Attorney Scott Cousins, who represents the Foundation for Delaware County, said the nonprofit was “tapped out at the $20 million” funding contribution and claimed that the organization has been left out of updates on sale negotiations.
“We were only in for the short-term plan,” Cousins said. “We are done.”
Cousins initially requested that his client be included in future sale negotiations, which proposed additional funding from the foundation. He cited other financial pressures facing the nonprofit and funds that have already been committed to other projects.
Jernigan said she was “baffled” at the foundation’s long-term priorities.
“I want somebody to be a hero here,” Jernigan said.
She ordered an early Wednesday morning video conference between the parties to reach a resolution.
“Sometimes hospitals close in bankruptcy, and it’s horrible when it happens,” Jernigan said. “And I don’t want it to happen.”
In a statement provided to WHYY News, foundation president Frances Sheehan said the $20 million contribution was to cover the hospital’s short-term needs while a long-term plan was developed.
“While the Foundation was hopeful that its significant contribution to this incredibly urgent situation would have borne fruit, the Foundation, like all stake holders involved, the State, the County, the employees, doctors, nurses, patients, staff and residents of Delaware County, are waiting and hoping for a long term plan to surface that will address the situation and such a plan has not yet been provided by anyone,” Sheehan said.
The state indicated it was working the phones to locate funding to keep the hospitals afloat while it continues to pursue a sale with the mentioned consortium. But Melissa Van Eck of the Pennsylvania Office of Attorney General said progress on that front has been complicated by Prospect’s years of “mismanagement” preceding its bankruptcy and the system’s continued need for support.
“Previously, there was some concern that this is another attempt at Prospect crying wolf, threatening to close and they’re not going to,” Van Eck said, but added that all parties do now recognize the urgency to reach a final resolution as the fate of the hospitals hangs in the balance.
Editor’s note: The Foundation for Delaware County is a WHYY supporter. WHYY News produces independent, fact-based news content for audiences in Greater Philadelphia, Delaware and South Jersey.
