Steward Health Care, the titan of physician-led healthcare networks in the United States, is signaling a retreat from Massachusetts. The network publicized plans to shut down New England Sinai Hospital in Stoughton, per a statement on Monday. A casualty of "chronic low reimbursement rates" and sharp financial losses, the hospital is looking at a final curtain call by early April 2024. Steward Health Care is grappling with a significant $22 million sinkhole from the hospital's operations, as reported by Boston 25 News.
"Nearly 75% of Steward hospital patients are public pay, which chronically underpays, sometimes at rates less than the cost of delivering services," Steward Health explained. "Unlike ‘non-profit’ systems, Steward does not have a multibillion-dollar investment portfolio to fall back on," the network emphasized. The closing of New England Sinai Hospital not only marks the end of an era but also cuts deep into the fabric of a community-based healthcare system.
New England Sinai Hospital's history stretches back to 1927, when it was opened as a non-profit entity to serve the less fortunate. Renowned for critical inpatient pulmonary and complex medical care, it has evolved over the decades into a leading long-term acute care hospital with a broad array of services. Detailing the hospital's significant contributions, the New England Sinai Hospital's website notes its 182 beds and auxiliary inpatient satellite location at Carney Hospital in Dorchester, bringing specialized care closer to the community.
In light of the impending closure, Steward Health Care is assuring a 120-day period to successfully place any existing patients across the broad network of skilled nursing facilities in the vicinity. "Today, the current average length of stay at NESH ranges from 41 to 48 days, which should provide ample time to successfully place any existing patients within the 120-day timeframe," the network noted. As the clock ticks on these transfer plans, stakeholders in the Massachusetts healthcare sphere observe with concern as the trend of community-based hospital closures continues to upend local healthcare dynamics.
