One of the state's largest hospital chains Tuesday pledged $1 billion over the next 20 years to nurture medical research, lure top academic talent and expand health care opportunities throughout New Jersey.

RWJBarnabas Health, the $5.4 billion not-for-profit 11-hospital network, announced the financial commitment as part of a pact it introduced last summer and finalized with Rutgers University officials on Tuesday morning.

The deal is meant to catapult the state into big-time clinical trials, medical education and research. It will also form one of the largest medical practices in the nation, comprised of 2,500 physicians and other health care professionals from RWJBarnabas Health and Rutgers Health, according to the announcement.

"This unparalleled enterprise will further our shared goal to grow research activities and expand clinical trials statewide," Rutgers Biomedical and Health Sciences Chancellor Brian Strom said during a press conference with Rutgers University President Robert Barchi, and other top Rutgers and RWJBarnabas officials.

In 2017, Rutgers -- including the two medical schools, the Cancer Institute, the schools of Nursing, Dental Medicine, Public Health and other institutions -- drew down $150.8 million in funding, or 63 percent of the $241 million the state received from the National Institutes of Health. But 22 other states received more NIH funding than New Jersey last year.

RWJBarnabas -- the product of a hospital mega-merger between Robert Wood Johnson University Health and Barnabas Health in 2016 -- is putting up $100 million immediately. Another $50 million a year will sustain the endeavor over two decades.

"We have had the ability over the years to retain a certain amount of operating margin to make investments in important projects and relationships," RWJBarnabas President and CEO Barry Ostrowsky said. "This is the most meaningful investment in the history of our organization."

"The medical schools require a great deal of support and investments in human and physical capital, and that is not available from the revenues medical school generate," Ostrowsky said. "Without that investment, they can't be as good as we want them to be."

Part of the money will be used to recruit about 100 new high-profile principal investigators to Rutgers over ten years with the goal of doubling the amount of research, according to the announcement.

The hospital chain also pledged to fund the construction of a new clinical and research building for the Rutgers Cancer Institute of New Jersey, the state's only National Cancer Institute-designated comprehensive cancer center, and an outpatient care center, both in New Brunswick.

And $10 million is earmarked to help pay down the college debt of medical students to keep more of them working in New Jersey. Surveys say most medical students leave the state because it is too expensive to live and practice.

RWJBarnabas Health and Rutgers University will remain separate organizations, but their work together will be led by a joint committee featuring equal representation from both institutions, according to the announcement.

"Through this partnership, we have formed the largest and most comprehensive academic health system in New Jersey and are well positioned to take our place as a national leader in patient care, health science discovery and innovation," Barchi said.

The Rutgers-RWJBarnabas Health partnership was announced Tuesday by hospital Board of Trustees chair Jack Morris, (left to right, sitting) RWJBarnabas Health president and CEO Barry Ostrowsky, Rutgers Biomedical and Health Sciences Chancellor Brian Strom, and Rutgers University president Robert Barchi; (standing, l-to-r) RBHS Senior Vice Chancellor for Clinical Affairs Vicente Gracias, RBHS Senior Vice Chancellor, Finance and Administration Kathleen Bramwell, and RWJBarnabas Health Board of Trustees vice chair Marc Berson. (Courtesy Rutgers University)

Susan K. Livio may be reached at slivio@njadvancemedia.com. Follow her on Twitter @SusanKLivio. Find NJ.com Politics on Facebook.