Half the State's Hospitals Are Losing Money

NJBIZAugust 20, 2009

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Summary


"America's hospitals are straining under the burden of economic, technological and other forces, most of which are beyond their control," said Uwe E. Reinhardt, the Princeton professor who chairs the governor's commission. "In New Jersey, manyhospitals are beyond strained; they're in fiscal crisis. Our data analysis shows just how poorly New Jersey hospitals are doing overall and how important it is to move forward with the commission's work."

[...] Betsy Ryan, chief operating officer of the hospital association, said state government is contributing to the industry's fiscal troubles by insufficiently compensating hospitals for the charity care and Medicaid patients they treat. Reinhardt, a longtime member of the Institute of Medicine of the National Academy of Sciences, is joined on the 12-member panel by experts in medicine, nursing, hospital administration, community health, law, public health and health policy.

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Half the State's Hospitals Are Losing Money

MORE THAN HALF of the state's 79 acute-care hospitals are operating in a deficit and some have sought emergency aid from the state to stave off collapse, according to the New Jersey Hospital Association and a recently released state report.

Hospitals' "requests for financial assistan...

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