News and information from our partners

Hospital ends year in the red; Syringa facility still ‘financially viable,’ accountant says

Syringa Hospital


Syringa Hospital



— “It just wasn’t a stellar year financially for the hospital,” said Carl Swenson, with Crandall-Swenson, PLLC (certified public accountants) out of Boise. Swenson spoke to the Syringa board of trustees at the Jan. 23 meeting.

“All businesses have good years and bad years,” he continued. “This year is not a result of things the hospital specifically did, but just by the fact it exists at this time.”

photo

Carl Swenson, CPA, Crandall-Swenson, PLLC, Boise, delivers the Syringa Hospital audit news to the board’s January meeting.

Swenson presented the end of year Sept. 30, 2017, audit, highlighting the year’s financial statements.

Syringa ended the year $683,180 in the red, as compared to 2016’s negative $57,577 amount. In 2015, Syringa ended up in the black by $100,453.

“Still, the hospital is financially viable, and doing an overall good job,” he said. “Hopefully this is simply a temporary downturn.”

He gave Syringa a “Z Value” of 4.2. The Z Value is a ratio that measures the overall financial health and viability of an organization. A Z Value above 3.00 is one that is “financially strong and viable,” Swenson said. The Z Value for 2016 was 5.27 and was 5.68 in 2015.

Swenson discussed the history of healthcare, saying 30 years ago, revenue was based on hospital in-patient days and now revenue comes mainly from out-patient and ancillary services.

“You also have staffing issues that are difficult — you have to balance keeping enough people in certain areas but not too many, never knowing what’s upcoming, he said.

CEO Abner King agreed that “minimum staffing levels will always challenge small hospitals.”

Swenson also said Syringa has 70 to 75 percent Medicare/Medicaid clientele, which simply reimburses at a lower rate than private insurance.

The hospital’s daily services and special services were each up 3 percent from 2016, while clinic and hospital activity was up 10 percent.

More than 60 percent of the hospital’s yearly expenses come from salaries and wages, which Swenson said is typical for hospitals the size of Syringa. This amount, $9,711,886, is 3.6 percent above 2016’s $9,376,901. In addition, for 2017, part of the hospital’s debt came from construction projects.

In 2017, $522,746 was listed as bad debt while in 2016 that number was $504,104, a 3.71 percent increase.

Cost for drugs in 2017 came in at $414,474, a 20.5 percent increase from 2016’s $343,863.

Ad valorem taxes for the hospital district brought in $533,679 ($517,284 in 2016).

Clinic visits was a rise from 12,965 in 2016 to 14,147 in 2017, while ultrasound (599 from 754), EKGs (1,105 from 1,093) and laboratory tests (130,429 from 135,315) all saw decreases.

Swenson also reported the hospital was about 25 percent capacity most days in 2017, while radiology procedures stayed about even at $3,227 in 2016, and $3,275 in 2017.

A full audit can be viewed at Syringa Hospital Business Office.



Comments

Use the comment form below to begin a discussion about this content.

Sign in to comment

CLOSE X

Information from the Free-Press and our advertisers (Want to add your business to this to this feed?)