Hospital district ends first year in the black
Preliminary budget figures indicate that Marion County Hospital District #1 has ended its first year as an independent hospital in the black with an $80,000 profit.
Chief financial officer Hilary Dolbee presented financial information Tuesday to the board of directors that preliminary numbers were favorable.
She reminded the board that this favorable report included a $500,000 loan from St. Luke Foundation.
"The good news is we now have a much better idea of projections for revenue and expenses," said Dolbee.
An audit will be conducted to determine if adjustments are necessary before the books are closed-out for the fiscal year and final results are known.
In other business:
— The hospital district will not sell real estate to St. Luke Foundation.
Thom Smith, chief executive officer, reported his research had indicated it would be in the best interest of the hospital district and the foundation to not buy and sell property.
The board had considered the option as way to maximize Medicare reimbursement and said there were other ways the board could do this.
Smith said the properties must be sold at fair market value for a total of $1.5 million.
The foundation then would be responsible for property taxes, utilities, maintenance, repair, and administration of leases.
— St. Luke Living Center has located two used vans and hope to purchase for outings and transportation to medical appointments.
Debbie Craig, resident director, said the ultimate goal was to purchase a new van through a Kansas Department of Transportation grant but funds wouldn't be available until 2007.
In the meantime, Craig said she found a 1996 Dodge Mark IV conversion van for $1,800. A ramp would need to be installed.
Smith said he was told of a used van at Marion Auto Mart for $4,700, and a ramp could be installed for $100. Low interest loans would be available through the car dealer.
He suggested the vehicles be inspected by a mechanic.
— Nuclear medicine equipment needs to be updated, said Joe Picket, radiology director.
The hospital's nuclear medicine machine is not being used because it is in need of repair. Due to the age of the equipment, parts are difficult to find and there is no guarantee when repaired it will work.
A new model could expand services to include cardiology studies, which no other facility in the county offers.
Other equipment needed in the department includes a CT scanner and anesthesia machine. The total cost for refurbished equipment could be approximately $564,000; new could be $625,000.
Picket was instructed to obtain more information for a lease/purchase agreement.
Another option could be the hospital being a visitation site for the company that sells the equipment. Hospital staff would provide demonstrations to interested customers and receive a reduction in cost.
"Don't let the large number (to replace equipment) scare you," said Dolbee. "The hospital only has the debt of CPSI for the new networking system."
The board will review and decide at the Nov. 10 special meeting.
— Smith reported he continues to keep in contact with a third-year medical student who is interested in relocating to Marion.
Hospital personnel have participated in job fairs and the hospital recently received a free registration for a job fair next year.
— A surgeon from Emporia who was interested in providing surgical services to Marion has been too busy to meet with local doctors, said Smith. He said he was concerned the surgeon may be too busy to provide sufficient time to a position at the hospital.
A meeting with a prospective surgeon at Newton Medical Center was rescheduled. Dr. Stephen Cranston continues to provide surgical services but does clinicals or office visits at his Newton office.
— Board members will have a retreat Nov. 29 at Country Dreams. Smith said he had conferred with the district's attorney regarding open meetings laws and was told the retreat would be open to the public, with a record of proceedings.
There will be an hour for orientation by QHR, the district's management consulting company, and four hours for the retreat.
During lunch, the board will hold its monthly meeting.
— The board approved a contract with Air Gas for bulk oxygen for $7,000.
— New personnel include Julie Anderson, full-time CNA; Michael Jacobs, full-time physical therapy director; Jody May, part-time RN at living center; and Dawnyele Rose, part-time CNA.
A search continues for a certified physical therapy assistant and home health aide.
— A Christmas party for hospital employees will be Dec. 3 at Marion Senior Center.
The next hospital district board meeting will be at noon Nov. 10 in the clinic basement.
