Second public hearing Tuesday on hospital sale to Centurion

The second in a pair of public hearings on the proposed sale of two community hospitals is scheduled for 4 p.m. Tuesday at Rhode Island College, with an option for remote participation and viewing.

Is proposed sale of Roger Williams, Fatima hospitals a cure for ailing health care landscape?

The event, organized by the Rhode Island Office of the Attorney General and Rhode Island Department of Health, is part of both agencies’ dual review of a proposal to sell Roger Williams Medical Center and Our Lady of Fatima Hospital to a new, nonprofit owner. 

Atlanta nonprofit The Centurion Foundation submitted an application to the state in November, offering to buy the two hospitals — plus affiliated physician groups, home care and hospice agencies and offices — from Prospect Medical Holdings, a Los Angeles-based private equity firm.

Under the state’s Hospital Conversions Act (HCA), hospital conversions to nonprofit status must be approved by the attorney general’s office and state health department. The two state agencies have until June 11 to accept, reject or impose conditions on the sale.

At the initial hearing on March 19, proponents of the sale, including company executives and hospital administrators, praised the sale as a way to reestablish local control and stabilize a struggling hospital system on firmer financial footing. However, workers with the United Nurses & Allied Professionals who work within Prospect’s Rhode Island subsidiary, questioned the finances of the sale; Centurion has proposed issuing taxable and tax-exempt bonds to cover the $80 million purchase price plus another $80 million for infrastructure, staff and equipment for the hospitals.

The public hearing Tuesday begins at 4 p.m. at RIC’s Alger Hall. Information on remote participation is available online. 

Written public comments on the sale will be accepted through  March 29, emailed to [email protected] or [email protected]. Mailing addresses are also available online.