Rep. Craig Williams of Delaware and Chester counties has announced the filing of an amendment to the state budget, along with a new bill, to establish the Hospital Acquisition Assistance Fund. This initiative aims to allocate $200 million for acquiring and reopening hospitals that have shut down following unsuccessful private equity takeovers, including Crozer-Chester Medical Center in Delaware County.
“This is about moving from oversight to action,” stated Williams. “We passed legislation earlier this month to give the Attorney General review authority over future private equity acquisitions, but that will not reopen Crozer or restore emergency care access for the families in my district. This proposal is about reopening the doors and helping the community recover.”
The proposed fund would be managed by the Department of Community and Economic Development, highlighting the economic consequences hospital closures have on local areas.
Williams has presented this measure through two legislative avenues: as an amendment to the state budget vehicle, which would not necessitate additional spending or revenue in the FY2025-26 budget; and as a free-standing bill aimed at garnering wider support from fellow legislators.
“I have said from the beginning that we cannot allow private equity firms to raid our hospitals, drain resources and walk away without consequences. At the same time, we must do the hard work of finding a path to reopening. This proposal begins that work,” Williams added.
As noted by Williams during a recent house floor discussion, while giving some supervisory power over hospital acquisitions to the Attorney General is beneficial, it does not directly lead to reopening hospitals in Delaware or Chester County. The proposed measures are intended to address this issue.
