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Nevada Regional Medical Center hires new CFO
Nevada Daily Mail
A new Chief Financial Officer, Greg Shaw, will replace Interim CFO Craig Stewart at Nevada Regional Medical Center on Feb. 24.
Shaw worked as CFO at the hospital in Mexico, Mo., for the last 18 to 19 years before coming to Nevada. Three candidates were interviewed during Stewart's year at NRMC.
At the monthly Financial Strength Committee meeting Tuesday, Stewart said additional plans for reducing the overall cost of operations through cuts in labor, supplies, materials and contracts for services are pending on a change in leadership, i.e. a new CEO. Former CEO Judy Feuquay announced she would step down earlier this month.
With $575,000 in monthly losses, the administration set a monthly cost reduction goal of $350,000 a month. So far 38 positions have been impacted through attrition, retirements, hourly reductions, and position elimination.
Of the $350,000, $250,000 is expected to come through workforce cost reduction and $100,000 through operations cost reduction. So far $150,000 has been saved in labor, more than $10,000 in overtime and $3,400 in health insurance.
To save money, the administration is also reexamining its retirement structure.
"Ours is very rich," Stewart said. "I know of no hospital that gets 6 percent with no employee contribution."
He attributed problems with increasing the hospital's inventory reductions to the hospital's purchase of implantable/surgery supplies instead of having those supplies on consignment.
"We still need to work on reducing expenses," he said. "The biggest expense we've had is Cerner's fees."
On a positive note, Stewart said total cash and cash reserves declined from December to January by $37,000, the lowest cash decline month to month for the fiscal year. The gross and net AR days decreased for the second time this year. Cash collections were 127 percent of net revenue in January and 95 percent of net revenue year to date, compared to 88.5 percent last year.
"I feel we've turned the corner," he said. "We would have been in positive cash flow for the first time in many months if not for the cost reports."
The committee approved bringing to the board of directors for approval a $155,854 replacement contract with AT&T for internet, saving $8,000 per month; a $40,000 Midwest Hyperbaric, LLC contract to provide consultation and support for Hyperbaric services; a $6,000 contract with Litton Pathology for pathology services, saving $45,000 per year; and an amendment to the Cerner agreement to lower fee payments by $31,268 per month for the next six months and then add $2,054 more per month spread over the eight year period of the agreement.
In the Long-term health report, Steve Branstetter said Medicaid increased the nursing homes' per patient day by 3 percent, increasing income from $40,000 to $50,000.
"For the month of January we did have a net loss of $32,000," he said. "Three main things hit us. We got the housekeeping staff, a one time fee of $7,500 to look over books and our census was a little lower. We have $35,000 profit for the year. This year we'll break even, make a little money and stop the bleeding from the past three years."
The committee approved a $42,000 purchase of 22 new beds for Moore-Few.