Veterans Memorial Hospital posts 3.5% operating margin

by Brianne Eilers

The month of November ended in a net income of $70,405 for Veteran’s Memorial Hospital (VMH), which translated to a 5.4% operating margin for the month. Year-to-date, VMH is showing a net income of $220,771, which is a 3.5% operating margin. Acute Patient Days were up, while skilled patient days and deliveries were down. “Our outpatient continues to be up,” noted VMH administrator Mike Meyers. Surgeries, outpatient lab, outpatient physical therapy, outpatient MRI, and ER visits were all up, while outpatient radiology and cardiac rehab were both down. Total expenses were also down. Days in accounts receivable are under 70 days, and Meyers projected that by the end of December, VMH should have around $3 million in cash reserves.
Meyers talked a bit about his recent trip to Washington D.C., noting that when they were out there, no one that they spoke with could really give an answer about where things were heading with the “fiscal cliff.” “We have budgeted for potential cuts and will plan accordingly going forward,” Meyers noted. Meyers said he is guessing that it is possible to see a decrease in reimbursements in Medicare and Medicaid to both hospitals and providers, and possibly there may be some changes to the physician payment issue.
Meyers also mentioned that VMH celebrated its recent Press Ganey award with staff and physicians. VMH has also been looking at its Wellness Initiatives and how employee testing is done. “We have shown improvement in several categories,” Meyers noted, which include overall health, eating, working out and weight loss.