Skip to content

St. Agnes Hospital being downsized

Mercy Health System announced yesterday that it is phasing out its short-term nursing facility at St. Agnes Hospital, doing away with a day-care center and selling the hospital building, at Broad and McKean streets in South Philadelphia, because of "significant operating losses."

Mercy Health System announced yesterday that it is phasing out its short-term nursing facility at St. Agnes Hospital, doing away with a day-care center and selling the hospital building, at Broad and McKean streets in South Philadelphia, because of "significant operating losses."

The changes will affect 75 employees of the nursing facility who, officials say, will be given the chance to find other jobs within the health system.

Negotiations are under way to sell the hospital building, after which a long-term lease will be signed to keep the hospital there, but as a tenant.

The moves will not affect St. Agnes' Long Term Care Hospital and its Living Independently for Elders program, Mercy officials said.

They said that the short-term nursing facility, with 38 beds, has lost more than $2 million on average each year since 1998. The facility "has suffered from changes in the regulatory environment and insufficient government and commercial payer reimbursements," the officials said.

They said Mercy is working with the state Department of Health to determine a date next month when the service will end.

The day-care center, operated by Hildebrandt Learning Center, serves about 40 families. It will remain open through August. *