DELAWARE COUNTY, PA – February 6, 2025 – A federal bankruptcy court judge today approved the Commonwealth of Pennsylvania’s plan to keep Crozer Health operating, providing a small but critical win for maintaining local, accessible healthcare in Delaware County and surrounding areas.
The Delaware County State and Legislative Delegation and Delaware County Council’s statement on the Federal Bankruptcy Court’s decision is below:
The Delaware County State and Legislative Delegation and Delaware County Council applaud today’s federal bankruptcy court decision to approve the Commonwealth’s plan to keep Crozer Health open, with state oversight, for another 30 days. This extension will provide time to better understand Crozer’s financial position and work with regional health partners to keep Crozer open permanently under new ownership.
While this ruling provides much-needed time to address the crisis, the challenges surrounding Crozer’s finances and ability to provide essential healthcare services, including critical, life-saving emergency room care, remain urgent and deeply concerning. Prospect Medical Holdings’ mismanagement has brought the health system to the brink of collapse, and while closure has been avoided for now, the risk to our community’s access to care has not disappeared.
For months, our delegation and partners have been working on a contingency plan, knowing that decisive action would be needed to protect our constituents. This ruling allows us to continue those efforts, but it does not erase the debt and liabilities that Prospect has burdened upon Crozer. With this extra time, the focus must be on ensuring immediate, uninterrupted medical services while developing sustainable long-term solutions, and legally removing Prospect’s ownership status.
Today’s extension of Crozer’s operations would not be possible without the leadership of Governor Shapiro and the tireless work of the Office of the Attorney General under David Sunday. Their involvement in this case has been critical to keeping Crozer going in the midst of this national bankruptcy.
This delegation will continue working with county and state leaders with urgency to safeguard healthcare access for Delaware County residents. The need for strong oversight and accountability has never been clearer, and we remain committed to holding Prospect responsible while fighting to protect essential health services for our communities.
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