By David Cruz
Correspondent
There was a strong show of support for the staff at Saint Michael’s hospital at today’s special city council meeting. The state’s Health Department is considering whether to approve the sale of the hospital to Prime Healthcare Services, a California-based for-profit company. But a consultant’s report released earlier this month said the Newark area has too many hospital beds.
“The decision that was made by those people responsible for the most recent report has nothing to do with the reality of the city of Newark,” snapped East Ward Councilman Augusto Amador.
But the report — which state Health Commissioner Mary O’Dowd will use to determine whether to approve the sale — says the five hospitals in the Newark-Essex County area have close to 1,500 beds for an area that really needs about 1,200.
“The combined projected financial performance of the … hospitals would go from an operating loss … of $32 million in 2013 to more than $190 million in 2019,” the report said. “This level of operating loss is clearly unsustainable.”
Saint Michael’s is licensed for 357 beds but barely uses more than 175. But a hospital manager said today, the value of a hospital can’t be calculated by the number of beds alone.
“A physician who stays in the hospital 12, 15 hours a day and an employee who stays overtime to take care of the hospital and the people of Newark are part of the community of Newark,” said Medical Staff President Alan Klukowicz. “We’re committed to stay here. We wanna be here. We have a new administrator who wants to continue the mission of Saint Michael’s. Please give us the opportunity. Help us transfer to Prime Healthcare so that we can all stay in Newark, our home.”
With over 1,400 employees, the hospital is something of its own economic engine for the Central Ward neighborhood, so keeping those jobs at the hospital is critical to hundreds of union families and local businesses they support.
“This is a labor fight because we have seen in this state, time after time workers being attacked. Not just hospitals closing; other businesses closing, being driven out,” said Dist. 1199J President Susan Cleary. “All you have to do is drive up and down the street. Look at one of those closed hospitals and see all the other businesses that are no longer there.”
Present through the entire meeting but not commenting was Mayor Ras Baraka. The mayor recently criticized the proposed sale. He has said the $43 million offer from Prime Healthcare is too low, adding that the company doesn’t have a great track record with its workers. Prime has battled with the Service Employees International Union, which was a major political backer of the mayor’s election. No word on when the state will make a decision on the sale.
The idea that there are too many hospital beds in the greater Newark area seems ludicrous to council members, who contend Newark is growing again and that a growing city will need more acute medical services and not less.