The Paynesville Area Hospital District took the following actions at their meeting on Wednesday, Aug. 22.
• The board approved a budget for fiscal year 2002, which runs from Oct. 1, 2001, to Sept. 30, 2002. (Separate story below.)
• The board accepted a proposal from the CEO study committee to add a position of executive vice president to the system. This position has been budgeted for the 2002 fiscal year. A search to fill this position will begin immediately.
• The board heard a report that the construction project at the facility is progressing on schedule. The new ambulance garage and emergency areas of the facility are scheduled for completion by mid-October.
• The board voted to turn a $13,583 delinquent account over to collection.
• The board acknowledged revisions to Minnesota statutes regarding hospital districts. The revisions involve minor changes in board elections.
• The board approved an employee loan request of $473 for Sharla Dufner, who will be completing a certified dietary manager�s course.
• The board was informed the Paynesville Area Hospital District Foundation, Inc. has been incorporated. The board is looking for district residents who would be interested in serving on this board.
Budget for 2002 approved
The Paynesville Area Health Care System (PAHCS) Board of Directors approved a fiscal 2002 budget at their regular monthly meeting on Wednesday, Aug. 22.
The current fiscal year ends on Sept. 30, 2001. The 2002 fiscal year runs from Oct. 1, 2001, to Sept. 30, 2002.
The budget includes revenue projections of $18,775,000 with expenses totalling $18,499,000. Anticipated nonoperating revenues of $42,000 brings the expected profit for 2002 to $298,000.
PAHCS had a profit of $746,000 in 2000 and anticipates a profit of $259,000 for 2001.
Revenues for 2002 are budgeted at $18,755,000 compared to a projected $17,262,000 for 2001. Increases in hospital rates by 10 percent and clinic rates by six percent, effective Oct. 1, 2001, help fuel the $1.5 million revenue increase, along with anticipated increases in volume (the number of patients served by PAHCS).
A modest increase in revenue is expected from a three percent increase in Medicaid rates and a slight increase in occupancy in the Koronis Manor.
Residents of 700 Stearns Place will see a five percent increase. Rates at 700 Stearns Place were not increased last year.
Expense increases will largely come from rising salaries and wages. Recently, nurses in the Twin Cities increased their pay after settling a strike. Labor for health care continues to be in demand as well.
Employee health insurance is also increasing by 10 percent, and PAHCS expects to add the equivalent of six and a half positions.
The capital budget of $969,000 mainly goes to address technology needs in the system.
PAHCS...
