Phila.’s Northeastern Hospital to close

Temple University Health System said today it is closing Northeastern Hospital on Allegheny Avenue in the city's Port Richmond section.

The hospital will "transition" from an inpatient hospital to a multi-specialty ambulatory care center by July 1, Temple said.

The new center will focus on prenatal care and family health, offer non-emergency walk-in health care, and provide outpatient services such as cancer, cardiac, digestive disease, orthopedic and occupational health care. Radiology services and routine lab work will also be available.

Temple said jobs will be eliminated, but did not specify how many. Notification of employees to be laid off began today, Temple said in a statement.

The decision to close Northeastern as an acute-care hospital was made "in the face of declining utilization and mounting losses on health-care operations."

The hospital has served the community for nearly 100 years.

In fiscal year 2008, Northeastern Hospital had a $6.6. million loss and is projected to lose an additional $15 million in fiscal year 2009, Temple said.

The hospital's 800 employees were told of the closing at 1 o'clock today at a "town hall meeting," said Bill Cruice, executive director of PASNAP, the union representing 200 registered nurses at Northeastern Hospital which serves the communities of Kensington, Fishtown, Bridesburg and Lower Juniata.

The hospital will begin reducing inpatient services in May and end all inpatient and emergency services by June 30, Temple's statement said.

"They are making no promises which, in effect, represents a wholesale abandonment of that community," Cruice said.

Cruice said he learned of the closing in a telephone call about 12:45 p.m. from Temple's head of labor relations, Bob Birnbrauer.

Cruice said Birnbrauer indicated that 70 of the nurses would be offered jobs elsewhere in the system.

Kris Campbell, a registered nurse at the hospital, said "patients will be devastated. Many have never gone to another hospital in their lives."

Letty Thall, public policy director of the Maternity Care Coalition, said, in a statement, that when Northeastern closes its maternity services, "Philadelphia will have lost its last community-based hospital maternity service."

Temple said patients would be able to get all inpatient services, including labor and delivery, medical and surgical care, at Temple University Hospital. Temple plans a $1.6 million expansion of its maternity care department.

Northeastern Hospital's School of Nursing will remain in operation, with a plan to strengthen ties to Temple University's bachelor of science in nursing program, Temple said.

As of July 1, the Temple University Health System will consist of Temple University Hospital, Jeanes Hospital, Temple's Episcopal Campus, Northeastern Ambulatory Care Center, Temple Physicians Inc. (a network of primary-care physicians), and Temple Transport Team (T3), said Rebecca Harmon, the health system's director of public relations.

In February, Edmond Notebaert, the new leader of Temple University Health System, warned of $40 million to $50 million in spending cuts this year, but did not specify how those savings would be achieved.

Notebaert, president and chief executive officer of the health system and head of Temple's medical school, has previously told employees that the system needed to make the cuts because it had lost money on operations for five of the last six years.

Notebaert said, at a meeting with The Inquirer's editorial board in February, that Northeastern Hospital had been losing money and needed a "huge capital infusion." Rumors that the hospital, or its maternity ward, may close have prompted community protests.

Hospital nurses and other employees said in a statement that community groups, physicians and employees have repeatedly asked to be part of the planning for Northeastern's future, and that Temple officials have refused.

Employees said the health system "made a profit of $23 million in the fiscal year ending June 2008." Although a loss is projected in the current fiscal year, "the institution remains fiscally sound with a cash reserve of $380 million," the statement said.