Boston-based Steward Health Care System may be in hot water with Massachusetts Attorney General Martha Coakley for planning to shut down Quincy (Mass.) Medical Center, according to a report from The Boston Globe.
Three years ago, when Steward acquired Quincy, the for-profit hospital chain made a promise to Ms. Coakley that it would keep Quincy open for at least 10 years or 6.5 years if financial conditions were poor. Additionally, Steward vowed to give at least 18 months notice before closing Quincy.
Steward provided fewer than 60 days notice when it announced it would close Quincy by the end of the year, which violates its own promise as well as the Massachusetts state law that requires hospitals to give 90 days notice prior to closing, according to the report.
Ms. Coakley's office is now reviewing the closure. No comment has yet been made on whether the Attorney General believes Steward has violated its agreement or whether it would act to enforce the agreement.
Thomas P. Koch, the mayor of Quincy, Mass., has demanded Ms. Coakley's office thoroughly investigate the matter, saying the interests of the hospital's employees must be protected, according to the report.
Meanwhile, Steward has cited patient shortage and deteriorating finances as the reasons it would have Quincy shut its doors Dec. 31.
Steward representatives claim the company spent $72 million on capital projects for Quincy and more than $34 million to support hospital operations since 2011 as Quincy continued to lose money. Quincy expects to lose an additional $20 million this year as only 20 percent of its 129 beds have been full, according to the report.
Steward has said they would keep some services in Quincy even after shutting down the city’s only hospital and is currently scouting locations for an urgent care center and an emergency department.
A public hearing will be held by the Department of Public Health regarding the shut down of Quincy, according to the report.