While Feds and Creditors Wrangle, 10 Former Hahnemann Urology Residents Have Settled In With Two Local Hospitals
From the Philadelphia Tribune:
Hahnemann University Hospital’s more than 550 residency slots have been sold at auction for $55 million to a consortium of six local health systems. Philadelphia-based Einstein Healthcare Network, Jefferson Health and Temple University Health System joined forces with Main Line Health, Cooper University Health Care in Camden and Christiana Care Health System in Wilmington to win the final bid in a lengthy auction process.
Hahnemann’s owner had reached an agreement to sell its residency slots for $7.5 million to Tower Health, which has six area hospitals in Philadelphia’s suburbs, Chestnut Hill, and Reading. Tower was outbid during an auction process Thursday, which caused Friday’s scheduled Chapter 11 bankruptcy hearing, required to approve the sale, to be postponed.
The Centers for Medicaid and Medicare Services funds the residency positions, and has formally objected to the sale of the programs. In a court filing, “Hahnemann’s Provider Agreement terminates with its closure, making it ineligible to be transferred,” wrote U.S. Justice Department attorney Marc Sacks, adding that the plan was “contrary to the law” because the agreement would limit CMS’s ability to recoup its payment, and the buyer would not assume the liability for the residency programs.
Meanwhile
10 new urology residents are busy honing their skills at Lankenau and Bryn Mawr Hospitals. And according to Bridget Therriault, a spokesperson for Main Line Health, “the transition of the residency program was approved by the ACGME (American College of Graduate Medical Education) and is an MLH program that will be housed at both Lankenau Medical Center and Bryn Mawr Hospitals.”