UHD posts profit
It was good news for United Hospital District board members Tuesday.
Administrator Jeff Lang says April was a very good month financially and net income at the end of the first quarter is better than expected.
“The first four months our performance was very strong,” he says. “It’s a good start to the year.”
Lang made his point by sharing revenue and net income figures with the board.
For April, net income was $533,444, or $430,466 over budget.
Through April, the district has a net income of $963,275. That’s $551,743 more than what officials had budgeted for.
In other money matters, Lang asked the board to “write off’ more than $417,000 in bad debts.
Many of the accounts are in the $50 to $70 range and date from 1997 to 2004.
“There is really no chance in collecting these. They have been in collections and revenue recovery for many years,” Lang says.
The hospital administrator says exhaustive attempts have been made internally to collect the money or make arrangements for payment.
Lang assured the board that wiping the bad debts off the books will not impact the district’s financial statement.
The district could have a new chief financial officer, if a salary can be negotiated.
Lang says an offer has been made to Matt Sherwood of Bloomington, Ind.
He says Sherwood has 10-plus years of hospital finance experience, working at several different size health care facilities.
Board members again were given anupdate on the two building projects.
Lang says the Winnebago treatment center is on schedule, but work at the hospital is one week behind.
A difference in grading has caused water to come up through the floor and prevented workers from pouring concrete.
“Getting a floor in that building has just been an Achilles’ heel,” says Lang.
To address the problem, he says, workers removed about 20 feet of dirt at the most southern end and that has seemed to help.
If everything goes as planned, a Twin Cities company will bring a large crew to pour the entire floor today.
Lang told board members things are “going very nicely” at the treatment center.
He says the building could be ready for occupancy by mid-July, but case work could delay that until sometime in August.
Once the case work is completed, the state departments of health and human services, architect and owner of the building must conduct inspections.