Governor focuses on UMDNJ work as federal probe continues
9/5/2006, 2:10 p.m. ET
By JANET FRANKSTON
The Associated Press
NEWARK, N.J. (AP) X While federal investigators continue looking into allegations of Medicaid and Medicare fraud at the University of Medicine and Dentistry of New Jersey, Gov. Jon S. Corzine on Tuesday told employees there that the school is going good work.
"We have our challenges, there's no question," the governor told doctors, researchers and administrators during one of several addresses at the school's campuses. "But there are a lot of good things going on here at UMDNJ. I'm told that applications and enrollment are up."
UMDNJ has been under scrutiny amid an investigation into alleged Medicare and Medicaid fraud. Trustees in December agreed to appoint a federal monitor to oversee its finances after U.S. Attorney Christopher Christie threatened to indict the university if it did not.
In July, the monitor released a report suggesting losses from fraud and abuse there could exceed $243 million.
Corzine on Tuesday reassured the gathering that he would work to restore the school's reputation and praised health care workers and researchers.
He fielded questions for about an hour, touching on finances, budget cuts and layoffs. Yet the most-asked about topic was a possible merger with Rutgers University, with some of the question coming from elected leaders, including a state assemblyman and U.S. congressman.
The governor said he comes "very agnostically" to the merger issue and is studying the idea.
"I think everyone wants the best outcome with regard to higher education, medical education," Corzine said.
Scott Diehl, director of UMDNJ's Center for Pharmacogenomics & Complex Disease Research, said talk of a merger has put major initiatives on hold and made recruiting for senior-level jobs difficult. The school is searching for a new president.
"It puts the institution in limbo," he said. "Many potential top candidates will not touch those positions because they don't know if their jobs will be there."
Corzine said he is "intent on getting to closure" on the merger issue and expects and answer "sometime in the next couple of months."
The governor also emphasized his desire to see state do a better job in attracting research grants.
"I see no reason why we're in the middle of the pack on getting research dollars. It creates jobs, it helps our community and it gives us pride in who we are and what we're about," he said.
Diehl said he hopes the governor recognizes that a merger wouldn't necessarily lead to an increase in research money.
"I am highly, highly skeptical of this assumption that when merging institutions we're going to all of the sudden reap millions of dollars in increased funding," he said.
Corzine was also scheduled Tuesday to address campuses in Piscataway and Stratford.
UMDNJ this year saw an upswing in the number of applicants for its schools, including a more-than 28 percent increase in nursing school applications over last year, and a more-than 44 percent increase in applications for positions in its School of Public Health.