Crozer Health, Prospect struggling to pay vendors, contractors

Springfield, Pa.-based Crozer Health and its parent company Prospect Medical Holdings' struggles to pay vendors has led to service and supply delays at Crozer-Chester Medical Center in Upland, Pa., NPR affiliate WHYY reported March 14. 

Peggy Malone, RN, president of the Crozer-Chester Nurses Association, told the radio station that patients were not able to get PICC line and IV line services because a bill with the vendor had not been paid. She said the bill has since been settled, but said there is a recurring pattern of one bill being paid while another is ignored.

Judy Ramos, president of the Crozer-Chester Society of Pharmacists, said credit holds are frequent, according to the report. Pharmacists have previously run out of equipment to package drugs due to a credit hold with a supplier. 

Beyond missing payments to vendors, the Upland Borough Police Department pulled out of an agreement to have an officer permanently stationed on-site because Prospect owes the borough nearly $70,000, according to the report. A local car dealership also seized two of Crozer's ambulances due to lack of payment. 

Ms. Malone said Crozer has suspended its match of 401(k) contributions to employees, according to the report. Crozer told staff they would be made whole by March 31, but Ms. Malone said there have been many empty promises made to staff.   

Prospect and Crozer did not respond to requests for comment from WHYY.

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