Last week, New York Comptroller Thomas DiNapoli released an audit that found SUNY Downstate will not have enough cash to cover all its expenses by this May. One of the major causes of SUNY Downstate’s financial ruin, according to the audit, was the acquisition of LICH in May 2011. Under the purchase agreement, SUNY Downstate took on $170 million of LICH’s liabilities, which the hospital has increasingly been unable to manage.
The SUNY board has reportedly “discussed the possibility of closing LICH” and will put the hospital’s closure to a vote in “the near future,” according to the report.
David Doyle, a SUNY spokesperson, told the New York Times that SUNY Downstate would have to submit an action plan to the state Health Department before the closing could occur.
More Articles on SUNY Downstate Medical Center:
Audit: SUNY Downstate Medical Center Faces Insolvency Within Months
SUNY-Downstate Begins Layoffs
President of SUNY Downstate Medical Center Unexpectedly Resigns Via Email
