Redwood City, Calif.-based Verity Health System, the hospital’s owner, filed for Chapter 11 bankruptcy in August, and the task force is worried Seton Medical Center could close as soon as March 2019. The hospital serves patients in both San Mateo and San Francisco counties, 80 percent of whom are low-income or seniors.
“It is sad that throughout the U.S., hospital bankruptcies are plaguing poor communities. It’s an absolute shame for what happens to poor people,” said San Mateo County supervisor David Canepa.”You have to understand, if Seton closes, our next emergency room is potentially in Millbrae or San Francisco.”
After filing for bankruptcy, Verity is now looking for potential buyers for Seton.
The task force will meet to discuss how it can begin to solve the financial issues at the hospital, including a required multimillion-dollar seismic retrofit and the more than $1 billion of debt and unfunded liabilities the hospital owes. These issues could pose a large obstacle for potentially interested buyers.
“We are taking a proactive approach with supervisors and state officials to really ensure that this institution remains,” said Juslyn Manalo, Daly City mayor.
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