group’s landlord, Medical Properties Trust, claims that Steward Health Care owes them a whopping $50 million.
The situation has raised concerns about the potential closure of hospitals operated by Steward Health Care. The group currently runs nine hospitals, rehabs, and healthcare facilities across Massachusetts, including Holy Family Hospital in Methuen, St. Elizabeth’s in Brighton, Good Samaritan in Brockton, and Carney Hospital in Dorchester. When questioned about the possibility of hospital closures, Steward Health Care denied any such plans.
Former employees have also come forward, shedding light on the dire financial situation within the organization. Tasha Blondiet, who worked as a tech in radiology and x-ray until January 2023, revealed that they often ran out of essential equipment due to funding shortages. Vendors would threaten to stop sending supplies, forcing Steward Health Care to pay only half of the bill to secure some supplies. Blondiet recalled an incident when the operating room had run out of emergency chest tubes, and they had to take one from their stock because there were none available downstairs.
The severity of the situation has prompted action from lawmakers. The entire Massachusetts Congressional delegation, including Senators Markey and Warren, has expressed concerns and suggested that the state should consider taking over the Steward system. They emphasized the importance of maintaining access to quality care for patients, particularly those who rely on Medicaid and Medicare. The closure of Steward hospitals would significantly limit access to critical care, behavioral health care, and maternal and newborn health services in eastern Massachusetts.
Barbara Spivak, the President of the Massachusetts Medical Society, echoed these concerns, highlighting the existing crisis of access to healthcare. She emphasized that any hospital closure would only exacerbate the problem. Hospitals are already struggling with bed capacity and face challenges in discharging patients due to a lack of skilled nursing facility beds and nursing home beds. This bottleneck effect has led to overcrowded emergency rooms, further straining the healthcare system.
The Massachusetts Department of Public Health (DPH) and the Executive Office of Health and Human Services (EOHHS) have expressed their commitment to protecting public health and safety. They are closely monitoring the situation and working with Steward Health Care to ensure patient safety, preserve jobs, and maintain quality care.
The potential closure of hospitals operated by Steward Health Care raises significant concerns about access to healthcare for Massachusetts residents. The state’s network of safety net hospitals, which includes Steward hospitals, serves a high number of Medicaid and Medicare patients. If these hospitals were to close, it would disproportionately affect those who already face challenges in accessing healthcare.
As the situation unfolds, it is crucial for stakeholders to prioritize patient care, protect jobs, and find solutions to maintain quality healthcare services. The Massachusetts government must work closely with Steward Health Care to address the financial troubles and prevent any disruptions that could have severe consequences for patients, healthcare workers, families, and communities.