CarePoint Health announced it that will transition from a for-profit system to a non-profit. CarePoint CEO Dr. Achintya Moulick plans to collaborate with local community leaders to push for and maintain community control of the hospitals.
According to Hudson Reporter, Achintya, in collaboration with CarePoint founders Vivek Garipalli and James Lawler, is engaging in discussions with Hudson County community members, and an official announcement of the new board formation and nonprofit mission statement will follow.
“The formation of a new nonprofit will allow the three-hospital system to continue its trajectory of bringing in multiple tertiary level clinical services with nationally known clinical organizations while giving these precious assets back to the community. The pandemic has shown community hospitals to be the cornerstones of healthcare delivery in Northern New Jersey, and the transition to a nonprofit is the best way to ensure we remain so for future generations,” Achintya said in a statement.
“After working closely with Dr. Moulick, we decided together that CarePoint is ready to begin its next chapter under the guidance of a new nonprofit board,” Vivek said in a statement. “Following 13 years of hard work transforming the hospitals, our biggest priority is preserving CarePoint’s future so that the hospitals remain a vital resource for families in Hudson County for many years to come.”
Hudson Reporter notes, “The facilities in the system are considered safety-net hospitals or hospitals with the highest number of inpatient stays that were paid by Medicaid or were uninsured. At Christ Hospital and Hoboken University Medical Center, these patients make up approximately 60 percent of the current patient mix, according to CarePoint.”
This transition has sparked county-wide support and concern from local council members. To read more about the discussions happening at the local government level, see here.