At their Wednesday meeting, the Johnson County Healthcare Center's Board of Trustees got an unfavorable report concerning reduced volume, revenue and how that will affect the upcoming budget for Fiscal Year 2014.
The board is still working through the preliminary budget and will adopt a final operating budget July 31st, but in the meantime the board and administration are dealing with reduced revenue from less volume and from reduced valuation in the county.
Hospital Administrator Sandy Ward told the board he wanted to take a “wait and see” approach to the budget in the first four months of FY2014 before making any major cuts to see if volume and revenue do in fact pick up as they traditionally have in the past.
Ward made suggestions to the board for their approval to help offset some of the lost revenue for the upcoming year, including raising prices for services 5% for most departments in the hospital and in the Family Medical Center and raising rates in the Amie Holt Care Center.
Also suggested was for the board to approve eliminating funds for training where possible during FY2014; move Capital Expenditures to the second half of 2014 for review; eliminate the 2014 pension contribution; possibly reduce staff through attrition if necessary; and develop new ideas or concepts to improve revenue and volume.
The board approved moving forward with Ward's suggestions, the price increases, with a staff pay increase of 3% and a pension contribution of 3%.