Thank you!
Your support is sustaining the future of local news in our communities.

Connecticut approves merger of Northwell, Nuvance health systems

Connecticut approves merger of Northwell, Nuvance health systems

Sharon Hospital

Archive photo

Connecticut’s Office of Health Strategy approved a merger between Northwell Health, a large New York-based health system, and Nuvance Health, which owns Danbury, Norwalk, Sharon and New Milford hospitals in Connecticut, as well as three hospitals in New York, according to a Tuesday announcement by the agency.

The two systems now have to complete the step of formally joining the entities together under the Northwell Health banner, a spokesperson for Nuvance Health said.

Northwell isn’t directly paying to buy the Nuvance Hospitals, per se, resulting in a technical purchase price of $0. Instead, the New York-based health system has agreed to invest $1 billion in Nuvance’s Connecticut and New York hospitals over the next five years, with annual reporting on the progress of those investments.

Those investments will go toward a number of capital projects and the implementation of a new electronic medical recordkeeping system, according to Boyd Jackson, director of legislation and regulation at OHS.

“No money is being transferred directly within the affiliation deal,” Jackson wrote in an emailed statement, explaining that, instead, “Northwell has made promises of capital investment.”

Nuvance Health has been struggling financially for some time, posting a $99 million deficit in fiscal year 2024, which executives chalked up to, among other factors, increasing costs and the aftereffects of the COVID-19 pandemic.

John Murphy, a physician and the chief executive officer of Nuvance Health, said the merger will help improve health care for the system’s patients.

“By joining forces with Northwell Health, we can strengthen and enhance our ability to meet the needs of patients across Connecticut and the Hudson Valley for generations to come,” Murphy said.

During a public hearing on the merger in November, Murphy said Nuvance’s financial challenges had reached a point where the system could no longer survive without the support of a parent company.

“Nuvance Health today finds itself at an inflection point, where continuing its current course threatens the long-term viability of our facilities and programs and the future of health care in Western Connecticut,” stated Murphy in pre-filed testimony for the November hearing. “We firmly believe the time has come to join a larger health system.”

The combined health system will have 28 hospitals, over 1,000 care sites and a network of 14,500 providers across New York and Connecticut, according to the statement from Nuvance.

The state’s approval hinges on certain conditions, laid out in an agreed settlement. These conditions include the $1 billion investment in Nuvance hospitals. The agreement also prohibits, for five years, any real estate sale-leaseback transactions, the type of deal that many critics say drained the resources from the Prospect Medical Holdings-owned Connecticut hospitals while enriching the health system’s private equity backers.

Northwell also reached an agreement in August with Attorney General William Tong to maintain labor and delivery services at Sharon Hospital for the next five years.

Northwell Health is the largest private employer in New York state, according to the company’s website, and owns 21 hospitals and 900 ambulatory sites. The health system does not currently own any hospitals outside of New York.

Health care consolidation — the trend of big health systems buying up hospitals — has been shown to lead to cuts in critical services, as well as higher prices. But the proposed merger with Northwell received significant public support.

During a hearing in November, several people from the hospitals’ surrounding communities expressed hope that Northwell could help strengthen the Connecticut hospitals. Those testifying included many Nuvance employees, as well as members of Save Sharon Hospital, a community group that has fought against service cuts at Sharon Hospital.

During the same hearing, Mark Solazzo, the chief operating officer at Northwell Health, said that the company intends to address financial challenges at Nuvance by, among other tactics, increasing staff retention, reducing reliance on outsourced contractors and driving down costs through collective purchasing.

“We have never closed a hospital, and we don’t intend to,” Solazzo said.

Katy Golvala is CT Mirror’s health reporter. This story was originally published by the CT Mirror.

Latest News

Storms rip through Northwest Corner on July 4, stranding travelers, closing roads and knocking out power

A blocked road on Route 41 in Salisbury looking north at Cobble Road.

Patrick Sullivan

What began as a sunny, picture-perfect Independence Day took an abrupt turn Saturday evening, as powerful thunderstorms and possible microbursts swept across the Northwest Corner, bringing down trees and power lines, closing roads and leaving many residents unable to reach home.

As of 9:15 p.m., more than 70,000 Eversource customers in Connecticut were left without power after the storms. The Northwest Corner was among the hardest hit regions.

Keep ReadingShow less
Kent's Fourth of July plans change due to heat, potential storms

The Veteran’s Memorial is set to receive a new plaque commemorating Kent’s 44 known Revolutionary War servicemen. The stone will be displayed throughout the weekend’s USA 250 celebrations.

Alec Linden

KENT – Kent organizers made last-minute changes to the town's Independence Day celebrations due to extreme heat and possible storms, bringing some activities inside and making slight changes to the parade. Fireworks at Lake Waramaug are planned as scheduled.

Members of the town’s USA 250 Subcommittee made the changes during a July 1 after the National Weather Service issued an extreme heat warning. With temperatures expected to reach the low to mid-90s, Gov. Ned Lamont also activated Connecticut's Extreme Hot Weather Protocol on Tuesday, which remains in effect through Sunday.

Keep ReadingShow less
E. Jean Carroll backs out of book-signing event at Hotchkiss Library for safety reasons

The Hotchkiss Library of Sharon will host its 28th annual Sharon Summer Book Signing event July 31 through Aug. 2.

Aly Morrissey

SHARON – Facing threats of violence amid a public dispute with President Donald J. Trump, famed author and journalist E. Jean Carroll is no longer expected to attend a highly anticipated book-signing at The Hotchkiss Library of Sharon, though library officials said they have not received formal notice that she has canceled.

The meet and greet was originally scheduled for Aug. 1 as part of the library’s Sharon Summer Book Signing event – which will take place as planned – but Library Director Gretchen Hachmeister said July 2 that Carroll’s attendance is no longer expected. She said the writer is allegedly in an undisclosed location under police protection after receiving death threats related to a recent Supreme Court decision and the president’s subsequent posts on social media.

Keep ReadingShow less
google preferred source

Want more of our stories on Google? Click here to make us a Preferred Source.

HVRHS Announces Senior Awards

HVRHS Announces Senior Awards

Senior awards for the HVRHS Class of 2026 have been announced.

Nathan Miller

The Housatonic Valley Regional High School senior awards were announced for the Class of 2026. The graduation ceremony was held Friday, June 19. Student speakers acknowledged the importance of community, as several reflected on overcoming significant adversity in their young lives.

Norma Lake Award - Shanaya Duprey

Keep ReadingShow less

The nature of Upstate Art Weekend

The nature of Upstate Art Weekend
Opening of Upstate Art Weekend at Olana with Helen Toomer, Ellen Harvey, Jean Shin and Gabriela Salazar
D.H. Callahan

On Thursday, June 25, a collection of eager art enthusiasts gathered at Olana State Historic Estate in Hudson to kick off the seventh annual Upstate Art Weekend (UAW).

Helen Toomer, founder, was joined by sculptors Ellen Harvey, Jean Shin and Gabriela Salazar to discuss their work and the legacy of painter Frederic Church. Church, whose 200th birthday is being celebrated this year, is widely credited as one of the founding members of the Hudson River School of painting. The discussion took place at Olana, Church’s grand estate, where the three artists’ installations are on view.

Keep ReadingShow less
Benjamin Reynaert and the art of layered living

Benjamin Reynaert

Jennifer Almquist
Creating a home is, at its core, an act of love.
— Benjamin Reynaert

Benjamin Reynaert is focused on creative direction and interior styling. He is market director at Elle Décor, a design consultant, and author of “The Layered Home: Inspiration for Crafting Cozy, Collected Rooms,” published this year by Clarkson Potter. He co-founded Ticking Tent, a market featuring antiques, luxury items and vintage treasures. The biannual event is held in New Preston, Connecticut, and Bedford, New York.

Adopted from South Korea at 3 months old, Reynaert grew up in Bloomfield Hills, Michigan. He always knew he wanted to be an artist. “I just loved drawing. I loved making things with clay,” he said. “Remembering what it felt like to be creative as kids and applying that to our creativity as adults is essential.” A graduate of the Rhode Island School of Design (RISD), where he earned a BFA and a degree in architecture, Reynaert also studied bookbinding in Rome. His attention to detail and aesthetic sense reflect years of training and a finely tuned eye for objects. “Attending RISD nurtured my creativity and taught me how to problem-solve,” he said.

Keep ReadingShow less
google preferred source

Want more of our stories on Google? Click here to make us a Preferred Source.

google preferred source

Want more of our stories on Google? Click here to make us a Preferred Source.