MARCH 1, 2010
Governor Paterson Announces Progress Made in Effort to Assist Saint Vincent Catholic Medical Center
ALBANY, NY (03/01/2010)-- Governor David A. Paterson today announced that additional emergency funding has been secured for Saint Vincent Catholic Medical Center (SVCMC), providing the Stakeholder Task Force with more time to develop a viable, long-term strategy for the hospital's future. The funds were provided by GE Capital and TD Bank, which committed $5 million, and the State Assembly Majority, which committed $1 million.
"I am pleased to announce that we have obtained these funds and thank GE Capital, TD Bank, and the State Assembly Majority. This support will enable our Stakeholder Task Force to continue working on a plan for SVCMC's future," Governor Paterson said. "Meeting the health needs of this community remains our priority and we will continue to explore the options available so that SVCMC can continue to serve New Yorkers."
Governor Paterson convened the SVCMC Stakeholder Task Force last month to review how the hospital could continue its operations and preserve access to its critical medical services. The Task Force is comprised of representatives from SVCMC and its sponsors, lenders, 1199SEIU, the New York State Nurses Association, the Greater New York Hospital Association, and federal, state and local elected officials. The Governor also created smaller working groups to meet daily and to facilitate, organize and streamline the sharing of information.
Mark Toney, Chief Restructuring Officer for SVCMC said: "Over the past four weeks, we have had a number of discussions with potential partners for Saint Vincent's in order to preserve vital healthcare services for the West Side. The new funds made available today give us additional time to continue discussions. We are grateful to GE Capital, TD Bank and the New York State Assembly for their support of these efforts."
Darren Alcus, President GE Capital Healthcare Financial Services, said: "We are pleased that the State Assembly has committed to providing $1 million in funding for SVCMC in conjunction with our commitment to provide an additional loan of $5 million today to SVCMC. As Saint Vincent's and the Task Force are close to completing their work to explore options for the future of the hospital, we are willing to offer this additional $5 million emergency loan, on top of several previous emergency loans over the last few weeks and the more than $300 million in loans we have with Saint Vincent's. It is critical that the hospital achieves a successful collaboration in the very near term as it likely will be unfeasible for us to extend additional funds to stem their continued financial losses."
Assemblyman Richard Gottfried, Chair of the Assembly Health Committee, said: "I am delighted that GE Capital and Assembly Speaker Silver have been able to step in to help give us more time to work out a good future for Saint Vincent's."
Assemblywoman Deborah Glick said: "We are enormously pleased that we were in a position to provide some essential resources in our continuing effort to save crucial health care on the Lower West Side. Saint Vincent's is a much needed hospital and this is an important step in preserving quality health care for our community."
Congressman Jerrold Nadler said: "Members of the Saint Vincent's task force are working around the clock to save the hospital. We believe it is essential to maintain an acute care facility on the Lower West Side of Manhattan. And to that end I want to thank GE Capital and TD Bank who tonight have extended another life line to Saint Vincent's by making an additional $5 million available so that the hospital can continue to operate and meet it's obligations. This along with $1 million in funding by the State Assembly Majority will allow vital health services to continue at Saint Vincent's."
Senator Tom Duane said: "I am grateful to GE Capital and TD Bank for again stepping up with a vital cash infusion for SVCMC. I will continue my efforts to secure additional State funds to sustain SVCMC short-term as it continues working towards a viable long-term plan."
New York City Council Speaker Christine C. Quinn said: "I am thankful to all parties who have stepped up to help recognize that Manhattan's west side needs a Saint Vincent's emergency room and acute care hospital, in addition to a number of its community programs. Governor Paterson, GE Capital, TD Bank, and 1199 should all be thanked for the enormous amount of time and energy they have committed to this process. I also want to thank GE and TD Bank, and the New York State Assembly for their additional investment in this vital community institution. We will continue to work with all parties in an effort to create a long term solution to this problem."
Kevin Finnegan, Political Director for 1199SEIU, said: "We are very thankful to GE Capital, TD Bank and the State Assembly for their willingness to come forward with financial support for St. Vincent's hospital. These loans bring us one step closer to allowing the hospital to continue providing vital healthcare services to the West Village and Lower Manhattan. We will work closely with the hospital and all its stakeholders over the coming weeks to solidify a long term solution to the current crisis."