The Senate Committee on Health, Hospitals and Human Services has scheduled a November 24 hearing to examine hospital leases and leaseback arrangements, reported storage of human remains and body parts in trailers, and the hospital board’s oversight of finances and executive compensation.
The hearing is scheduled for 10 a.m. at the Earle B. Ottley Legislative Hall on St. Thomas, according to the Legislature’s revised November 16–27 calendar distributed Friday. Senator Ray Fonseca chairs the committee, with Senator Hubert L. Frederick serving as vice chair.
Territorial hospital CEO Darlene A. Baptiste and hospital board chairman Dr. Jerry Smith are listed as invited testifiers. The agenda calls for updates from the territorial CEO and executive leadership team on the costs and approvals associated with hospital leases and leaseback arrangements.
Members will also seek testimony on what the agenda describes as “the reported storage of human remains and body parts in trailers,” including oversight and corrective actions. The calendar does not identify the facility involved or provide details establishing the reported circumstances.
The financial review will extend to the board’s monitoring of accounts payable and receivable and its role in approving pay increases and bonuses. Senators plan to request supporting records, including current aging schedules, which show how long amounts owed have remained outstanding.
The requested documents also include Ms. Baptiste’s original employment contract, all amendments, extensions and addenda, and related board approvals. The agenda describes a planned review of those records; it does not announce a finding of wrongdoing.
The hearing follows renewed scrutiny of hospital financing after a Michigan court entered a $6.36 million equipment judgment involving Juan F. Luis Hospital and its governing corporation. As The Consortium reported November 6, the corporation filed a November 5 motion seeking to set aside that judgment, arguing that the lawsuit had not been properly served and that the Michigan court lacked jurisdiction.
Hospital officials previously described the underlying financing as a 2024 sale-leaseback involving medical equipment the hospital already owned. The November 24 agenda calls for a broader review of leases and leaseback arrangements rather than limiting the hearing to that transaction.
Senators will also seek updates on the opening of the Charlotte Kimelman Cancer Institute, completion of the St. Croix Kidney Dialysis Center, reopening of the Myrah Keating Smith Community Health Center, and redesign of Schneider Regional Medical Center. Testimony is expected to address funding, remaining work, project timelines and plans to maintain access to patient care.
Ms. Baptiste’s responsibilities span both hospitals. The Consortium reported in January that the JFL chief executive had also been appointed CEO of Schneider Regional as the hospital corporation pursued a unified leadership structure.
