Gov. Chris Christie Pledges State Help To Keep It OpenBy Sean Adams

HOBOKEN, NJ (WCBS 880) – For old timers, Hoboken University Medical Center will forever be St. Mary’s Hospital. Soon, it may be nothing at all. But Gov. Chris Christie wants to stop that from happening.

WCBS 880’s Sean Adams On The Story

Founded in 1863 by Franciscan Sisters of the Poor, the hospital was pressed into service during the Civil War caring for soldiers and again during World War I.

It’s the oldest hospital in New Jersey and the only one in Hoboken.

In more recent times, the hospital has been hemorrhaging red ink.

The city took over its debts in 2007.

To appease creditors and to pave the way for a sale, the mayor wanted to bond for $5 million.

Following heated debate, the measure fell short by one vote.

Mayor Dawn Zimmer says the hospital could close by the end of October.

About 1,200 jobs are at stake.

In a development Thursday afternoon, Gov. Chris Christie has pledged state help to keep the hospital open.

“It is completely unacceptable that the city council placed local politics ahead of the 1300 employees at the Hoboken University Medical Center and the people in the community who rely on the critical services provided by this hospital,” said Christie in a statement. “This Administration is not going to allow political bickering to put this hospital in jeopardy and potentially have a negative and irresponsible impact on the city’s finances, which is why the state will contribute the $5 million, if needed, to ensure the Hoboken University Medical Center deal closes and the hospital stays open. With the availability of this funding, it is now up to the unions to ensure the hospital stays open, people continue to have access to emergency services, 1,300 jobs are saved, and municipal default is averted.”

What do you think should be done? Sound off below!

Comments (3)
  1. Mo Money says:

    Here is a recommendation for the bankruptcy proceeding… To the $34million creditors… in October 2011 Jersey City Medical comes up with $5 million cash matched by the State $5 million… $ 5 million to the creditors October 2012 from Jersey City Medical and matching $5 million from the State of NJ.. and $ 5 million from Jersey City Medical on October 2013 matched by the State of NJ with $5 million. This will give the $34 million creditors 90 % of what is owed… and based on current cost of funds… the Net Present Value is not an appreciable discount. At least this way, the cash burden on Jersey City Medical is minimal…$5 million a year for 3 years… and a minimal impact on the State of NJ to preserve the jobs in Hoboken, and it will provide a 2-1/2 year path for re-aligning labor costs and staffing levels to match the flow of cash.

  2. Mo Money says:

    Actually it’s not $5 million from NJ taxpayers… It’s over $10 million before the ink dries.

    Who do you think is getting $4 million in fees accrued in the last 3 months ?

    Try the new buyers, consultants, law firms, etc

    And don’t forget that part of this $5 million is the $600,000 that was paid to a dysfunctional CEO.

    Redistributing NJ taxpayer money to pay millions to wealthy lawyers, consultants and businessmen does not improve care to Hoboken residents.

    $5 million from Newark residents in September.. $10 million from Trenton taxpayers in November…$20 million from Paramus taxpayers in January… For what ?

  3. Vote them out says:

    I think it is time for Hoboken people to vote the mayor and city council out and forget party lines.

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