Both faced closing because of dramatic shifts in medical reimbursements and other major problems that have plagued hospitals around the country due to modern medical financing.
Although public officials worked miracles in getting help for Bayonne Medical Center, the hospital was largely rescued by the efforts a group of private investors who gambled on the idea that the hospital was worth saving. Working together with municipal, state, and federal officials, the new orders actually made a marginal profit - and at the same time allowed the public remarkable access to information about the transition, setting up a residential committee that included elected officials so that everybody knew what was transpiring.
Oddly enough, the same cannot be said about Hoboken University Medical Center, which was rescued by guarantees from the taxpayers, and essentially owned by the city of Hoboken.
Since the city could not operate the facility itself, they allowed a private contractor to take over operations, much to the frustration of Councilwoman Beth Mason, who has been seeking to learn the details as to whom the hospital is dealing with as far as vendors and others.
Mason has every reason to be suspicious, since Hudson's hospitals have often seen the parade of the same political people. A grand jury is still looking into some of the political connections involved in Jersey City Medical Center.
Some of the same hospital officials that squandered an endowment at Bayonne Medical Center appear to have had some involvement with problems at Christ Hospital in Jersey City in the 1990s and possibly other hospitals in Hudson County.
Even some of the county's heavyweights seemed to be connected to hospitals, such as attorney Donald Scarinci, who was a legal consultant to Bayonne Medical Center several years ago.
Mason's efforts to get access to union contracts and other information have been frustrated by the courts and the state, who according to George Crimmins, a contracted agent for Hoboken University Medical Center, insist that information must be kept private.
How it is, however, that Bayonne Medical Center, which is privately owned, is willing to open itself up to public scrutiny, and a hospital owned by the city of Hoboken is not?
Joan Quigley took exception to last week's column about Mason's seeking to learn if the hospital has been turned into a political patronage mill for professional and other services.
"I checked with our human resources director this morning to confirm my impression that not one single person from 'Hoboken's political elite' has been employed by the hospital since February 1, 2007, when the Hospital Authority acquired it," Quigley said. "In fact, no one hired within that time even presented a reference from a Hoboken official."
Crimmins said that union contracts are privileged information that could jeopardize the competitive nature of the medical profession in getting highly qualified people, a problem Bayonne Medical Center seemed not to suffer with its union negotiations.
Quigley argued that the hospital's turnover rate is very low and the employees are highly specialized, although Mason was more concerned with the financial and legal consultants whom hospitals routinely employ in a variety of capacities.
Mason is looking for a more modern patronage, rather than the conventional patronage of the past where municipal workers were expected to kick back a portion of their salaries. Modern patronage involves steering of business to particular vendors and hiring politically connected legal professionals and other positions that do not fit into old molds.
Crimmins said the privacy was designed to keep politics out of the hospital.
Mason argues that public revenue is at risk and that elected officials represent the interests of the public.
While Bayonne Medical Center has cut jobs, trimmed departments, and made other significant changes that helped turn around its financing, Hoboken University Medical Center (renamed from the former St. Mary) has only begun to show some of its inner workings
Quigley pointed out that state legislation enabled the city to create a Municipal Hospital Authority to acquire the hospital. But the legislation required that the Authority contract with a professional manager to operate the hospital on a day-to-day basis.
"So the hospital manager (Hudson Healthcare, Inc.) runs the Hospital and reports to the Authority," she said. "Under the legislation, the local government has no role in its operations, except the mayor appoints some members of the Authority. (One is appointed by the state commissioner of the Department of Community Affairs, two by the medical staff, and one is the CEO, ex officio.) This set-up was devised by state officials in order to insulate the hospital from political activities. That it works so well in doing that irritates some folks. Sometimes the very folks who accuse others of scandal are piqued because that insulation deprives them of the opportunity to pry and meddle."
Is access to information about whom the hospital does business with considered meddling?
Last week, Assemblyman Anthony Chiappone introduced a package of legislation seeking to require hospitals to disclose information about financing.
Representatives from Hoboken Medical Center were scheduled do a presentation before the City Council last week. But the process is faulty. Since the public has put its tax dollars on the line, it should be aware of how the money is put at risk and how contractors are selected, and whether certain political entities are benefiting without benefit of public scrutiny.
Oddly enough, Joseph Doria, commissioner of the Department of Community Affairs, while he was mayor of Bayonne was one of the loudest voices calling for complete disclosure of hospital finances at Bayonne Medical Center, and now can appoint a member to the Hoboken hospital board where people like Mason fight to gain access to information.
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