Pennsylvania is witnessing a sharp rise in hospital closures amid growing concerns over unchecked healthcare acquisitions.
State lawmakers are calling for increased oversight after the shutdown of Crozer Health in Delaware County underscored broader instability in the state’s healthcare system.
What Happened
Crozer Healthâs closure in Ridley Park is the latest in a string of Pennsylvania hospital shutdowns.
Over the past five years, 26 hospitalsâboth nonprofit and for-profitâhave closed across the state, while 46 others have changed ownership.
The trend has raised alarms among legislators and healthcare advocates seeking stronger regulatory protections.
Key Details
Rep. Lisa Borowski of Delaware County introduced a bill in 2024 aimed at tightening state control over healthcare mergers and acquisitions.
The proposed law would require all major hospital sales or mergersâregardless of profit statusâto be reported to the Pennsylvania Attorney Generalâs Office.
This would allow for early review and possible legal intervention if the proposed deal is deemed harmful to public interests.
The bill passed the Pennsylvania House with bipartisan support and moved out of committee in the Senate unanimously.
However, Senate GOP leadership has yet to bring it up for a final vote.
Reactions or Statements
According to Spotlight PA, Borowski emphasized the need for timely transparency, noting that current laws only notify the attorney general after deals are finalizedâoften too late to act.
In 2024, then-Attorney General Michelle Henry sued Prospect Medical, the private equity firm that owned Crozer Health, for allegedly violating the terms of a decade-old acquisition.
By the time legal action was taken, major parts of Crozer had already been dismantled or closed.
Investigation or Whatâs Next
Borowskiâs legislation remains stalled in the Pennsylvania Senate, leaving the state vulnerable to more abrupt hospital shutdowns.
Supporters of the bill continue to advocate for action, arguing that proactive oversight could prevent future disruptions to local healthcare services.
No timeline has been announced for when, or if, the Senate will consider the bill in 2025.
FAQs
Why are so many hospitals closing in Pennsylvania?
Closures are largely linked to private acquisitions and financial instability within healthcare systems. Many deals lack public oversight.
What would Rep. Borowskiâs bill change?
It would mandate pre-sale reporting of healthcare acquisitions to the state attorney general, enabling earlier intervention.
How many hospitals have closed recently?
At least 26 hospitals have closed in Pennsylvania over the last five years.
What happened with Crozer Health?
Crozer Health was gradually dismantled by its private equity owner, leading to a lawsuit by the Pennsylvania Attorney General in 2024.
Whatâs the next step for the legislation?
The bill awaits a full vote in the Pennsylvania Senate. Advocates continue pushing for its advancement.
Summary / Final Takeaway
Pennsylvaniaâs healthcare infrastructure is at a critical crossroads.
With hospital closures on the rise, lawmakers are urging swift action to give the state more power over healthcare mergers.
Whether the Senate acts in 2025 could determine the future of local medical access for thousands of Pennsylvanians.