1994-12-14 Regular Meeting Ir
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KODIAK ISLAND HOSPITAL 5
ADVISORY BOARD MEETING
December 14, 1994
BOARD PRESENT: Betty Springhill, Wayne Stevens, Gil Bane, Loren
3 Halter, John Shank, Gretchen Saupe, Kevin Creelman
EXCUSED: Judy Trous i 1
STAFF PRESENT: Ed Myers, Donna Milan, Kate Fitzgerald, Mary Munk,
Pam Foreman, Stan Thompson, Tim Hocum
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OTHERS PRESENT: Ken Lawonn, Joe Smith
With a quorum present, the meeting was called to order at 7:00 p.m.
ACCEPTANCE OF AGENDA
Motion made and seconded to accept the agenda.
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APPEARANCES AND CONMIUNICATIONS
Ken Lawonn, MIS Director for Lutheran Health Systems, presented to the
Board the Hospital's MIS Long Range Plan. The plan allows the Hospital
to build onto its current computer technology, and will gradually
replace technology aspects that do not fit the Hospital's long term
needs. The plan takes an anticipatory approach to future computer
needs. Mr. Lawonn described in detail the plan's rationale, and
explained its development process. He also pointed out that the
expense of implementing the plan goes into the Hospital's capital
budget. The Advisory Board gives the initial approval, then, it goes to
Borough Assembly for final approval.
MEETING NHNU1TS OF NOVEMBER 9, 1994
1994, minutes.
MOTION made and seconded to accept the November 9,
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COMMTTEE REPORTS
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Finance Committee At the Finance Committee meeting earlier today, Mary
Munk gave an overview of the Hospital's financial performance for the
month of November, 1994. The Hospital had a net loss of $24,000 for the
month. Ms. Munk reported that the Hospital's cash flow is now above $1
million, and the Hospital has begun funding depreciation with moneys
above this amount. Accounts receivable days are down to 67, exceeding
the goal of 70. The Year -to -Date total gain so far is $71,000.
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° OLD BUSINESS
None.
NEW BUSINESS
A. Board Action - Privileges Applications. The following individuals
have requested practice privileges at the Hospital:
Margaret Draskovich, Allied Health Counselor with KANA;
Charles Perkins, M.D., Neurologist (Consulting privileges);
Steve Smith, M.D., ER Physician (Active privileges.
The Medical Staff has approved the applications.
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MOTION: Gretchen Saupe made a motion to recommend that the
applications be forwarded to Lutheran Health Systems for
approval.
SECONDED: Kevin Creelman seconded the motion.
MOTION CARRIED UNANIMOUSLY.
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ADNIINNTRATOR'S REPORT
Mr. Myers informed the Board that he spoke with Don Prochaska regarding
the approval process for the construction management company RFP. He
anticipates that a choice will be made by January 19, 1995.
Joe Smith of Lutheran Health Systems is visiting the Hospital this week.
He commended the Board on their progress with the new construction
project. He also met with the Management Team and based on what he has
HOSPITAL ADVISORY BOARD MINUTES
1 December 14, 1994 -2 '
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seen and heard, concluded that 1994 has been a watershed year for
KIH /CC.
Mr. Smith also reported on other Alaska LHS- managed hospitals. Kate
Fitzgerald, our Patient Care Administrator, has been mentoring the
Nursing Services Administrator in Valdez, with very positive results.
Also, in Soldotna, Randy Wirek is the new Administrator.
Mr. Smith praised Barb McLean and Mary Munk on their excellent work
aimed at improving the accounts receivable problem.
BOARD AND AUDIENCE COMMENTS
Mr. Bane complimented the Hospital on an enjoyable Christmas Party, and
noted that morale is greatly improved among employees, compared to last
year. Also, he pointed out a potential safety hazard on the sidewalks
leading into the Hospital parking lot. The construction company is
leaving water on the sidewalks.
Ms. Saupe expressed displeasure at the recent Daily Mirror article on
the Hospital, and specifically objected to its blame of the Board for
not raising rates in previous years.
Mr. Stevens raised the question of whether the Hospital is JCAHO
accredited. Mr. Myers replied that it is not, but that upon completion
of the new construction, the need for accreditation will be evaluated.
Mr. Myers noted that the process is expensive, and JCAHO accreditation
is not always advantageous to every hospital. Mr. Bane suggested that
this issue be placed on a future Board meeting agenda.
Dr. Creelman asked whether JCAHO accreditation would positively affect
the Hospital's insurance rates. Mr. Myers replied that it would not.
ADJOURNMENT
The meeting was adjourned at 8:30 p.m.
Recorded b Donna Milan.
App�pved, Advisory Board Secretary
HOSPITAL ADVISORY BOARD MINUTES
December 14, 1994 -3-
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Kodiak Island Borough
Hosr F
rsoRY so.
Term Home Work
Expires Phone Phone
Betty Springhill, Chairman 1996 486 -5106
Box 922
Kodiak, AK 99615
Gil Bane 1994 486 -4962 .486 -4161
Box 224
Kodiak, AK 99615
Loren Halter 1995 486 -4183
104 Center Street
Kodiak, AK 99615
Gretchen Saupe 1994 486 -3699
Box 1194
Kodiak, AK 99615
John Shank 1995 486 -3859 486 -5504
Box 827
Kodiak, AK 99615
Wayne A. Stevens 1995 486 -6036 486 -5557
Box 3742
Kodiak, AK 99615
Judy Trousil 1996 486 -2330 487 -4363
Box 242
Kodiak, AK 99615
Jack McFarland (Assembly Rep) 1995 486 -3729 486 -6001
Box 2342
Kodiak, AK 99615
Dr. Kevin Creelman, Chief of Staff 486 -4183
104 Center Street 1994
Kodiak, AK 99615
Edmon Myers, Administrator (ex- officio) 486 -3281
Donna Milan, KIH Staff Fax: 486 -2336 486 -3281
Revised 12/16/94
BOARDS/ROSTF.RS/HOSPUAL
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Kodiak Island Hospital
I C— & Care Center
1915 E. Rezanof Drive
Kodiak, AK 9 %15
(907) 486.3281 FAX (907) 486 -2336
May 4, 1994
Kodiak Island Borough Assembly
410 Mill Bay Road
Kodiak, Alaska 99615
Dear Assembly Members,
Attached please find the Kodiak Island Hospital & Care Center's
j (KIH /CC) July 1, 1994 through June 30, 1995 projected budget. The
1995 budget reflects a revenue shortfall in the amount. of $613,185.
This shortfall takes into consideration the continuing requirement
to maintain an ongoing annual operating gain, while keeping rates
reasonable. The shortfall funding is necessitated by a 6% to 8%
inflationary increase, declining State Revenue Sharing, as well as
adjustments for volume shifts.
Today we were notified that Kodiak Area Native Association (KANA)
does not intend to renew their contract with KIH /CC. This will
have a negative impact on revenues by significantly decreasing the
use of the Hospital lab, as well as decreasing the number of
referrals from KANA. It is estimated that the impact could be as
high as $500,000, which is currently not reflected in the revenue
shortfall. A mid -year budget adjustment may be necessary after the
full impact is identified.
The KIH /CC Advisory Board has met and reviewed this document and
has recommended that the Kodiak Island Borough Assembly support the
shortfall through a subsidy. The minutes from the meeting are
attached.
This financial plan is our best estimate of what will happen in the
future at KIH /CC. In order to maintain a financially viable
operation, it will be necessary to monitor operations on an ongoing
basis to ensure that high quality patient care is delivered in a
cost effective manner and the operational objectives of the
facility are achieved.
We look forward to attending a work session to discuss this budget
projection.
Sincere ,
yer , Administer
Kodiak Island Hospital & Care Center
cc: Jerome Selby, KIB Mayor
Karl Short, KIB Finance Director
AA2naoM by the LHS Mananement Companv, Fargo, North Dakota