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Brooks, TLC Network in line for $57 million in state funds

Brooks Memorial Hospital and TLC Health Network are in line to receive $57 million from New York state as part of a northern Chautauqua and Southern Erie Health Care delivery plan, according to a news release from Gov. Andrew Cuomo’s office.

Announcement of the funding is likely part of a plan that has been in the works for months to get the two facilities tied to Kaleida Health. The OBSERVER has reported since September that Kaleida would be a likely partner and that is expected to signal the end of the current contractual consulting agreement Brooks has with the University of Pittsburgh Medical Center.

“The corner has been turned toward a bright future for Brooks Memorial and TLC Lake Shore hospitals,” said state Sen. Catharine Young. “It was imperative to protect and preserve health care for people in our region. Saving Brooks and Lake Shore from closing has been a long and difficult endeavor that now has been won. This $57 million will transform these health facilities into a state-of-the-art integrated system that will give people the care they need and deserve, and save lives.”

The news of the funding is part of $155.7 million in grant awards for 10 projects that will dramatically transform and improve the delivery of health care in Western New York. This funding is a portion of a $1.5 billion commitment made by New York state to help health care providers statewide fund critical capital and infrastructure improvements, as well as integrate and further develop health systems.

“It’s a brand new day for patients in the Western New York and the Southern Tier,” Young said. “Today’s announcement means a bright future for my hospitals, and these multi-million dollar awards will ensure access to high quality health care where we need it most right here in our communities. I thank Governor Cuomo and the Department of Health for their commitment to protecting and preserving excellent health care for the people of our region.”

Others also are elated by the funding announcement. “I am thrilled to hear the news of the Governor’s major health care investment in Chautauqua County,” said County Executive Vince Horrigan. “A strong health care system is essential for the quality of life for our citizens and keeps us on a path of growth and opportunity going forward.”

Dunkirk Mayor Willie Rosas echoed Horrigan’s sentiments. “On behalf of city residents, we are extremely grateful to the Governor for his continued attention toward our needs here in Northern Chautauqua County and the City of Dunkirk,” he said. “This $57 million grant allocation will go a long way toward ensuring the kind of quality and affordable health care services upon which we depend and help further secure our community’s future.”

Brooks and TLC Health Network have been in dire financial straits since an agreement was announced in 2012 with UPMC. TLC has since split from the health-care giant, while Brooks continues to take its leadership from J. Gary Rhodes, interim chief executive officer, who is also an executive at Kane Community Hospital in Pennsylvania.

“Two years ago Chautauqua County was faced with the announced closure of Lake Shore Hospital,” state Assemblyman Andrew Goodell said. “Two months ago, we were notified of the dire financial straits facing Brooks Memorial Hospital. This funding enables both hospitals to move forward in a much stronger financial situation, providing the highest quality of health care for Northern Chautauqua County in a cooperative manner.

“This is a new dawn for Northern Chautauqua County with critical funding from the State of New York to restructure the health care delivery system on a long-term sustainable basis. … I deeply appreciate the support we’ve received for these projects from Governor Cuomo, Senator Young and the New York State Department of Health. These major grants reflect the great confidence in the quality of the medical personnel that work at all three hospitals, and their ability to provide top notch care to local residents.”

In October 2013, it was announced that TLC’s Lake Shore Hospital in Irving would be closed. Since that time, however, TLC broke away from the UPMC partnership and has been on its own officially since 2014. In 2015, the Irving hospital reported it ran a deficit of $700,000.

“We have a responsibility to continue to make critical capital and infrastructure improvements that transform our health care system into one of sustainability with a deep focus on improving patient care and delivery of vital services,” Cuomo said. “This funding allows them to do just that and is yet another example of how New York is leading the nation in adapting to meet 21st century health care needs.”

Since 2012, Brooks has run deficits of more than $13 million while also depleting reserves that were once $17 million.

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