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The House and Senate enacted legislation Friday that enables Massachusetts to take the land occupied by the under-construction Norwood Hospital by eminent domain, effectively ratcheting up the pressure for the property’s owner to make a deal with a new operator before the state flexes its authority to intervene.
“The fact that there was a citizens group that was actively looking (to) negotiate with MPT was encouraging,” House Speaker Ron Mariano told reporters Thursday. “But there’s still the major question out there, is who’s going to pay to come in there and make it a hospital and run a hospital? That’s going to be the challenge. We gave them the opportunity to negotiate and find someone. Now it’s up to them.”
A vestige of the Steward Health Care bankruptcy crisis, Norwood Hospital closed in 2020 due to catastrophic flooding. Construction of a new hospital was stalled as Steward went bankrupt, and the property remains controlled by Alabama-based real estate investment trust Medical Properties Trust.
The bill is on its way to Gov. Maura Healey’s desk and as of Friday was considered likely to sign it.
“I’d love to see it reopen,” Healey said during a radio appearance Wednesday. “I’m happy to support that legislation, which also I think says, though, you’ve got to find an operator. Like, you can’t just take it over, you got to find a hospital system to actually run the hospital. That’s not something government can do, so that’s what we really, really need to see.”
“But I sure hope we can get something back there, because, you know, the the people of that area, you know, lack that hospital presence right now, and you know, [as] somebody who wants to make sure that healthcare is more available and accessible you know I’d love to see that happen,” Healey continued.
The Senate passed redrafted legislation (S.3231) Wednesday that outlines a competitive bidding process for the Division of Capital Asset Management and Maintenance to carry out, requiring that proposals contemplate usage for healthcare purposes and only come from nonprofit buyers. DCAMM would also value the property, which would then be reviewed and approved by Inspector General Jeffrey Shapiro. The bill clarifies the land taking is subject to sufficient appropriation from the Legislature
The House passed a narrow eminent domain bill (H.5553) on July 1.
Mass General Brigham walked away from negotiations earlier this year to buy the Norwood Hospital property after MPT raised its asking price from $250 million to $375 million, The Boston Globe reported.
“The fact of the matter is that we wanted to send a message to the real estate company that owns the property,” Mariano said. “They started to negotiate with Mass General, and then came back and raised the cost of the property, so they weren’t negotiating in good faith. But we wanted to make sure that they understand they have to deal with the people of that area.”
Sen. Michael Rush, who represents the area previously serviced by Norwood Hospital, spoke from the Senate floor about the 250,000 people left without a nearby hospital when it closed.
“Even though the hospital closed, these patients did not disappear,” he said. “They are now driving further to Brockton, or Milton, or Boston. They are placing a burden on already overcrowded emergency rooms and putting their healthcare in jeopardy for time-sensitive emergency and cardiac events.”
Rush said taking the property would complete “finally pushing Steward and their accomplice, Medical Property Trust, out of Massachusetts once and or all, and restoring trust in the commonwealth’s healthcare infrastructure.”
