Tower Well being introduced as we speak that it has secured a brand new proprietor for Brandywine and Jennersville hospitals, and that each amenities will stay open as acute care hospitals in Chester County.
Tower Well being has entered right into a definitive settlement with Canyon Atlantic Companions LLC, which can assume possession and operation of the amenities efficient Jan. 1.
Canyon Atlantic Companions is a hospital possession and administration group. Particulars of the deal weren’t launched.
“There was in depth work performed to discover a resolution for Jennersville and Brandywine Hospitals, and we’re happy to have recognized one which retains each hospitals open,” C. Tom Work, chair of Tower Well being’s board of administrators, stated in a information launch. “This switch of possession will guarantee continued, handy entry to take care of the Jennersville and Brandywine communities. It can additionally additional advance Tower Well being’s monetary and operational turnaround, positioning us to ship on our mission nicely into the longer term.”
Beneath the settlement, Canyon Atlantic Companions will assume all Brandywine and Jennersville Hospital belongings and operations as of Jan. 1. This implies all scientific and nonclinical employees in good standing on the hospitals will probably be supplied employment by Canyon Atlantic Companions efficient on the date of switch, Tower stated.
Canyon Atlantic Companions will even assume possession of all inpatient and outpatient companies related to the hospitals.
The announcement that Tower would shut Jennersville had led to an outcry from Chester County elected officers, medical skilled and chamber of commerce leaders. They have been additionally nervous about the way forward for Brandywine. The lack of the hospitals would depart many with out entry to hospital care, they stated.
Tower stated it heard the calls to maintain Jennersville open.
“We listened to the group and redoubled our efforts to maintain Jennersville and Brandywine hospitals open,” stated P. Sue Perrotty, president and CEO of Tower Well being. “We’re deeply grateful for the dedication of our employees, who confirmed steadfast dedication to our sufferers all through this course of. We now have numerous onerous work forward however consider this transaction represents the most effective alternative for the 2 hospitals.”
Whereas planning for the switch of operations continues, Tower Well being has suspended planning for the closure of Jennersville Hospital.
“Canyon Atlantic Companions is honored to be chosen to construct on the accomplishments of Tower Well being and can prioritize working intently with their communities and medical employees to make sure we meet their wants,” David Kreye, president and CEO of Canyon Atlantic Companions, stated in a information launch. “We look ahead to bringing our substantial expertise in acute care hospital turnaround and progress to additional elevate the onerous work of the superb medical employees at Brandywine and Jennersville hospitals, and in the end making an influence with the larger group that they serve.”
Tower just lately wrote off $370 million in worth of its hospitals. Not together with the write-off, Tower posted a $243.5 million loss for fiscal 2021, which ended June 30. It’s considered an enchancment over fiscal 2020, when it misplaced $415.3 million. Tower introduced in September it could shut Jennersville and promote Chestnut Hill and about 20 pressing cares to Trinity Well being Mid-Atlantic.
Tower contended within the Jennersville closure letter that it had made substantial investments in each the bodily area and human sources to the 52-bed hospital viable however simply couldn’t make it work.
Tower stated regardless of the continued efforts, Jennersville continues to maintain substantial losses and expertise substantial competitors within the service space. Tower has been unable to recruit new medical employees in key specialties.
Affected person volumes proceed to development down and employees turnover and vacancies are extreme, in line with the closure letter.
Jennersville has 52 staffed beds and 379 workers.