Several South Florida hospitals face financial trouble as its parent company files for Chapter 11.
Steward Health Care’s filing for bankruptcy will affect five local hospitals, including Palmetto General Hospital in Hialeah, Hialeah Hospital, Florida Medical Center in Lauderdale Lakes, Coral Gables Hospital, and North Shore Medical Center in Northwest Miami-Dade. All five are under Steward Health Care which is based in Texas.
Nurses at Florida Medical Center in Lauderdale Lakes protested back in 2022 warning the public of the financial troubles.
On the Steward Health Care website, they provided a link with court filings and other information related to the “restructuring proceedings.”
The private for-profit group has released a statement on the bankruptcy:
Steward Health Care has done everything in its power to operate successfully in a highly challenging health care environment, filing for Chapter 11 restructuring is in the best interest of our patients, physicians, employees, and communities at this time.
Dr. Ralph de la Torre, Steward Health Care CEO
The health care company blames insufficient Medicare and Medicaid reimbursement along with rising labor and medical supply costs for their financial troubles.
The company states all hospitals, doctors’ offices, and other facilities will remain open as it restructures its operations.
Hialeah Mayor Esteban Bovo Jr. made a statement stating the company reached out to his office and “ensured the residents of the City of Hialeah that the service of both Hialeah and Palmetto hospitals will not be affected.”
The Florida Agency for Health Care Administration also ensures the continuity and care at all Florida-based hospitals and medical facilities owned by Steward Health Care.
The company states it received $75 million in special funding and is now getting federal financial help through a third party to help sustain the hospital’s patient care services.
The health care company is hoping to receive a bailout.
The first federal hearing on the company’s bankruptcy filing is set for Tuesday.
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