Bishop Joseph Martino ordered the school to be closed at the end of the 2006-2007 academic year.
But on April 26, 2011, due to the decreased number of enrolled students in Holy Family and high-maintenance costs at the building, Bishop Bambera told parents that Holy Family Academy would move from the Bishop Hafey High School building into the former St. Joseph's Memorial School in Hazleton.
(The relocated Holy Family Academy is the only remaining Roman Catholic school in the Hazleton area.)
In September 2011, the Diocese of Scranton sold the Bishop Hafey building and its property to the Hazleton Area School District for $5.5 million.
On April 30, 2012, the Diocese of Scranton officially transferred ownership of the Bishop Hafey building and its property to the Hazleton Area School District.