Hospitals Struggle with Steward's EHR Costs After Takeovers

Acquiring health systems face significant expenses transitioning from Steward Health Care's legacy medical record and billing systems.

Published on Feb. 22, 2026

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Health systems that acquired former Steward Health Care hospitals in Massachusetts have described substantial costs tied to operating Steward's legacy electronic health record and billing systems during transition periods. Boston Medical Center Health System, Brown University Health, and Merrimack Valley Health all faced difficulties collecting payments and upgrading infrastructure at the former Steward facilities.

Why it matters

The high costs of transitioning from Steward's EHR and billing platforms have created financial challenges for the acquiring health systems, highlighting the complexities and expenses involved in integrating new hospital acquisitions, particularly when it comes to legacy technology systems.

The details

Boston Medical Center Health System, Providence-based Brown University Health, and Merrimack Valley Health all reported spending tens of millions of dollars to operate Steward's EHR and billing systems for months after taking over the former Steward hospitals. This resulted in struggles to collect payments and make critical infrastructure upgrades at the acquired facilities.

  • In October 2024, Boston Medical Center Health System took over St. Elizabeth's Medical Center and Good Samaritan Medical Center.
  • Brown University Health acquired Morton Hospital and Saint Anne's Hospital from Steward.
  • Merrimack Valley Health took over the former Holy Family Hospital campuses in Methuen and Haverhill, Massachusetts.

The players

Boston Medical Center Health System

A Boston-based health system that acquired St. Elizabeth's Medical Center and Good Samaritan Medical Center from Steward Health Care.

Brown University Health

A Providence, Rhode Island-based health system that acquired Morton Hospital and Saint Anne's Hospital from Steward Health Care.

Merrimack Valley Health

A health system that took over the former Holy Family Hospital campuses in Methuen and Haverhill, Massachusetts from Steward Health Care.

Steward Health Care

A former Dallas-based health care company that owned the hospitals acquired by the other entities.

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What they’re saying

“We must not let individuals continue to damage private property in San Francisco.”

— Robert Jenkins, San Francisco resident (San Francisco Chronicle)

“Fifty years is such an accomplishment in San Francisco, especially with the way the city has changed over the years.”

— Gordon Edgar, grocery employee (Instagram)

The takeaway

The high costs associated with transitioning from Steward Health Care's legacy EHR and billing systems have created significant financial challenges for the acquiring health systems, underscoring the complexities involved in integrating new hospital acquisitions, particularly when it comes to legacy technology infrastructure.