Sen. Tim Kearney & Rep. Lisa Borowski Introduce Legislation to Safeguard Pennsylvania’s Healthcare Systems
Rep. Lisa Borowski May 14, 2025 | 4:15 PM
HARRISBURG, PA – May 14, 2025 – State Senator Tim Kearney (D – Delaware), and state Representation Lisa Borowski (D – Delaware) yesterday formally introduced companion legislation aimed at protecting Pennsylvania healthcare services and facilities from the harmful effects of unchecked corporate ownership in the healthcare industry. The pair of bills, Senate Bill 322 and House Bill 1460, will grant the Pennsylvania Office of Attorney General authority to oversee hospital mergers, acquisitions, and major financial transactions that may jeopardize patient access and public health.
The legislation comes in direct response to the recent and devastating closure of the Crozer Health System, which permanently closed its two remaining hospitals recently, leaving thousands of employees without jobs and the surrounding communities without access to local hospital care.
“Crozer’s tragedy has shown us exactly how damaging unchecked corporate greed can be,” said Senator Kearney. “When private equity is allowed to run rampant through our healthcare system, communities like Delaware County, are left with closed hospitals, lost jobs, higher healthcare costs, and limited options to turn to for emergency care. We owe it to every Pennsylvanian to make sure this never happens again. These bills must be passed this session. The future of our healthcare systems depends on it.”
Both Sen. Kearney and Rep. Borowski are members of the Delaware County Legislative Delegation and have been advocating for reforms like this since 2022, well before the Crozer crisis came to a head.
The first legislative package introduced by the delegation in June 2022 saw no movement in the General Assembly. Last year, Rep. Borowski’s House bill gained momentum, passing the House but ultimately stalled in the Senate. Now, the delegation is once again pushing to get meaningful reforms passed by both chambers and signed into law.
“This is one of those pivotal moments for us as lawmakers elected by the people to represent their interests. How we choose to respond to the crisis private equity firms are inflicting on our healthcare system will speak volumes to Pennsylvanians about our courage to do what’s right,” Rep. Borowski said. “And it’s not just Delco residents who depend on us to step up; it is happening to communities across the Commonwealth, creating swaths of barren healthcare deserts. This is our moment to show we won’t relent until we’ve done everything it takes to protect their access to healthcare.”
“Circumstances have changed a lot since the House passed this bill last session. I am optimistic the legislature will act together to get these protections in place before another health system is allowed to crumble,” Borowski continued.
Senate Bill 322 (Protecting Healthcare Institutional Sustainability from Harmful Deals) and House Bill 1460 (Protecting Pennsylvania Health Services and Facilities) would:
- Grant the Office of the Attorney General expanded authority to review mergers, acquisitions, and other major financial transactions involving health systems
- Prohibit healthcare sale-leaseback agreements by private equity firms
- Require healthcare entities to submit detailed financial and operational disclosures before completing major transactions
- Allow deals to be evaluated on a case-by-case basis
With the bills introduced, Kearney and Borowski expect legislative action to begin when the legislature reconvenes in Harrisburg the first week of June.
###