New Owners Of Jersey City Hospital Threaten To Suspend Services, Officials Furious

HUDSON COUNTY, NJ — Now that a medical group has taken over four hospitals in Hudson County, they put out a statement late Friday saying that the 153-year-old Christ Hospital in Jersey City Heights may shut down "non-essential" services if it doesn't receive enough funding.

The vague statement sent out by Hudson Regional Health said, “Since the takeover of the CarePoint system and the transition of the system out of bankruptcy, we have been working relentlessly to create the best possible healthcare system ... Despite over $300 million in investments in just 10 months, with a major portion dedicated to [the newly renamed] Heights University Hospital, it was determined in recent days after a thorough analysis, that the facility is unable to avoid continued financial distress."

Hudson Regional Health owns Meadowlands Hospital in Secaucus and recently took over Bayonne Hospital, Hoboken University Medical Center, and Christ Hospital in Jersey City Heights from the financially flailing CarePoint.

But some have been concerned at HRH's development plans. A meeting to redevelop Hoboken's hospital — adding residential housing around it — was scheduled for Monday and then abruptly canceled on Friday.

Christ Hospital, which opened seven years after the Civil War, is perched in the popular Jersey City Heights neighborhood, above the Palisades Hills in Hoboken. The parking lot affords a view of the Manhattan skyline.

The statement from HRH said, "without substantial financial support from the State of New Jersey and other government entities, [HRH] will pursue an anticipated plan to suspend non-essential services at Heights University Hospital ... in consultation with the New Jersey Department of Health ... The anticipated losses of over $60 million per year at Heights University Hospital, without public support, is simply unsustainable to maintain."

They said their Board of Directors "has authorized a restructuring of the system that will pave the way for healthcare to be maintained to the community, following the anticipated suspension of services at Heights, in a way that is financially and structurally sound."

When the company's spokesperson was asked on Friday which "non-essential" services would be suspended, she forwarded a statement saying, "We are still analyzing service line decisions in the collaboration with government partners."

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Officials Concerned

Officials in both Jersey City and Hoboken expressed concerns about the statement.

Downtown Jersey City Councilman James Solomon took a hard line.

"Hudson Regional Health’s sudden threat to suspend healthcare services at Christ Hospital," he said Saturday, "coming just on the heels of its acquisition of the property six months ago, is outrageous and unacceptable."

He added, "This hospital is a critical lifeline for healthcare in the community, especially for less wealthy, minority patients who are already being savagely targeted by healthcare cuts. Let’s be clear: this situation is the result of a decade of vulture capitalism. The intentional mismanagement of the hospitalenabled multi-millionaires to line their pockets and siphon millions in donations to politicians through Super PACs."

The three hospitals taken over by HRH this year serve more than 60 percent of the population in Hudson County, and 65 percent of their patients are uninsured or underinsured. They rely partly on reimbursement from Charity Care.

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"All of the players responsible for this catastrophe," Solomon said, "the mayor, governor, and HRH, must immediately develop a plan to ensure the financial well-being of Christ without threatening the community."

Hoboken 3rd Ward Councilman Michael Russo, a physical therapist whose ward contains Hoboken University Medical Center, said on Saturday, “I was shocked to learn that Hudson Regional Health plans to wind down nonessential services at Heights University Hospital, formerly Christ Hospital. While the hospital is located in Jersey City, it employs many of our residents and plays a vital role in the broader healthcare system that serves Hoboken. It is paramount we protect the health and well-being of our community."

Russo, who previously served on the Hoboken Hospital Authority when there was a chance of Hoboken's hospital being sold years ago, urged the HRH executives to meet with the unions and with officials from both towns "to prevent a regional health crisis and save jobs."

He added, "I will do everything in my power to ensure that Hoboken’s hospital does not suffer the same fate.”

Both Solomon and Russo are running for mayor in their respective towns.

Took Over After Bankruptcy

Hudson Regional took over the hospitals in April after a bankruptcy judge accepted an operating plan that allowed them to do so.

HRH called the ruling "a historic decision that will ensure long-term viability of Hudson County’s health care system."

They said the ruling followed months of Hudson Regional Hospital investing millions of dollars, through Chairman Yan Moshe, into the two hospitals and Bayonne Medical Center.

Hoboken University Medical Center, at Willow Avenue and Fourth Street, was formerly St. Mary Hospital. It was founded in 1863 by Franciscan nuns to treat wounded Civil War soldiers, according to historians.

Earlier this year, council members debated potential rehabilitation plans for the structure, including using part of the property for a residential high-rise (read more about that here.) A council majority voted down the plans, for now.

Other Hospitals

Besides HRH's four hospitals, Hudson County is also served by hospitals that are part of different health systems: Palisades Medical Center in North Bergen, part of Hackensack Meridian Health, and Jersey City Medical Center, part of RWJBarnabus Health.

In April, HRH President and CEO Dr. Nizar Kifaleh said, “We fully recognize that services can, and must be improved at all three facilities. Our goal is simple: we want residents of all three communities as well as the surrounding area to have confidence in their community hospital."

CarePoint declared bankruptcy in November, after it told the state it needed a $100-million bailout to continue operations.

Prior Reporting

• Secaucus Hospital Owner Fights To Buy Bayonne, Hoboken Hospitals
  
• Secaucus Hospital Fired Me Once I Ended Affair With CEO, Woman Says