CCHS Tops Gross Revenue Record

DAYTON – In his financial report for August, Columbia County Health System Controller Tom Meyers said another gross revenue record was set for the month of August.

“We’ve had two really good months,” Meyers reported to the commissioners.

Gross patient revenue reached an all-time high of $2,040,988, which was $67,000 over the previous record for July, 2017, he said.

Meyers pointed out higher volumes in the Emergency Department, Physical, Occupational and Speech Therapies, and in ultrasound. Volumes were higher in both health clinics, which is attributed to the addition of behavioral health care provided by Dr. Varnell, along with Wellness, Chronic Care, and Transitional Care visits in both clinics.

“Those are some strong areas, overall,” Meyers said.

Also noteworthy in August is an improved cash position due to extraordinary dividends, which were received, related to the employee benefit costs. Deductions increased due to the higher volumes, and increased patient accounts receivable. These impacts combined to a booked gain of $230,000 in August, after taxes and non-operating revenues are booked, he said.

“Year-to-date, we show a gain of $407,000, unaudited. This is more than three times the budgeted bottom line of $111,000.00,” Meyers said.

While collections haven’t been as strong as recent revenue levels, the district expects to see improvements in collections for two to three months after higher monthly revenue, Meyers said in his report.

Meyers noted a billing issue in Respiratory Therapy and EKG, which was due to a licensing issue, and for which credit is being made for several months.

“Overall this is a really strong month and actually two strong months in a row,” said Meyers.

CEO Shane McGuire agreed, stating in his report, ”If we continue operating at current levels, our net operating revenue will end up in the $16.5 million range over last year’s $12.4 million in new revenue.

He also noted that while gross and net patient revenues have increased by 26% and 28%, respectively, net income has only increased 2.35%.

“Our billing partner is working to get our collection rates up and has targeted a collection rate in the 75% range,” McGuire said.

The goal is to have AR days down to 55 days from the current 68 days, and the strategic plan goal is to be at 45 or 46, by the end of the year. McGuire said overtime has been authorized to work through those issues.

Day cash on hand rose to 17.2 days from 9.7 in July.

Phase IV of the Hospital Renovation and Enhancement project has begun, McGuire said in his report.

Employees are moving into the ultrasound, environmental services, pharmacy, nurses’ workstation, and medication rooms, and the new Emergency Department entrance will open in October.

McGuire said there was around $50,000 to $60,000 left in the contingency budget, but it has been spent because of some project issues. There are still some budgetary line items that haven’t been spent, he said.

The Board of Commissioners approved a request from McGuire to commit Day Estate Trust funds as security to receive a low-interest loan from Columbia Rural Electric Association, for the Hyperbaric Wound Care Suite. Payments will likely be paid out of operation funds, McGuire said. The date for completion of that suite is December 23, 2017

The board has approved using $11,000 from the Day Estate Fund for the purchase of walk-in bathtubs for the Booker Rest Home. Twelve thousand dollars of the $23,000 total is coming from community grants.

The board also approved the purchase of a program called “InstaMed” for use by patient registration personnel that will allow them to see progress toward meeting deductibles and help with collections of co-pays. It will also provide for a system of checks and balances for billing errors when patients register for services, said McGuire

“It’s all very convenient and user-friendly,” said CFO Cheryl Skiffington.