Hospital Finances
Dear Editor: In the Thursday, April 2, Daily Sitka Sentinel the new Sitka Community Hospital’s CEO Mr. Rob Allen talked about hospital finances. While I do not wish to go into the overall discussion, I would like to address his apparent comments on charity care provided by SCH.
Charity care by definition is care provided to individuals for low cost or mostly no cost due to the individual not having insurance or the means to pay. Per the hospital financial statements through eight months of their fiscal year, the hospital has provided $271,649 in charity care. On a yearly basis this would amount to $407,474. This is a considerable difference from the $1.500,000 as stated in the article.
In the 10 years I was the CFO at the hospital there was never a year where charity care amounted to anything close to that number.
I believe Mr. Allen is confusing bad debts with charity or combining bad debt and charity care together. The charity care program at the hospital has helped literally hundreds of the residents of Sitka receive much-needed healthcare allowing some to be then able to work or return to work and others to be able to live with less pain or improved health.
Charity care is a requirement by some governmental programs and to maintain tax exempt status for many hospitals. This care has also allowed some residents to contribute back to the community by now being able to hold a job or do volunteer services. This is what a community hospital does.
On the other hand, again per the hospital’s financial statements, bad debt incurred through eight months of operations was $1,006,549, which annualized amounts to $1,509,823.
See where I am going here? Bad debt by definition is care provided for which payment was expected but not received. Now there can be many reasons for this and not all of them reside with the patient. This number has increased and I would suggest Mr. Allen look to Healthcare Resource Group, the company hired since August of 2014 to provide business office expertise and recently to also provide billing services, to explain this increase.
It would seem that the hospital should concentrate on addressing the growing bad debt and leave the charity program alone.
Lee W. Bennett, Sitka
EDITOR’S NOTE: Mr. Allen cited $1.5 million as the combined charity/bad debt figure to make the point that the hospital provides an unsustainable amount of care that is uncompensated. Progress is being made on bill collection. On charity care, the hospital must treat patients who meet federal income level standards and Allen said Medicaid expansion is the big change that could reduce this cost to the hospital.
The Sentinel regrets any misunderstanding related to its April 2 report of Mr. Allen’s remarks.
Stolen Tubs
Dear Editor: It’s a shame when people steal from elders. I live at Swan Lake Terrace where my window faces the parking lot, gross view, into Hollywood Way. I compensate by buying plants to obscure some of the view. Now someone is stealing my plastic black longline gear tubs I grow vegetables and herbs in. They, he or she, have stolen two tubs and one large green ceramic planter. One tub had just started growing my rhubarb. How low can one go to steal my only source of organic plants?
I called the police, who asked me, ‘‘Who did it?’’ Right, how would I know? If I did, I’d get my plants back.
Joy Light, Sitka
AMP Testing
Dear Editor: Last week, AMP testing began in the Sitka School District. I refused to allow my Sitka School District child to be tested. The district administration is telling parents the tests are mandatory statewide and there is no opt-out option.
I am not asking permission to opt-out. I am the steward of my child and the ultimate authority in determining what is best for my child. What is best for my child is not federal/corporate one-size-fits-all Common Core Standards and curriculum, adaptive assessments, data collection, workforce development, collective achievement, test-based teacher evaluation and technology.
AMPs do not enhance my child’s education, are not required for graduation and will not help them get into college.
Sen. Mike Dunleavy has confirmed with the state the assessments are not required and no penalty against parents or children may happen. Sen. Dunleavy has introduced SB 89: Parental Rights, ‘‘An act relating to a parent’s right to direct the education of a child; and relating to questionnaires administered in the schools.’’
Alaska Department of Education is mandated to administer tests but parents make the final decision for their child.
Sitka School District’s final budget hearing is April 7. I will be there to tell the district what is important to my child and where our resources should go. Sitka Alaskans Against Common meets Thursdays at 6 p.m. Locations are advertised or call for information, 752-4059. Everyone is welcome.
Ed Gray, Sitka
