Mass. Congressional delegation demands answers on Steward's financial health

Members of the Massachusetts congressional delegation are asking Steward Health Care System for more information about its finances and the fate of the nine hospitals it operates in the state.

A statement from the state's two senators and nine members of Congress asks Steward to brief them on the company's "financial position, the status of their Massachusetts facilities, and their plans to ensure the communities they serve are not abandoned."

Steward, a for-profit hospital chain based in Texas, said last week it is facing financial headwinds due partly to the COVID-19 pandemic and partly to low reimbursement rates from Medicare and Medicaid, the federal health care programs for elderly and low-income patients.

The demand from federal lawmakers comes as state officials consider options to avoid shuttering hospitals — which could include the takeover of some Steward facilities by other health care systems, according to several people with knowledge of the discussions.

Massachusetts Attorney General Andrea Campbell hinted at the possibility of a future investigation into Steward, but said her office is currently focused on protecting access to health care and jobs.

“We’re currently in problem-solving mode, willing to use every power available to us to protect these priorities, while looking to a time in the near future to seriously address how Steward got in this situation," Campbell said.

Federal lawmakers said hospital closures would be devastating.

"The abrupt closure of Steward’s Massachusetts hospitals would significantly limit access to inpatient critical care and inpatient behavioral health care, as well as maternal and newborn health services in eastern Massachusetts,” the lawmakers' statement said. “The burden of Steward hospital closures would be borne primarily by the Massachusetts residents who already experience the greatest challenges accessing health care.”

Steward has not specified what kind of assistance it is requesting. A Steward spokesperson said the congressional delegation's request underscores the importance of the company's community hospitals.

“Given that 70 percent our patients are covered by state and federally funded programs, we look forward to briefing the delegation and exploring potential solutions," Steward said in a statement emailed to WBUR.

State officials, including Gov. Maura Healey, said they are closely monitoring the situation. The Massachusetts Executive Office of Health and Human Services said the state's priority is maintaining "safe and high-quality care" in all health care facilities.

"When healthcare facilities or services close, we are always concerned about any potential disruption to patients, healthcare workers, families, and communities," an EOHHS spokesperson said in a statement."[The state Department of Public Health] will continue to closely monitor and work with Steward to protect patients, preserve jobs, and maintain quality.”