The Middletown Press (Middletown, CT)
Lawmakers call for hospital agreement
Urge Yale New Haven Health, Prospect to resume talks
State and local lawmakers are urging Yale New Haven Health and Prospect Medical Holdings to resume good-faith negotiations and come to an agreement to return three Connecticut hospitals to nonprofit status and protect thousands of jobs.
The proposed transaction that would transfer ownership of Manchester Memorial, Rockville General, and Waterbury hospitals to Yale New Haven Health has become contentious, with Yale arguing in court that Prospect has violated the terms of the initial agreement through mismanagement, leading to a significant decrease in the value of the hospitals.
In its lawsuit — filed in Hartford Superior Court on Friday — Yale New Haven Health named Prospect and its Connecticut subsidiaries as defendants, including Eastern Connecticut Health Network, or ECHN.
Prospect officials dispute that they violated the terms of the agreement, arguing that Yale New Haven Health is attempting to back out of the sale.
To date, Yale New Haven Health has not said that it doesn’t still plan to buy the hospitals, just that it is not willing to agree to the initial $435 million price tag.
Vernon Mayor Dan Champagne said that while the municipality is not part of the negotiations, “we are deeply concerned” about Yale New Haven Health’s decision to attempt to withdraw from the initial purchase agreement.
“We are also alarmed by Yale’s allegation of ‘irresponsible financial practices’ by Prospect Medical Holdings and the potential impact on ECHN’s viability,” he said.
Vernon Town Administrator Michael Purcaro said “the residents of Vernon and our surrounding communities deserve better. We will continue to strongly advocate for Rockville General, our local hospital, to be a vibrant health care center that meets the needs of our community and region.”
Manchester Mayor Jay Moran said he was disappointed to see that Prospect and Yale New Haven Health are not close to getting
a deal done.
“I thought we were at a point where we were going to get across the finish line,” he said. “I’m still confident that we will. I’m hoping cooler heads will prevail and they realize that the health and safety of the hospitals they represent is most important.”
While the town may lose a small amount of property taxes if Manchester Hospital is returned to nonprofit status, Moran is still in favor of Yale New Haven Health controlling the three hospitals.
“I think the history, the reputation of Yale’s health system is best for our community at this point in time,” he said. “I’m hoping that we come together on this because it means so much for our communities, not only Manchester, but Rockville and the Waterbury area.”
Likewise, Waterbury Mayor Paul Pernerewski said he’s “very disappointed” that the transaction has “dragged on” for more than two years.
“We need two viable, stable hospitals in Waterbury to meet our needs, so we need Yale to take over Waterbury Hospital at this point,” he said. “I am encouraged that both parties are saying that the suits are designed to bring this to a closing. I encourage them to get back to the table and come to an agreement. It is in everyone’s best interest to do so, especially the residents who rely on Waterbury Hospital for their health care. Let’s just get it done.”
Sen. Saud Anwar, DSouth Windsor, who is a pulmunologist at Manchester Memorial Hospital, said his focus is on roughly 500,000 Connecticut residents who rely on the hospitals and thousands of health care jobs
that support communities.
Employees’ “livelihoods are at the center of this conversation,” he said. “While I respect the disagreements between these two parties, we need to make sure the wellbeing of patients and the continued employment of all those engaged in providing high-quality medical care remain protected among all else.”
Anwar is urging both parties to continue renegotiating and to not abandon the transaction, which would be “devastating for countless individuals relying on these hospitals.”
“I will do everything in my power to keep this conversation active,” he said. “Despite these disagreements, our health care priorities first and foremost must be the greater good of Connecticut’s citizens.”
Sen. Jeff Gordon, RWoodstock, who is also a physician, said that he’s been in ongoing discussions with both Yale New Haven Health and Prospect officials and is hoping the two parties come to an agreement soon.
“This is an issue that must be resolved in a timely manner,” he said. “Delays in Yale New Haven’s state-approved opportunity to acquire our local hospitals will impact our entire community. That includes families, women, and seniors in need of medical care, and hundreds of local, dedicated employees working hard to make ends meet.”
Gordon said he will continue to be available to both parties to assist in any way he can to help come to a quick resolution.
“Our community health and jobs depend on it,” he said.