Hudson officials praise CarePoint Health’s transition to non-profit

As CarePoint Health completes its transition from a for-profit healthcare system to a non-profit system, the company has the endorsement of elected officials from across Hudson County.

The non-profit entity now owns a majority interest in CarePoint’s three hospitals: Christ Hospital, Hoboken University Medical Center, and Bayonne Medical Center.

This follows the donation of CarePoint founder and Clover Health CEO Vivek Garipalli’s majority interest in the three hospitals to the non-profit. The formation of the non-profit led by CEO Dr. Achintya Moulick was originally announced in October of 2021, amid a battle over the future of the land ownership and operations of Bayonne Medical Center between Hudson Regional Hospital of Secaucus and BMC Hospital, LLC.

Two mayors backing CarePoint’s new path forward

The praise touted by CarePoint included that of two mayors of cities where CarePoint’s hospitals are located, Bayonne Mayor James Davis and Jersey City Mayor Steven Fulop.

“I am very comfortable with the new, non-profit model that the CarePoint hospitals have adopted,” Davis said. “This new approach of the hospital management will keep the funds that they generate right here in Hudson County.  In the past, Bayonne Hospital operated as a non-profit organization that served the community well. Our residents will welcome the return of non-profit, service-oriented healthcare.”

“We couldn’t be more excited about this formal transformation to non-profit for CarePoint and it underscores their long commitment to serve the most diverse citizenry in the United States with quality and equitable health care,” Fulop said.

“There is no question that CarePoint has been a crucial part of Jersey City and Hudson County and we applaud their commitment to work with the community and constantly re-imagine how to better deliver outstanding healthcare to our residents. This change will strengthen CarePoint in New Jersey and will provide more opportunities for growth. We are thankful for the leadership at CarePoint for making this bold decision and we know the residents of Jersey City are excited about this next chapter for CarePoint and the vital services they provide to Hudson County”

State senators on board with new non-profit system

In addition to the mayors, CarePoint’s transition also has the backing of two prominent state senators, including Union City mayor and state Senator for the 33rd Legislative District Brian Stack, and state Senator for the 31st Legislative District Senator Sandra Cunningham. Both represent districts with CarePoint hospitals.

“I fully support the non-profit transfer of the CarePoint system and am confident the hospitals will thrive once the transfer is complete,” Stack said. “This step comports with the positive developments I have observed under the leadership of Dr. Moulick in the past two years through COVID. He has brought the system in network with all major payers, established critical partnerships with major players and launched much needed new service lines. I look forward to supporting the system continue to grow and evolve and serve the citizens of this great county.”

Cunningham added: “I am relieved to see the transfer of our three Hudson County hospitals to a non-profit entity. This transition brings us one step closer to solidifying the continuity of care for our residents and ensuring equitable access to health services for our diverse communities. Ensuring that all our residents have access to quality healthcare services is our greatest priority.”

State assembly members offer support too

Along with the state senators, CarePoint’s transition has also earned the applause of state Assembly members in the districts where hospitals are located: Assemblywoman Angela McKnight of the 31st Legislative District, Assemblywoman Annette Chapparo of the 33rd Legislative District, and Assemblyman Raj Mukherji also of the 33rd Legislative District.

“I fully support CarePoint’s transition to a non-profit and believe that it is in the best interest of the communities the system serves,” McKnight said. “My district desperately needs quality hospital care and I am encouraged that the system is heading in the right direction , with new services, new partnerships and a renewed commitment to patient experience. I look forward to watching the system continue to evolve into the health care provider our residents deserve under Dr. Moulick’s leadership.”

Chapparo added: “I am happy to receive the news that the CarePoint Health System is finalizing its transition to a non-profit run system, with the recent donation of a former majority owner’s assets. This is another positive step the system has taken in recent years following actions such as going in network with all the major insurers in our state, establishing new partnerships with nationally renowned entities like Columbia and Rothman, and now restructuring in a form that truly brings the community into the fold. Hudson County residents deserve the peace of mind that the future of their hospitals is secure. This newly formed non-profit board will ensure the community’s healthcare needs are the singular focus of the system and that the progressive work being done under Dr. Moulick’s leadership will continue to grow and evolve.”

“I extend my congratulations on the CarePoint Health System’s transition to non-profit governance, which we hope will improve the prospects of avoiding any hospital closures in Hudson County and associated disruptions in the delivery of acute care services to our citizens,” Mukherji said. “Together with going in-network with all major insurers and establishing new partnerships with nationally renowned organizations like Columbia and Rothman, I am encouraged by the progress made under Dr. Moulick’s leadership. Hudson County residents deserve the peace of mind that the future of their hospitals is secure and that the community’s healthcare needs – rather than return on investment – are the singular focus of our healthcare systems.”

For updates on this and other stories, check www.hudsonreporter.com and follow us on Twitter @hudson_reporter. Daniel Israel can be reached at disrael@hudsonreporter.com.