For public record, the accounting firm of Seim, Johnson, Sestake and Quist, LLP released an audit report on Buena Vista Regional Medical Center on November 26. The report was presented during the Board of Trustees meeting.
Brian Green of SJS and Q presented the information and told the board that the hospital had a good year.
"The year has been better than average compared to the last couple of years," Green said.
Among the highlights that Green covered: the Medical Center's unrestricted operating revenue totaled $32,489,740 for the year ended June 30, 2007, a 25.9 percent increase from the prior year. Total revenue included $31,348,442 in net patient service revenue and $1,141,298 in other operating revenue. The increase is primarily due to BVRMC's first full year of Critical Access Hospital status, which results in improved Federal Medicare reimbursement.
Net non operating revenues were $1,181,446, which is comprised of $7746,723 in investment income; $349,975 in county tax revenues; $100,688 in non capital grants and contributions; and $15,920 loss on disposal of capital assets. The hospital's county tax revenues are the third lowest in the state of Iowa and the 1.1 percent of total hospital operating revenue.
Operating expenses for the year totaled $28, 757,947, a 15.4 percent increase from the prior year, and included $15,292,479 for salaries and employee benefits; $9,105,857 for supplies and other expenses; $2,405,594 for purchased services and professional fees, and $1,954,017 for depreciation, amortization and interest.
Green highlighted other parts of BVRMC and compared to other hospitals his company performs audits for. Green highlighted that BVRMC is two and half times better than other hospitals of similar size for Days Cash on Hand.
"BVRMC had 250 days cash on hand compared to one of its peers who only had 33, and another 217," Green said. "You are two and half times better than the average Iowa Critical Access Hospitals which has 101 days cash on hand."
SJS and Q will be watching BVRMC hospital patient days, excluding newborns and Hope Harbor statistics.
"In 2002, there was a peak 6,856 patient days but that has been going down, dropping to 5,308 days, then there was a slight rise for 2007," Green said. "We are going to watch this and see if it's a part of a trend. We hope it is."
BVRMC is one of 1,283 critical access hospitals across the country. The switch to that status happened in mid-2006. Green stated that some of the larger growths were due to the switch.
A copy of the audit report is available for review in the BVRMC Administrator's Office, in the office of the Auditor of State and on the Auditor of State's website at http://auditor.iowa.gov/reports/reports.....