About The Study
- Advisory Services
- Strategic Alternatives
- Transactional Services
New Bridge Medical Center, formerly Bergen Regional Medical Center (“NBMC” or the “Medical Center”), is a 1,000+ bed safety net hospital in Paramus, New Jersey, owned by the County of Bergen (“County”) providing acute, behavioral health and long-term care to the uninsured and underinsured in New Jersey. In late 2016, the County sought a healthcare advisory firm to assist it in oversight of the operations of the Medical Center during a transition period from its then current long-term third-party operator to a new long-term operator. The County and its advisors had to conduct a Request For Proposal (“RFP”) process for a new operator to succeed the current manager of the Medical Center, a process that would involve stakeholders from the County, state and local healthcare institutions, the various seven (7) unions at the facility, the surrounding community, and other local and state legislators. Our prior experience as actual C-Level executives within other hospitals was a fundamental reason why ToneyKorf was engaged to facilitate the due diligence process, assess the state of the facility and its capital equipment, offer counsel on the selection of a new operator in the context of a long-term strategic plan for the Medical Center, and bridge the gap between the old and new operators.
Summary of Execution and Results
- Rendered expertise in connection with ongoing litigation between the County and the then current operator regarding access to information for purposes of conducting the RFP process. Shortly after our retention, an Assessment and Transition agreement was brokered, which allowed for a robust RFP process to select a new operator.
- Advised the County in conducting the RFP for a new operator to succeed the current manager of the Medical Center. We worked closely with the RFP advisor and the process was completed in July 2017. This process was intensive and included the following:
- Assisted with the completion of a comprehensive Due Diligence report on the Medical Center that was utilized in the RFP process;
- Interviewed and assessed qualifications of seven (7) active healthcare organization bidders; each bid had its own strategic path for the facility, including: investment in/expansion of particular service areas such as long-term care, veteran’s health, and/or new clinics, as well as partnering with a state university health system or a coalition of local hospitals;
- Reviewed comprehensive bidder proposals, which included analysis of long-term projections as well as assessment of various service proposals, which included significant capital investment;
- Developed a comprehensive bid evaluation methodology and a scoring process that included members from the various stakeholder groups;
- Reduced bidding candidates from seven (7) to two (2) with additional due diligence as required;
- Selected the final bidder; and
- Assisted County Counsel in structuring a long-term lease operating agreement including the setting of target benchmark goals for financial and quality performance.
- Performed due diligence at the Medical Center provided the County with in-depth knowledge of the current state of the operations and facility, enabling them to formulate long-term strategic initiatives.
- Assisted in transferring operations of the Medical Center from the former operator to the new operating group and ensured that there was no disruption in patient care or services.
- Advised the County on the issuance of public securities (Municipal Bonds) necessary to fund working capital for the new operator and to effectuate an extensive IT Modernization project.