06/27/1991 SMKODIAK ISLAND BOROUGH
Special Assembly Meeting
June 27, 1991
absent:
Mike Milligan (excused)
comprising a quorum of the assembly; and
Jerome Selby, Borough Mayor
Donna F. Smith, Deputy Clerk
APPROVAL OF AGENDA
FITZJEARL, moved to approve agenda
seconded by STEVENS as submitted.
VOTE ON MOTION
MOTION CARRIED Unanimous Voice Vote
APPROVAL OF MINUTES
None.
BUSINESS ITEMS
A. Kodiak island Hospital Rate Increase.
Assemblymember Gould read the recommendation of the
Hospital Advisory Board, which was implementation of
a ten percent rate increase effective July 1, 1991,
of _�
followed by an optimization L4_te 1.c review which
.... ....
would analyze costs for services delivered by the
Kodiak Island Borough Hospital and develop a
marketing competitive price for similar services in
the State.
Special Assembly Meeting
June 27, 1991
KIBS104401
SPECIAL MEETING
A special meeting of the Kodiak Island Borough
Assembly was held June 27, 1991 in the Conference
Room of the Kodiak Island Borough Building, 710 Mill
Bay Road. The meeting was called to order at 7:35
p.m.
There were present: ROLL CALL
Jack McFarland, Presiding
Betty Fitzjearl Gordon Gould
Suzanne Hancock Gary Stevens
Mary Monroe (arrived at 9:26 p.m.)
APPROVAL OF
AGENDA
APPROVAL OF
MINUTES
BUSINESS ITEMS
KODIAK ISLAND
HOSPITAL
Volume XIV
Page 157
Kodiak Island Hospital Advisory Board members Ben
Ardinger, Wayne Stevens, and Betty Springhill were
present.
GOULD, moved to implement
seconded by Stevens a rate increase
effective July 1, 1991,
to be followed by a
rate review which would
analyze costs and
marketing prices.
Assemblymember Gould asserted that the Hospital
Advisory Board was conservative in their proposal.
He rationalized that the information given to the
Board by the hospital administration indicated the
hospital budget could not be balanced without the
rate increase. He reiterated that the hospital was
an enterprise fund.
Betty Springhill, Hospital Advisory Board Chairman,
added she felt the increase was necessary.
Ed Myers, Administrator at the Kodiak Island
Hospital, handed out fact sheets showing that the
hospital had three successive years of operating
losses in excess of 1.1 million dollars. He alluded
to the fact that the hospital was in the midst of
litigation that could have detrimental effects on the
operating costs. He pointed out there were
uncontrollable costs such as litigation, unpaid
bills, and government provided insurance shortfalls.
He felt costs were more than revenues at this time.
Karl Short, Finance Director for the Kodiak Island
Borough, explained that the drop in revenues in the
past three years had precipitated the rate increase.
Discussion ensued between Assemblymembers and Mr.
Myers on alternatives to a rate increase and the
consequences of not increasing the rate. Various
cost - saving measures were discussed.
The following were employees at the hospital and
favored a rate increase:
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Kate Plt�I.0 CLatu, Nursing a-avu• +•• +.�.. +•.. •- -�-
Pat Thorne, nurse and Managing Director of the Long
Term Care Facility.
Dan Blackman, Dietary Department Manager.
Wayne Wallace, Respiratory Therapy Department
Manager.
Barbara Allain, Hospital Courier.
Kelley Phillameano, Material Management Supervisor.
Special Assembly Meeting
June 27, 1991
KIBS104402
Volume XIV
Page 158
Stan Thompson, Director of Environmental Services.
Pam Foreman, Director of Human Resources.
Debra Raper, Administrative Secretary.
Pam Kelly, Medical Records Department Manager.
Mary Glamann in Medical Records.
Lynne Mickleson, Medical Director of the Emergency
Room.
Skip Woodward.
As a consumer, Doris Bacus, believed a rate increase
was desperately needed.
Rebecca Curry, a former employee of the Kodiak Island
Hospital, believed cost management could be
implemented before the rate was increased.
John Burt opposed a rate increase.
Alan Austerman, former Borough Assemblymember, was
not against a rate increase but believed that a
review of management needed to be done as the
hospital was an enterprising fund.
James Wilson approved the rate increase.
The Presiding Officer called a five minute recess.
FITZJEARL,
seconded by GOULD
VOTE ON MOTION TO AMEND
Ayes:
Special Assembly Meeting
June 27, 1991
moved to amend
by adding: "The 10%
increase is to be
reviewed quarterly to
update the status of
improvements."
Assemblymembers discussed requesting a departmental
report from Mr. Myers on a monthly basis.
Fitzjearl, Gould
Hancock, Stevens
McFarland
Noes: None
MOTION CARRIED Unanimous
Assemblymember Stevens pointed out that the Assembly
wished to meet with the Hospital Advisory Board
regarding litigation which had a bearing on the rate
increase.
KIBS104403
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Page 159
GOULD,
Seconded by Stevens
VOTE ON MOTION TO AMEND
Ayes:
Noes:
MOTION CARRIED
VOTE ON MOTION AS AMENDED
Ayes:
Noes:
MOTION CARRIED
B. Status of Borough
GOULD,
seconded by FITZJEARL
VOTE ON MOTION
Ayes:
Noes:
MOTION CARRIED
FITZJEARL,
seconded by GOULD
Special Assembly Meeting
June 27, 1991
moved to amend
by adding a final
sentence to read: "To
return the hospital to
a break -even operation
through a combination
of the 10% rate
increase and cost
reductions."
Fitzjearl, Gould
Hancock, Monroe
Stevens, McFarland
None
Unanimous
Hancock, Monroe
Stevens, Fitzjearl
Gould, McFarland
None
Unanimous
Clerk Position
moved to offer the
position of Borough
Clerk to Donna Smith,
subject to contract
negotiations, and
add to the agenda
of the next regular
meeting.
Fitzjearl, Gould
Hancock, McFarland
Monroe, Stevens
None
Unanimous
moved to advertise
the Deputy Clerk
position.
KIBS10440
CLERK POSITION
Volume XIV
Page 160
VOTE ON MOTION
Ayes:
Noes: None
MOTION CARRIED Unanimous Voice Vote
The Assembly thanked Kaye McClain for also applying
for the position of Borough Clerk and asked that a
letter be sent to her.
CITIZEN COMMENTS
James Wilson reminded the Assembly that his issue on
the Kodiak Island Mental Health Center was not
resolved.
Jim Fisk supported the Assembly's decision to
increase the rates at the hospital rather than
increase taxes. He felt that management policies
needed reviewing.
Alan Austerman asked to meet with the Assembly at a
future date to present hospital lobbying efforts in
Juneau.
John Burt questioned the reason for employee turn
over at the hospital.
Karl Short, Borough Finance Director, felt that the
new hospital may require a bond. He said that if
that was the case, the rating would not be good if
the current hospital was losing money every year.
Linda Freed, Community Development Director,
referenced the North Pacific Fisheries Management
Council and the testimony on the inshore /offshore
issue and comments issued from the Borough that
received press coverage. She informed the Assembly
that the Sierra Club Legal Defense Fund had filed a
suit to halt the pollack quota.
The Assembly discussed the Sierra Club Legal Defense
Fund and requested more information from staff.
ASSEMBLYMEMBER COMMENTS
Assemblymember Monroe asked to be excused from the
July 11, 1991, work session.
Special Assembly Meeting
June 27, 1991
Fitzjearl, Gould
Hancock, Monroe
Stevens, McFarland
KIBS104405
CITIZEN COMMENTS
ASSEMBLYMEMBER
COMMENTS
Volume XIV
Page 161
Assemblymember Fitzjearl suggested that all
contracts, including the hospital management
contract, be put out for bid. She asked about
construction on Near Island and was told that it was
in the planning stage.
Assemblymember Gould requested discussion with the
City on autocad congruency. He asked for updates on
Near Island construction.
Assemblymember Stevens requested a meeting with the
hospital administrator.
Presiding Officer McFarland announced that the next
work session was July llth at 7:30 p.m. in the
conference room, the next regular meeting was July
18th at 7:30 p.m. in the Assembly Chambers, and a
joint work session with the Hospital Advisory Board
on July 25th at 7:30 p.m. in the conference room.
The Presiding Officer adjourned the special meeting
at 10:35 p.m.
ATTEST:
Q /02 rick mkA
Borough Clerk
Special Assembly Meeting
June 27, 1991
KIBS104406
Volume XIV
Page 162