WOONSOCKET, R.I. (WPRI) – The R.I. Department of Health has approved a request by Landmark Medical Center’s parent company to revert the hospital back to not-for-profit status, just a few years after it became a for-profit institution.
Dr. Nicole Alexander-Scott, the health department’s director, issued her ruling in a 99-page decision. The move had been recommended by the state’s Health Services Council.
Among the 27 conditions that Alexander-Scott placed on her approval is a requirement that Prime Healthcare Services, Landmark’s owner, keeps it “open and operational” for at least five more years.
Woonsocket Mayor Lisa Baldelli-Hunt had opposed the change, citing the potential loss of property-tax revenue in her community.
The change in status for Landmark takes effect Jan. 1. The health department already levied a $1 million fine on Prime for failing to inform state officials it transferred Landmark to its nonprofit affiliate last Dec. 31 without approval. Alexander-Scott said the state will not recognize any backdating of the transaction.