Rhode Island’s health director on Monday approved a request by Prime Healthcare Services to convert Landmark Medical Center back to nonprofit status.
The move enables Prime to avoid paying millions of dollars in property taxes to Woonsocket and North Smithfield, where the company runs an affiliated rehab hospital.
State Health Director Nicole Alexander-Scott was not immediately available for comment.
Her 99-page decision includes more than two-dozen conditions – among them that Prime keep Landmark hospital open for at least 5 more years.
The decision comes less than two months after the state fined the California for-profit hospital chain $1 million for moving ahead with the nonprofit conversion before receiving state approval.