Roger Williams, Our Lady of Fatima hospitals sale to move forward. Here's why

Rhode Island Attorney General Peter Neronha announced on July 31 an amended decision to facilitate the sale of Roger Williams Medical Center and Our Lady of Fatima Hospital, reducing the cash-on-hand requirement for the Centurion Foundation from $80 million to $45 million. This decision, the second amendment in the sale process, also mandates that Centurion secure an additional $35 million within 90 days to meet the original requirement. Neronha acknowledged the hospitals' financial challenges while expressing confidence in the parties' ability to raise funds post-sale. He secured $50 million from an escrow account to establish a hospital fund as part of the transaction. Additional conditions include a $50 million investment in capital expenses within three years and ongoing financial monitoring.

The anticipated closing date for the sale is set for late August or mid-September, pending approval from a Texas bankruptcy court. Neronha emphasized the necessity of addressing Rhode Island’s low reimbursement rates from insurers to stabilize the healthcare system. "Until we make a Rhode Island patient mean the same financially as a Massachusetts or a Connecticut patient, our hospital systems and our providers and our workers are always going to be at a state of disadvantage," he stated.