Hahnemann University Hospital, a 496-bed academic medical center in Philadelphia, will close amid financial crisis. Partnered with Drexel, it has served as a teaching hospital. The hospital, in critical central city Philadelphia, was a health access nexus and clinical trials research site.
Bought and Sold Many Times Over
Founded in 1848, Hahnemann Medical College and Hospital was the first homeopathic medical college in the United States. In 1993 the institution was purchased by Allegheny Health Education and Research Foundation and briefly became known as Allegheny University of the Health Sciences. The institution was then combined with others to become the MCP Hahnemann University School of Medicine. By 1998 the Allegheny Health Education and Research Foundation had declared bankruptcy. Healthcare giant Tenet Healthcare Corporation acquired its holdings, including MCP Hahnemann University School of Medicine, Hahnemann Hospital, MCP Hospital and other regional teaching hospitals associated with HCP Hahnemann.
Hahnemann Could Not Operate in the Black
The system’s owner, American Academic Health System, revealed in April 2019 that the system is losing $3 million to $5 million a month. The ownership announced layoffs to cut costs and proposed a “pathway to stability,” including required support from government, insurers and its academic partner, Philadelphia-based Drexel University. Drexel responded with a lawsuit seeking to block American Academic Health System’s closing of Hahnemann. Shortly thereafter a Philadelphia judge rejected Drexel’s request.
Finally, by June 26 Academic Health System announced the hospital was to be closed by September. Since then, a protest movement has swelled in hopes of saving the institution and its jobs. Most recently, Pennsylvania Gov. Tom Wolf and Philadelphia Jim Kenny issued a scathing news release declaring that the hospital closure is driven by greed, reports Kelly Gooch of Becker’s Hospital Review.Source: