New Children's Hospital last week transferred its services and assets, valued at $20 million, to Sinai Hospital, part of LifeBridge Health system, all based in Baltimore.
In return, Sinai will rename its pediatrics department Children's Hospital at Sinai and use New Children's assets to support medical programs in the department.
The transfer ends New Children's search to remain viable as an acute-care facility in the face of falling occupancy and rising deficits. Founded in 1910 to care for children with chronic diseases such as polio, the facility evolved into an orthopedic, rehabilitation and surgical hospital largely for adults, culminating in the 1990 opening of Bennett Institute for Sports Medicine and Rehabilitation.
But as occupancy at the 76-bed hospital slipped to 15 patients per day amid multimillion-dollar losses on revenues of less than $10 million, the hospital sought but failed to complete a merger last year with North Arundel Health System in Baltimore (June 15, 1998, p. 34).
The LifeBridge transfer request was filed March 29 with the Maryland Health Resources Planning Commission.
LifeBridge is studying alternative uses for the main hospital building on New Children's campus. A division of LifeBridge will manage the Bennett Institute, and a medical office building will remain open.