California Attorney General Kamala Harris handed down a hotly anticipated verdict on Friday.
Harris approved the controversial sale of the Daughters of Charity Health System, a chain of six hospitals, two of which are in Los Angeles County, to Prime Healthcare Services for $843 million.
However, Harris’ decision comes with a long list of conditions (link to: http://oag.ca.gov/news/press-releases/attorney-general-kamala-d-harris-issues-decision-approving-sale-six-daughters). It is not yet known whether Prime will go through with the sale, given the restrictions.
In a statement released Friday afternoon, Prime executives said they are thankful for Harris’ approval, but also said they would have to “evaluate the viability and future stability” of the Daughters of Charity hospitals under the Attorney General’s conditions.
“The conditions imposed on this sale by the Attorney General are extensive and many are unprecedented, including maintaining four hospitals as acute care hospitals and a fifth as a skilled nursing facility for a minimum of 10 years,” the company said.
One of the conditions demands that Prime must operate Lynwood’s St. Francis Medical Center and two other hospitals that are part of the sale as acute care hospitals and offer emergency services for 10 years. Another condition demands that Prime be certified to participate in the Medi-Cal and Medicare programs and have Medi-Cal managed care contracts at each of the facilities, also for 10 years.
Other conditions were meant to protect lesbian, bisexual, gay and transgender rights, as well as women’s reproductive rights.
“There shall be no restriction on the provision of reproductive health care services, including such services prohibited by the ‘Ethical and Religious Directives for Catholic Health Care Services’ as determined by the United States Conference of Catholic Bishops,” Harris wrote in a letter signing off on the deal.
St. Vincent Medical Center near downtown Los Angeles is among the six hospitals Prime will acquire if it agrees to Harris’ demands.
