By Nick Nunn Staff Writer
The Morgan Memorial Hospital (MMH) ended the month of November 2013 with a net loss of more than $256,000 despite an average daily census of 19.7 patients.
The net patient revenue fell to approximately $415,000 from October’s $1,080,814 to around $665,000 in November, and operating expenses rose more than $140,000 from the previous month. Deductions from revenue also increased by $247,000 from October to November.
Although the average daily census only dropped from 19.9 in October to 19.7 in November, there were 56 fewer emergency department visits in November, and almost 160 fewer outpatient visits. MMH Cheif Financial Officer Kyle Wilkinson admitted that November “was not a good month” for the hospital.
The Morgan Memorial Hospital Authority (MMHA) also heard a presentation on the hospital’s audit for the fiscal year 2013 from Jimmie Richter of Draffin & Tucker, LLP, an accounting firm based in Albany.
The presentation outlined the financial highlights for the year ending on June 30, 2013. The impact of the audit adjustments created a negative change of $312,000 in the net position of MMH during the fiscal year 2013.
The recorded loss prior to the audit amounted to approximately $553,000, which became a loss of around $865,000 after the audit adjustments. An operating loss of $1,594,000 was offset by $645,000 in non-operating revenue to create the negative change in net position in the amount of $865,000.
During the fiscal year 2012, the hospital enjoyed a positive change in net position totaling $552,000. MMH’s $23,758,000 gross patient service revenue was offset by almost $12,000,000 in total contractuals and bad debts, which brought the net patient service revenue down below $11,800,000.
Salaries and wages at MMH decreased $352,000 during the fiscal year 2013, and total hospital expenses increased only $96,000 during the year. The hospital suffered a $1,253,000 loss of assets during 2013, as opposed to only a $338,000 decrease on financial liabilities.
According to the information in the presentation, MMH’s “Days Operating Cash on Hand” fell from 23 days after the fiscal year 2012 to only seven days after the fiscal year 2013. MMHA Chair Terry Evans thanked Richter for the presentation.
“I appreciate you coming out and the work you folks do for us,” began Evans. “This is not one of our better audits, but there are just so many positive things going on at Morgan Memorial …we have one of the most outstanding staffs and the best hospital authority board I have ever sat on.”
Despite the less than ideal report, Evans was optimistic for next year’s audit. “The bottom-line is this hospital is surviving and still saving lives,” said Evans “We expect next year’s audit to be much better.”