In an email to Crozer employees, Prospect CEO Von Crockett mentioned several tough challenges. These include the ongoing effects of COVID-19, rising inflation, a serious cyberattack, and more health plans denying claims. These issues led to their difficult decision.
The once-troubled four-hospital system in Delaware County now operates only two hospitals: Crozer-Chester Medical Center in Upland and Taylor Hospital in Ridley Park.
Local leaders and state officials have clashed with the hospital’s management as Prospect cut back on services and closed certain wards at Crozer.
Frances Sheehan, president of the Foundation for Delaware County, expressed serious concern over the bankruptcy. This community foundation was established after the original sale of the Crozer-Keystone Health System.
“Crozer Health is more than just a hospital,” Sheehan stated. “It houses vital services like a trauma center, burn unit, and stroke center, and it is the largest EMS provider in Delaware County.” She emphasized that the foundation would persist in advocating for quality healthcare access for local residents.
The bankruptcy filing may also impact the lawsuit from the Pennsylvania Attorney General’s office. In October, the Attorney General accused Prospect of mismanagement and alleged “corporate looting.” This legal battle may now be on hold as they navigate this new development.
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