The CEO of Prime Healthcare Services, the hospital operator that is in the process of buying Landmark Medical Center in Woonsocket, gave an overview of the for-profit company’s plans for the troubled health care center.
Included in the plans were four major points: make investments in health IT; replace major imaging equipment; reduce length of stay for patients; increase the number of patients in the Woonsocket service area.
That last point is an important one, since it is among the prime reasons the hospital has been in receivership for five years.
Prime CEO Dr. Prem Reddy also noted that the hospital required that Blue Cross & Blue Shield of Rhode Island increase the amount it reimburses the hospital to well more than what Medicare pays.
Prime is the second for-profit chain seeking to buy Landmark. Steward Health Care started the process but withdrew, in part because it could not reach an agreement with Blue Cross for reimbursement rates. It has subsequently sued the insurer for “unlawful attempted and actual monopolization of the market,” which it says caused the failure of Steward’s bid to purchase Landmark.
Is Prime the right answer for Landmark? Should the sale be approved?