CHS-MERCER RELOCATION

Team Faculty Member:  Dr. Martin A. Bierbaum

Student Researcher:  Angel Jesus Hernandez

The relocation of Capital Health System Hospital (CHS) Mercer Campus is a business move; it is relocating to improve its patient mix to ensure its fiscal solvency.  In 2006, CHS—Mercer Campus was uncompensated for approximately $16,399,000 in charity care.  At the current rate of uncompensated healthcare costs, CHS—Mercer Campus would reach an economic crisis around 2015.  At that time, CHS—Mercer Campus would not have the funds it needs to secure its relocation, and possibly face bankruptcy.  For this reason, CHS—Mercer Campus is being fiscally responsible and strategically prudent in moving at a time when it has such funds secured.  While reducing the total amount of healthcare services located in the City of Trenton is unfortunate and may have negative local impacts, it may be preferable to have the hospital relocate six miles away while having some of its services shift to CHS—Fuld Campus rather than have the hospital face possible bankruptcy and an entire loss of hospital services approximately eight years from now. While this case study on just a single hospital’s relocation raises serious concerns about the way that this society delivers health care to its most vulnerable and least advantaged populations, the exploration of such concerns remains for another project that will extend far beyond the limited scope of this study.

Personal Statement by Angel Jesus Hernandez