PCH receives high marks in audit

Pinckneyville Community Hospital board member and financial committee chair Dave Pirsein congratulated CFO Kara Jo Carson and her staff for receiving an unqualified opinion from Whipfli, the hospital's auditing firm. Pirsein said an "unqualified opinion" is the best rating an audit can receive.

Jay Adkisson of Whipfli presented the audit for the fiscal year ending April 30, 2013. It was a good year for the hospital.

Adkisson called the hospital's books 'transparent,' which is how they should be. He said there were some minor adjustments, all to the good of the hospital, most of which were anticipated.

Using benchmarks from a national database and a local database, Adkisson said PCH is doing well in comparison to other hospitals across the country and to other critical access hospitals in the midwest.

Net revenue was up 4.3 percent and employee costs were down 2.3 percent, both of which contributed to a healthy bottom line.

The hospital paid off two long term debts in FY2013-- a 2008 bond and a 1976 bond. As a result, PCH has less debt than the average hospital. Adkisson said he expects that to change once the bonds for the new hospital are in play.

Whipfli is also conducting a Medicare cost report for the hospital, consulting on finances for the Rural Health Clinic and preparing a charges and reimbursement analysis.

In other business, the board:

• reviewed the financial report for July, the third month of the current fiscal year, showed an operating loss of $129,989 and a net loss of $82,413. The year-to-date figures remain in the black with operating income of $3,969 and net income of $252,200. Net income/loss figures include revenue from sources other than operations.

• approved two education agreements. The first, with Jordan Priebe, depends upon his acceptance into medical school. If he is accepted, the hospital will pay his tuition and a monthly stipend. In exchange, Priebe would then return to Pinckneyville to work as a General Practitioner for seven years, beginning in 2021. The second agreement is with Miles Priebe, currently employed as an RN at PCH. He plans to return to school to become a Nurse Practitioner. Miles Priebe would then return to PCH to work for four years, beginning in 2016.

• approved the purchase of a new EKG machine at a cost of $11,012. The machine was budgeted for FY 2016, but the current back-up machine no longer works.