New York hospitals recommended for closure seek ways to continue operating

Several small private hospitals are seeking ways to reinvent themselves or be removed from a list of closures created by the New York Commission on Health Care Facilities in the 21st Century, while other hospitals have filed lawsuits challenging the commission's recommendations, AP/Long Island Newsday reports (AP/Long Island Newsday, 1/21).

New York Gov. George Pataki (R) and the state Legislature formed the state commission in 2005 to recommend changes to the state's health care system.

The commission in November 2006 released its recommendations, including closing nine hospitals and reconfiguring 48 additional hospitals.

The recommendations would reduce the number of hospital beds in the state by at least 4,200, or 7%.

The commission estimated that the recommendations would increase revenue at hospitals that remain open by $720 million per year and save Medicare, Medicaid and other insurers $800 million annually (Kaiser Daily Health Policy Report, 12/4/06).

The law was set to take effect Jan. 1. Several hospitals have filed lawsuits challenging the legality of the commission.

The lawsuits "mainly rest on arguments that the establishment of the commission was unconstitutional or illegal for reasons including its secretive operating methods and its ability to order the closure of private businesses," AP/Newsday reports.

Other hospitals are trying to restructure to prevent closure, such as Victory Memorial Hospital in Brooklyn, which is hoping eliminate all of its acute-care beds to remain open.

Parkway Hospital in Queens plans to reduce, restructure and alter services provided in an attempt to remain open.

It is unclear whether the state Department of Health would accept any of the proposals or if the agency would have any authority in the matter, the AP/Newsday reports (AP/Long Island Newsday, 1/21).