JERSEY CITY, NJ — The owners of a 153-year-old hospital in Jersey City said in a statement Thursday night that they plan to close the facility due to lack of funding.
“Unfortunately, despite best efforts by the leadership at Hudson Regional,” said Nizar Kifaieh, the CEO of Hudson Regional Health, “it was informed this afternoon that the State will not be providing the critical funding needed to sustain the operations of Heights University Hospital.”
He said Heights University Hospital has filed a Certificate of Need for Closure with the state’s Department of Health.
‘Interruption In Tomorrow’s Payroll’
In a statement released at 8 p.m. Thursday, Kifaieh said, “This [lack of funding] will result in an interruption in tomorrow’s payroll processing and compromises its ability to execute the stabilization plan it was in the process of implementing. This includes our recent plans to operate a stand-alone emergency department, multi-specialty service practice and behavioral health. As a result, Heights University Hospital has filed a Certificate of Need for Closure.”
When asked on Thursday night about the timeline for closure, an HRH spokesperson said, “Unfortunately, there is no additional information to share at this time. Further updates will be provided as appropriate.”
Hospitals that plan to close in New Jersey must file a Certificate of Need to notify the state, and work out an orderly process.
The hospital owners said they will hold a press conference on Friday about the decision.
Began Layoffs
The former Christ Hospital, in Jersey City’s Heights neighborhood, is among three Hudson County hospitals that were taken over by HRH earlier this year.
Founded in 1872, it sits on a cliff overlooking Hoboken and Manhattan to the east.
The parking lot of the former Christ Hospital in Jersey City Heights, looking east toward Hoboken and Manhattan.
HRH had already announced in two WARN notices to the state last month that it would lay off 206 workers at the hospital as of this past Sunday.
They had also said in September that if they didn’t get millions of dollars in funding, the hospital might suspend non-essential services. PAST COVERAGE: New Owners Of Jersey City Hospital Threaten To Suspend Services
But officials and health care workers have argued that HRH knew the precarious state of the hospital’s finances when the company took it over during bankruptcy proceedings. Activists have said they believe HRH wants to turn the valuable property into residential towers. READ MORE: 153-Year-Old Hospital Could Become Condos
Timeline
In August, a judge ruled that Hudson Regional Health, which owns Meadowview Hospital in Secaucus, would be allowed to take over Christ Hopsital in Jersey City, as well as Hoboken University Hospital down the hill, and Bayonne Medical Center in Bayonne.
The city of Hoboken has already floated a redevelopment plan to build residences around that hospital in order to keep it financially viable.
“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,” HRH said in a statement in September. “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.”
PAST COVERAGE: New Owners Of Jersey City Hospital Threaten To Suspend Services, Officials Furious