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Barnabas to provide consulting services to University Hospital

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Barnabas Health, parent of Newark Beth Israel Medical Center, has been chosen to provide consulting services to University Hospital, in Newark, which will remain a state-owned hospital following the dismantling of University of Medicine and Dentistry of New Jersey that takes effect next month.

UMDNJ said the selection of Barnabas, New Jersey's largest not-for-profit health care delivery system, is subject to a 60-day review process that includes a review by the New Jersey Commissioner of Health.

The New Jersey Medical and Health Sciences Education Restructuring Act, effective July 1, establishes University Hospital as an instrumentality of the state and a separate, standalone entity. Under the law, most schools and units of UMDNJ will integrate with Rutgers University and will become part of Rutgers Biomedical and Health Sciences. The UMDNJ School of Osteopathic Medicine will transfer to Rowan University.

Barnabas Health will advise University Hospital regarding the provision of health care services, efforts to improve the hospital's financial strength and sustainability, and the capacity to operate and thrive in the changing health care environment, UMDNJ said in a statement.

"This represents another step to an exciting start of a future that holds enormous promise for University Hospital," said James Gonzalez, interim president and CEO of University Hospital, in a statement. "We will continue to provide services and our unique expertise to the patients and communities that depend on us."

Gonzalez said University Hospital will remain the primary teaching hospital for New Jersey Medical School, New Jersey Dental School and the other Newark-based schools that are moving to Rutgers University. "What will be new is the enhanced administrative infrastructure we are implementing to enable us to operate completely independent of the university on which we've relied for 31 years."

Barnabas Health is the largest not-for-profit health care delivery system in New Jersey, with more than 2 million patient visits annually and six acute-care hospitals.

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Beth Fitzgerald

Beth Fitzgerald

Beth Fitzgerald reports on health care, small business and higher education. She joined NJBIZ in 2008 after a 34-year career at the Star-Ledger and has been reporting on business in New Jersey since 1978. Her email is beth@njbiz.com and she is @bethfitzgerald8 on Twitter.

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