Seton Hospital sale to Prime Healthcare receives State approval with conditions

The Daily Journal/Associated Press/Don Thompson , 2/21/15.  "AG approves sale of hospitals:  Kamala Harris' decision requires Prime to operate five of the six for at least 19 years."

Seton Medical Center in limbo,
its not over yet

Seton Medical Center, or not

SACRAMENTO — Attorney General Kamala Harris approved the sale of six nonprofit Catholic hospitals to a for-profit corporation on Friday, while imposing conditions that could unravel the deal.

....  But Harris’ decision requires Prime to operate five of the six for at least 10 years, and imposes other “strong conditions to ensure continued community access to essential healthcare services,” said a news release from her office.

Harris’ conditions “are extensive, and many are unprecedented,” Prime Healthcare said in a statement. The two health care systems “will need to evaluate the viability and future stability of the DCHS hospitals under these conditions.” Read article.

Related article - The Daily Journal/Austin Walsh, 2/21/15.  "County officials llaud decision, hopeful Seton remains open."  .... "Should the sale ultimately be approved by Prime, Horsley said that contracts between the county and health care outlets would remain in place, but $11.5 million in funds drawn from the county’s half-cent Measure A tax offered to Daughters of Charity would be halted.

... A spokesman from Prime Healthcare said in an email it was too early for the health provider to commit to agreeing to the sale, under the conditions stipulated by the attorney general. “Given the complexity and extent of the conditions imposed, we need time to evaluate the conditions and their effect on the viability of the hospitals and the system,” said Fred Ortega, a spokesman from Prime. “We expect to reach a decision in a matter of days.”  Read article.

Referenced decision - State of CA Dept of Justice/Office of Attorney General/Kamala D. Harris, Attorney General."Non-profit Hospital Transaction notices." The Attorney General's Decision (pdf pages 78), granting conditional consent to the change in control and governance was issued on February 20, 2015.  HealthCare Impact Statements:  St. Francis Medical Center, St. Vincent Medical Center, O'Connor Hospital, Saint Louise Regional Hospital, Seton Medical Center and Seton Medical Center Coastside. Daughters of Charity Health System Board of Directors’ meeting minutes for 10/3/14.

Referenced hospital - Seton Medical Center.  Wikipedia/Seton Medical Center.  Note photographs.  Seton Medical Center by John G. from Yelp, 6/1/10.  "Save our hospital" from Natiuonal Nurses United, face photograph to CA Nurses Association protest, attempting to prevent Doctors Medical Center, San Pablo, CA Press Release, 8/12/14.

Posted by Kathy  Meeh