Connecticut
Face the Facts: What Prospect Medical Holdings bankruptcy could mean for you
After three years of trying to purchase three Connecticut hospitals, Yale New Haven Health is starting to walk away from a deal with Prospect Holdings.
The state tried to help broker that deal with Prospect, but it declared bankruptcy this past week.
So what does that mean for patients and their doctors? NBC Connecticut’s Mike Hydeck spoke with Senator Jeff Gordon (R-Woodstock), who is also a medical doctor by trade, to provide some perspective.
Mike Hydeck: So let’s start with this deal. Why do you think it fell through? Are any of these three hospitals in danger of closing or having to layoff staff? Where does it go from here?
Jeff Gordon: There’s a real danger. They can close and layoff staff if this does not get solved quickly. The bankruptcy proceedings that Prospect’s in give some protections, but I really want to see Yale, which is still interested in purchasing the hospitals, be able to do that, keep the doors open so nobody loses their jobs, people get their paychecks, and patients get the care.
Mike Hydeck: So for people who don’t know how states and the federal government are involved in this. We’re actually a creditor in Prospect Holdings, I guess, loan to try to mitigate their finances. The State of Connecticut is. We have a vested interest in trying to see this deal go through, correct?
Jeff Gordon: Oh, absolutely. We are a major creditor. They owe a lot of money in back taxes they haven’t paid, and we have a huge interest in making certain people get the care they need at each one of these hospitals, and nobody loses their job as a result.
Mike Hydeck: So are there federal regulations they have to follow, too, in a deal like this? Because healthcare is a necessity in some of those hospitals in rural areas, and if they go away, that’s a big impact.
Jeff Gordon: There are some federal laws, but it’s really up to the state of Connecticut, and this is where the state of Connecticut really needs to take action now. I believe it should have taken action earlier, but it has to absolutely now, and hopefully we’ll do that in a time frame that’s relatively short.
Mike Hydeck: So in Yale New Haven’s releases on this topic, they said, ‘Look, when we started digging through the finances and we walked through the facilities, we saw the facilities were poorly maintained or not maintained at all. There was mismanagement throughout the organization.’ You’ve probably read the report. Is that a fair characterization? And then how does the state help to mitigate something like this?
Jeff Gordon: I believe that’s a fair characterization. We’re learning more and more that these for-profit private equities have not been telling the truth. A huge congressional report came out this month highlighting that nationally. So we’re going to uncover a lot of the facts during this bankruptcy protection. Yale does have a very valid point, but this highlights why the state needs to take action now. We can’t let it slide any lower.
Mike Hydeck: So when you go to buy a house or you go to buy a business, you do your due diligence. Did it take three years to go through this paperwork? It seems like a long time. Maybe it’s a complex transaction, so it takes longer than your average transaction, but is that a long period of time to try to get that data and understand the circumstances of what you’re about to purchase?
Jeff Gordon: Oh, absolutely it is. In fact, in Massachusetts and Rhode Island, they get more complicated things done with hospitals in a shorter time frame than, evidently, the Office of Health Strategy was able to. And that’s why one of my bills, Putting Patients Over Profits, and another bill on certificate of need is trying to reform this, so we don’t get into these lengthy delays of approvals. And now look what happens.
Mike Hydeck: So that’ll include a timeline when a deal like this is done?
Jeff Gordon: A 180-day timeline, very strict. Massachusetts and Rhode Island get it done within those timelines. Why can’t Connecticut?
Mike Hydeck: Well, who’s to blame here? Is the purchaser of these three hospitals not going through the paperwork fast enough? Or is the state holding something up, in your estimation?
Jeff Gordon: I believe it’s been the state holding it up. It’s a complicated deal, but if you really talk with folks involved, sure Prospect wasn’t being forthcoming with everything it should have been, but the state really was very delaying this, and we were pushing the state very much so to approve the deal. It just took way too long, and I’ve never gotten any good answers about why, and that’s why we need to reform this, because we can’t let these things happen and then look what happens now. We’re dealing with hospitals that are on the edge.
Mike Hydeck: So does that agency need to be reformed? Do they need more accountants so they can go through everything? How do you fix it? Like if it’s their problem, how would you like to see that department changed so this doesn’t happen again?
Jeff Gordon: There needs to be very serious reform for certificate of need. I, along with some fellow senators, have a very serious proposal, once again, to reform it. Common sense, simple things we can get done, and I’m hopeful we can get it done, but we just have to fight the bureaucracy to make certain that it’s reformed in the right way.
Mike Hydeck: Now, at a recent news conference, Governor Lamont said, ‘Look, if this sale falls through, there are other people lining up to buy this.’ But does that start the clock at zero again?
Jeff Gordon: Yes, it could. And we’ve heard, well, we can streamline that review. Well, if it could be streamlined now, why couldn’t have been streamlined before? It’s double talk. I hope Yale will end up buying. I’ve spoken with Yale. They are interested. We have to deal with the bankruptcy court, of course, but if we have to go to somebody else, look what happened in Massachusetts with the far worse situation, with Stuart Health. That became a massive, expensive mess, and they lost two hospitals, despite the state stepping in.
Mike Hydeck: I hope that doesn’t happen here.
Jeff Gordon: I hope not.
Connecticut
2 injured in motorcycle, pedestrian crash in Hartford
Two people were injured in a crash involving a motorcyclist and a pedestrian, according to officials.
The Hartford Fire Department was called to the crash just before 6:30 p.m. Officials said the crash happened on Albany Avenue between Edgewood Street and Sigourney Street.
When first responders got to the scene, they found two men injured but conscious and breathing. Fire officials said one person was in critical condition with serious injuries and another had an injury to his arm.
Both were taken to a nearby hospital for treatment.
The Hartford Police Department is investigating the crash.
Connecticut
Connecticut is Poised to Lose More Residents If It Fails to Fix Affordability
Connecticut may become a ghost town if lawmakers fail to address affordability concerns — and the warning signs are becoming harder to ignore.
A new AARP survey of residents aged 45 and older shows deep concern about rising living costs. Respondents cited housing, utilities, and medical care as major financial pressures, fueling broader worries about long-term financial security and the ability to afford retirement in Connecticut.
The numbers are sobering: 72% of respondents say they are concerned about the cost-of-living, up from 66% in 2023; more than half worry about being able to retire in Connecticut; and 33% report difficulty affording healthcare.
Those anxieties are translating into real financial strain. Nearly half say they have tapped into savings to cover rising costs. Forty-two percent have stopped saving for retirement altogether. Thirty-six percent struggle with monthly bills. Thirty percent have difficulty affording food. Thirteen percent report skipping medications due to cost.
These are not marginal concerns. They represent warning signals from a key demographic in one of the nation’s oldest states. Connecticut’s median age is 41.2, the seventh highest in the country. Meanwhile, the 35-to-49 age group declined by 13.1 percent between 2010 and 2022 — more than any other age group.
Older residents are increasingly relocating to states such as North Carolina, South Carolina, Florida, and Texas. The reasons are familiar: lower taxes, lower housing costs, and lower energy bills.
Despite a relatively high average annual income, Connecticut residents face some of the highest property taxes, income taxes, and corporate taxes in the country. At the same time, the state struggles with elevated housing costs and some of the highest utility rates nationwide. For retirees, the financial math often simply doesn’t work.
In the AARP survey, 92% of respondents agreed that the state government should prioritize utility rate and regulatory changes. That is telling.
Energy policy illustrates the broader challenge. Over the past several decades, Connecticut has adopted increasingly ambitious renewable energy mandates, including Renewable Portfolio Standards (RPS). This measure severely restricts utilities’ ability to find the cleanest and most efficient means of providing electricity. While environmental goals are important, restricting utilities’ energy sourcing options has contributed to higher costs.
The Public Benefits Charge, a state-imposed fee on electric bills that funds various renewable energy programs, has become another driver of high rates. When policy costs are layered onto utility bills, households feel it immediately.
Connecticut’s long-term emissions goals are ambitious. But energy policy must balance environmental objectives with cost and reliability. In Alternatives to New England’s Affordability Crisis, a coalition study of New England’s energy market found that a more diversified portfolio, including nuclear and natural gas, could significantly lower costs while maintaining reliability and reducing emissions.
The General Assembly is currently considering a bill to establish a workforce that would advance nuclear energy technologies. That is a conversation worth having. Energy decisions that improve affordability and reliability would directly address the concerns raised in the AARP survey.
Affordability, however, extends beyond energy. Government spending and taxation play a central role in everyday costs. When taxes and regulatory burdens increase, those costs ripple outward — affecting housing prices, transportation costs, and grocery bills.
Even proposals framed as targeting large corporations can affect consumers. For example, H.B. 5156, would impose retroactive costs on fossil-fuel producers. Industry groups estimate it could raise gasoline prices by nearly 33 cents per gallon. For families already struggling with food and medical bills, even incremental increases matter.
Gov. Ned Lamont has spoken about the need for growth and reform to strengthen Connecticut’s future. Growth, however, requires a competitive cost structure.
If lawmakers truly believe affordability is the top issue this session, structural reform, not temporary rebates, is required. That means reassessing the tax and regulatory environment that drives costs higher.
Connecticut’s affordability challenge is not inevitable. It is the cumulative result of policy choices. If those choices are not revisited, the state will continue to lose residents, particularly those in their prime earning years and those approaching retirement, to more affordable alternatives.
The survey results are not just statistics. They are signals. Lawmakers would be wise to take them seriously.
Connecticut
Connecticut to receive $154 million for rural health
Connecticut is set to receive more than $154 million aimed at improving health care in rural communities.
The funding comes from the Centers for Medicare & Medicaid Services’ Rural Health Transformation Program, according to a community announcement.
The Connecticut Department of Social Services will lead the initiative, partnering with other state agencies to implement projects across four core areas: population health outcomes, workforce, data and technology, and care transformation and stability, according to the announcement.
The program will include several innovative projects, such as a mobile clinic pilot with four primary care and four dental vans, a health workforce pipeline through the Area Health Education Center and UConn Health Center, and community health navigators.
“Rural Connecticut has unique challenges, and its residents deserve the same access to high-quality care and support as anyone who lives anywhere else,” Lamont said. “This investment allows us to tackle those challenges head-on – from expanding mental health services and building a stronger health care workforce to modernizing our technology infrastructure and connecting residents to the services they need. This is about making sure every corner of Connecticut has the opportunity to thrive.”
The program was developed through extensive public engagement, including more than 250 written comments, meetings with health care providers, local government officials and community organizations, as well as in-person and virtual listening sessions held across the state, according to the announcement.
Andrea Barton Reeves, commissioner of the state Department of Social Services, highlighted the program’s long-term vision.
“This program reflects our commitment to building systems that work for rural residents over the long term,” she said in the release. “We are excited and grateful to CMS for this opportunity to make sure that our investments are coordinated, impactful, and built to last.”
The program aims to bring health care closer to rural residents while supporting the workforce that provides care, said Dr. Manisha Juthani, commissioner of the state Department of Public Health.
“Every person in rural Connecticut deserves good health care close to home, and the people who provide that care deserve real support too,” Juthani said. “This funding helps us bring care to where people are and build the healthcare workforce our communities need. When we invest in both, we give everyone a better chance at staying healthy.”
Additional information about the Rural Health Transformation Program, including opportunities for public engagement, will be made available as implementation proceeds.
For more information, visit the Connecticut Department of Social Services website at ct.gov/dss.
This story was created with the assistance of Artificial Intelligence (AI). Journalists were involved in every step of the information gathering, review, editing and publishing process. Learn more at cm.usatoday.com/ethical-conduct.
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