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Governor Healey Announces Agreements for Lifespan to Acquire Saint Anne's, Morton Hospitals and Lawrence General to Acquire Holy Family

Government and Politics

August 29, 2024

From: Massachusetts Governor Maura Healey

Boston - Governor Maura Healey announced today that Lifespan Corporation has filed an asset purchase agreement (APA) to acquire and operate Saint Anne’s Hospital in Fall River and Morton Hospital in Taunton and Lawrence General Hospital has filed an APA to acquire and operate both campuses of Holy Family Hospital in Haverhill and Methuen.  

“This agreement accomplishes our goal of maintaining and protecting access to care and jobs in Southeastern Massachusetts and the Merrimack Valley, while removing Steward Health Care from Massachusetts once and for all. I am grateful to Secretary Kate Walsh and Commissioner Robbie Goldstein for their and their team’s incredible leadership and work navigating us through this challenging time. I welcome Lifespan, its leadership and team to Southeastern Massachusetts and appreciate Lawrence General Hospital for stepping up to preserve care in the Merrimack Valley. All of us will work hard to bring this over the finish line,” said Governor Maura Healey. “We continue to work as quickly as possible to complete the agreement for another qualified operator to take over Good Samaritan, move forward on our plans to take control of St. Elizabeth’s through eminent domain, and support the communities impacted by the upcoming closures of Nashoba Valley and Carney Hospitals.” 

“From the start, our priority has been to stabilize health care in eastern Massachusetts, and today we have a path forward to accomplish that for Saint Anne’s, Morton and Holy Family Hospitals,” said Health and Human Services Secretary Kate Walsh. “My immense gratitude to everyone who worked so hard to get us here – not only the new operators and health care community leaders across the state, but the many employees of these facilities who have had months of not knowing what the future would look like. We would not be where we are today without your dedication and perseverance.”  

“The completion of sale agreements for three Steward hospitals in eastern Massachusetts creates a path forward that will maintain health care in these communities across the region. This is welcome news for residents across the state,” said Public Health Commissioner Robbie Goldstein, MD, PhD. “Throughout the hospital transition process – and as long as necessary – DPH monitors will remain on site in each of the Steward hospitals to assess that the equipment, supplies, staffing, and processes necessary for safe care are in place.”  

“Today marks a significant milestone following months of effort and extensive collaboration with the Commonwealth of Massachusetts. This partnership will serve as a strong foundation as we take our next steps and, with the Bankruptcy Court’s approval, transition these two valued hospitals to Lifespan ownership,” said Lifespan President and CEO John Fernandez. “We share the Commonwealth’s goal of preserving and protecting access to care – and we firmly believe that the addition of Saint Anne’s and Morton hospitals creates a unique opportunity to build our regional healthcare organization that will benefit the health of the communities in both Massachusetts and Rhode Island. Our team at Lifespan echoes the Commonwealth’s gratitude to the dedicated physicians, nurses, and staff of Saint Anne’s and Morton and, pending requisite approvals, looks forward to working with their talented teams as we enable these two important community assets to continue providing the exemplary care they are known for.” 

“We are pleased to announce that, with support from the Commonwealth, we have signed an agreement that will allow Holy Family Hospital, both the Methuen and Haverhill campuses, to join Lawrence General Hospital,” said Abha Agrawal, MD, President & CEO of Lawrence General Hospital. “We are excited about the opportunity to build a true regional healthcare care system in the Merrimack Valley, one that puts quality and safety at the forefront of everything we do and is guided by the principle of caring for our community. We are grateful to the many stakeholders who have helped in this process, including our federal and state legislative delegations, local officials, and the unions who represent employees at Holy Family Hospital.” 

The Lifespan and Lawrence General Hospital agreements will now have to be approved by the bankruptcy court at the upcoming hearing on Wednesday, September 4. The state will support these new operators for a limited timeframe, primarily by advancing MassHealth funding and similar funding that the hospitals were already set to receive. The administration is in the process of finalizing these financial agreements with Lifespan and Lawrence General Hospital. 

Earlier this month, Governor Healey announced that deals in principle had been reached to transition operations at four Steward Hospitals. The other deal that remains to be finalized is Good Samaritan Medical Center, which would be taken over by Boston Medical Center. The Healey-Driscoll administration is also in the process of taking control of Saint Elizabeth’s through eminent domain to facilitate the transition to a new owner – Boston Medical Center – and keep the hospital open. 

Formed in 1994, Lifespan is a not-for-profit health system based in Providence, R.I. It is comprised of the three teaching hospitals of The Warren Alpert Medical School of Brown University: Rhode Island Hospital and its Hasbro Children’s Hospital; The Miriam Hospital; and Bradley Hospital, the nation’s first psychiatric hospital for children. Lifespan is also comprised of Newport Hospital, a community hospital offering a broad range of health services; Gateway Healthcare, the state’s largest provider of community behavioral health care; Lifespan Physician Group, the largest multi-specialty practice in Rhode Island; and Coastal Medical, a primary care driven medical practice. Later this year, Lifespan will become Brown University Health. 

Lawrence General Hospital, established in 1875, is a private, non-profit community hospital providing the Merrimack Valley and Southern New Hampshire. It achieved the Gold Seal of Approval from The Joint Commission in 2022, the health care industry’s pre-eminent accrediting body. The Joint Commission accredits more than 17,000 health care organizations and programs in the United States and is a leader is promoting patient safety within the health care industry.