Penn Highlands Healthcare CEO Testifies Before Pennsylvania Senate Institutional Sustainability and Innovation Committee

The Pennsylvania Senate Institutional Sustainability and Innovation Committee recently held a public hearing at the state Capitol, in Harrisburg, Pennsylvania, addressing the ongoing structural and financial challenges facing rural hospitals. During the hearing, Steven M. Fontaine, Penn Highlands Healthcare CEO, was a member of a five-person panel testifying on the issue of hospital closures, staffing shortages and access to specialty care in Pennsylvania.

Fontaine began his testimony by informing the senators that the nine hospitals in the Penn Highlands Healthcare system contribute more than $1.9 billion to the Pennsylvania economy and are among the largest employers in the communities they serve, employing more than 6,500 individuals.

“Our hospitals, especially those in rural communities, are the life blood of those local communities and local economies, because in many cases we are the largest employers,” Fontaine explained. “We play a significant role in attracting businesses and industry to spur economic development and without hospitals, many small towns would not exist. Having a hospital nearby is a sign of community vitality. Rural hospitals are on the brink of disaster without support from the state and federal government.”

Steven Fontaine State Capital
Steven M. Fontaine, Penn Highlands Healthcare CEO

Citing the critical challenges rural healthcare sustainability faces, Fontaine addressed the importance of acting collaboratively to address this crisis.

“Without immediate and sustained support, the services we provide are at risk. The financial pressures, workforce shortages, regulatory burdens, and policy challenges we face are not just numbers on a balance sheet—they represent real people, families, and communities that depend on us,” explained Fontaine.

In addition to Fontaine, Nicole Stallings, president and CEO of the Hospital and Healthsystem Association of Pennsylvania (HAP); Dr. Mark Rubino of Allegheny Health Network; Katherine E. Levins of Temple University Health System; and Dr. Ed Sabanegh, president and CEO of the Guthrie Clinic served on the panel.