“Accessible healthcare is a human right. For a district as densely populated as the 31st, the closure of a medical center could be the difference between life and death for our residents,” said
Assemblyman Chiaravalloti (D-Hudson). “These measures make sure that no hospital ever reaches a point where their previously undisclosed financial situation is so dire that they are
forced to close the facility- leaving the community blindsided. We cannot let what is happening in the 31st District happen around the state. I am proud of these bills and look forward to
Governor Murphy signing them into law.”
One bill would give broader oversight capabilities to the Department of Health (DOH) by expanding its Early Warning System, whose purpose is to detect whether hospitals are nearing or
already in financial distress. The new legislation would require the system to monitor the quantity and suitability of any fees, allocations and payments made to third parties.
Another bill would allow the Commissioner of Health to notify elected officials if certain hospitals are found to be in financial distress.
Increased transparency would also be required of hospitals when it comes to providing financial information to the DOH. Newly proposed legislation would require non-profit hospitals to share
IRS Form 990 and for-profit hospitals to submit equivalent information to the DOH in order to reveal aspects of their revenue and taxation.
The three pieces of legislation now head to the Governor for further consideration.