MILE SQUARE VIEW EXCLUSIVE
High level sources close to City Hall state should the hospital close, expect immediate substantial contraction in the City’s workforce to make up for the heavy burdens to repay a $52 million bond and other related costs with a hospital closure.
“The City is committed to making massive layoffs in order to cover the costs,” one of the senior sources bluntly stated.
At the same time, the City will be mindful to spare the taxpayer “to whatever extend possible,” the source added.
After a hospital closure, the sources also warned to expect services to be hit “across the board.”
| During closed session, Mayor Dawn Zimmer makes an emphatic plea to save the hospital. This photo was taken from outside City Council Chambers. |
Talking Ed Note: Similar to the Beth Russo hydra’s attempt to strip the City of any surplus and catapult Hoboken’s budget into crisis, last night’s action is a continuation of the strategy to starve the city whenever possible to attack the Hoboken taxpayer.
The obvious intent is to force the mayor to increase taxes. The strategy which will succeed this time should the hospital be closed will be opposed by some strenuous effort within City Hall.
The attempt by the Council of No to shut the hospital may in fact be stopped with a late development submitted in this early am guest piece by the hospital authority’s chairwoman:
| After closed session, Councilwoman Beth Mason and Councilman Mike Russo go for a stroll before they went ahead with their premeditated plan to kill the hospital. |
I have been working with our counsel and others since the irresponsible vote by the city council members Mason, Russo, Occhipinti and Castelano took place this evening where they refused to pass resolutions and first reading of an ordinance that would provide for the necessary funding to make a deal to maintain the hospital.
Councilwoman Terry Castellano began speaking after a very long pause for someone to ask to take the floor, unusual by this Council’s standards. Castellano complained this bond ordinance was not worthy of consideration pointing to incomplete issues with the creditors and the unions. She made it clear reading from prepared typed notes there will be no support for the bond ordinance to keep the deal alive until tomorrow.
She ended by blaming the mayor but not before claiming there are “other bidders.” Councilwoman Castellano also stated there were “ongoing investigations.”
A few minutes before 10 pm and closed session is finally ended. The mayor could be seen very animated from outside chambers making an impassioned plea to support the bond ordinance and give the hospital a chance to survive by having a reasonable deal for bankruptcy court.
Council majority looks pessimistic. Some show signs of stress.
In the hallway, three hospital employees were being told by Councilman Michael Russo’s mother, Michele, that the deal is dead and “why should we give them the money, they’ll just close it anyway.”
Minutes ago, in a phone conversation with City spokesman and the mayor’s Chief of Staff, Dan Bryan flatly stated, “Holdco has not pulled out of the hospital deal.”
Hoboken411 the website devoted to the party line all things Beth Mason put out an earlier report today claiming the hospital deal was dead with Holdco pulling out.
MSV has been seeking official word on this and can categorically state this is wrong.
| A partial altered graphic of Hoboken411’s latest unsubstantiated fabrication. The true question is why and how does this lie serve Beth Mason? |
Talking Ed Note: Sorry Perry Klausfurher, wrong or caught flagrantly lying again. The real question is why?
Well it’s about as important a City Council meeting as you can have. There’s several important hospital issues at stake, including the $5 million bond ordinance from the mayor and a host of other issues including the long delayed update to campaign finance reform sponsored by Councilman Peter Cunningham.
Here’s the resolution pac:
http://www.hobokennj.org/docs/council/respack11/respac-09-21-11.pdf
http://www.hobokennj.org/docs/council/agenda11/ccm-09-21-11.pdf
MSV may try to do some live comments on key developments in the chat feature from the Council itself.
Ever since the City of Hoboken took on the responsibility of taking over a failing St. Mary’s back in 2007, the road to sustainability was anything but certain. Now Hoboken University Medical Center is looking into the abyss and facing critical mass. By Friday, we should have an answer.
Among the most dire obstacles HUMC has faced since, grandstanding local politicians, state pols trading favors for union friends, ethically challenged lawyers yelling bankruptcy fraud – all of that fades into the backdrop as the final challenges will either be won or lost.
Office of the Mayor announces:
Below is a letter from Mayor Dawn Zimmer to City Council members regarding Hoboken University Medical Center.
9/20/2011
Dear Council members,
The negotiations to save HUMC (“Hospital”) have reached a critical juncture. For almost two years the Hoboken Municipal Hospital Authority ("HMHA") has been working diligently to find a strategic alternative to ensure the long term viability of the Hospital and preserve this vital safety net that serves the City of Hoboken and surrounding communities. Since 2007, the Hospital’s management company, Hudson Health Care Inc.("HHI"), incurred significant unsecured debts to vendors who provide products and services. HHI failed to provide HMHA with timely and accurate information regarding the true fiscal condition of the Hospital. In order to sell the Hospital and secure the future of health care services in Hoboken, retain over 1200 jobs and relieve the City of a bond guarantee of over $51 Million dollars, the Administration is putting forward tomorrow, on an emergency basis, a bond ordinance which is designed to put the City in a position to contribute funds to make a final offer to the HHI Creditors Committee so that HMHA and HHI can proceed with the sale of the Hospital. The City's contribution, while not required under any law or legislation, is intended to contribute toward the funding necessary to save the Hospital.
Objective information available from the State to the public on its State Health Planning Board website details there is no need for any contractual seven year obligation to keep the hospital open for that duration.
It already exists.
Councilwoman Beth Mason likely aware of this State requirement is consistently misleading the public there is nothing in the agreement between Holdco and the City stating a seven year agreement the hospital will be kept open. Well that’s technically correct. It’s not there because it doesn’t need to be. The State is the governing authority.