New law to help warn New Jersey of hospital financial crises

New Jersey Gov. Jon Corzine has signed into law a measure that will create an early-warning system to help spot financially troubled hospitals. Four acute-care hospitals in New Jersey have closed already this year, and a fifth hospital will shut its doors this week. The law gives the state Department of Health and Senior Services the authority and access to information needed to monitor hospital finances. The department should then be able to identify financially troubled hospitals before a crisis strikes.