Late Saturday night, Prospect Medical Holdings filed for Chapter 11 bankruptcy. This company owns three hospitals in our state - Rockville General Hospital and Manchester Memorial (both ECHN facilities) and Waterbury Hospital.
Although this news seemed an inevitability and a sign of worsening conditions, it is my understanding the hospitals will remain open during this process. The Department of Public Health will continue to monitor health and safety. And, as part of the bankruptcy process, Prospect will be expected to stay current on wages, benefits, and paying vendors.
We anticipate being regularly updated by executive branch agencies in their oversight capacity.
On Monday afternoon, the Governor, Attorney General, DPH Commissioner, Mayors of Waterbury and Manchester, staff from Manchester Memorial Hospital, and the ECHN Hospital Administrator held a press conference to talk about the weekend's developments. All noted that the hospitals will remain open and prepared to handle any emergency.
Here’s the governor’s statement:
“The administration has been preparing for the possibility that Prospect Medical Holdings would file for Chapter 11 bankruptcy. The three hospitals remain open, and we will continue to hold Prospect accountable to provide quality care to the communities that rely on these institutions.
“We have a cross-agency team in place to ensure hospital operations continue uninterrupted and that employees and vendors continue to be compensated, as required by court orders. As part of this response, we are in touch with management at these local hospitals, representatives for hospital staff, and local elected officials.
“Our number one priority remains maintaining safety and quality of care at Prospect’s three Connecticut hospitals. We currently have an independent monitor overseeing operations at Waterbury Hospital and will increase oversight at Manchester Hospital. We will continue to work to evaluate opportunities to transfer these institutions to a new operator.
The state will be monitoring the situation closely and intends to participate in court proceedings to the extent necessary to protect the interests of patients, employees, and creditors.” |