The New Jersey Department of Health sent a financial monitor notice regarding CarePoint Health’s three hospitals on Friday, the same day a planned merger with Hudson Regional Hospital was announced.
By John Heinis/Hudson County View
” … If the Commissioner determines that a hospital is in financial distress, then the Commissioner may provide notice to the mayors, city administrators, and other local officials who represent the region in which the hospital is located,” New Jersey Deputy Commissioner of Health Robin Ford wrote in three nearly identical letters to Bayonne, Hoboken, and Jersey City officials on January 12th.
“Such notice was provided to your delegation in an October 2023 letter. Pursuant to that same law, the Commissioner may appoint a financial monitor. In such a case, the Commissioner shall provide notice of the appointment of the monitor to the mayor, city administrator, and members of the Legislature who represent the municipality in which the hospital is located within 30 days of making the appointment.”
The letter was sent to the mayors, business administrators, city clerks, and state legislative representatives for the three Hudson County cities where the Bayonne Medical Center, Hoboken University Medical Center, and Christ Hospital (Jersey City) are located.
In October, Ford sent a letter indicating a “high concern with respect to financial distress” at the HUMC, as HCV first reported, with a similar letters penned about the BMC and Christ Hospital
On Friday morning, CarePoint and HRH, who had been feuding over who would run the three aforementioned hospitals since June 2020, announced a planned merger under the name Hudson Health System, which would also end all pending litigation involved the two parties.
The move comes shortly after CarePoint announced significant financial woes, indicating that they would need $130 million on state funding to continue operating “at an optimal pace.”
This also came after several vendors filed lawsuits for non-payment.
The merger will still require approval from the NJ DOH, who did not return an email seeking comment.
CarePoint spokesman Phil Swibinski acknowledged that the financial monitor is in place, but did not reply to questions asking when they learned about the appointment and what the impact on the intended team up with HRH would be.
“CarePoint Health has always been open to engaging with members of the community and key stakeholders in constructive dialogue based around a shared commitment to improving health care in Hudson County, and we have already had productive conversations with the appointed state monitor around that goal,” Swibinski said in an email.
“With significant demands on the system related to increased charity care and higher costs at our safety net hospitals that bear the burden of caring for the uninsured and underinsured, we look forward to continuing to advocate for solutions that will improve patient outcomes over the long term as we work cooperatively to build the kind of hospital network that Hudson County deserves.”