In a last-minute development, two hospitals in Warren are no longer in immediate danger of closure and may have a buyer willing to keep them open.
A bankruptcy court judge in Texas agreed Wednesday morning to an interim order that paves the way for a possible sale of Trumbull Regional Medical Center and Hillside Rehabilitation Hospital, which are owned by the bankrupt for-profit Steward Health Care.
The terms also approved Insight Health Systems, a Flint, Michigan-based for-profit, as the new managing operator of Trumbull Regional Medical Center and Hillside Rehabilitation Hospital while attorneys finalize details of the bankruptcy settlement.
Steward, which declared bankruptcy in May, had previously planned to shut down the Warren hospitals next week.
AFSCME Local 2026's Tom Connelly, who represents nurses at Trumbull Regional, said he doesn’t know much about Insight, and said the organization hasn't engaged the community yet.
“I view all of these goings-on with guarded, very guarded optimism," he said. "I'm hoping that we're working things out. But you can't blame the union or the employees for being reluctant or being cautious about what we're getting into.”
Rick Lucas, president of the Ohio Nurses Association which represents Hillside Rehab nurses, said in a written statement the decision to keep the hospitals open is "lifesaving for the patients and employees of those hospitals."
“ONA will work with the Insight Foundation of Hillside to ensure the transition keeps patient and staff safety a top priority, hospital operations fully functional, and continues to honor the collective bargaining agreement for our union nurses," the statement added.
Insight will take over, pending the entry of the court's order.
The bankruptcy hearing to finalize the settlement is Sept. 17.
Steward Health Care’s CEO has been invited to appear at a U.S. Congressional hearing Thursday on Steward's bankruptcy and private equity’s influence in health care.
