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Spectrum assures Adair Hospital Board sale is still active

Spectrum Partners representatives say, despite rumors, negotiations for sale of assets of Westlake Regional Hospital, though delayed, are ongoing; also say they are staying, despite rumors to the contrary. Financial hemorrhaging under Spectrum Care leadership continues, as does gloomy vector for revenue side of operations. Wake like meeting lightly attended.

By Ed Waggener

Interim Westlake Regional Hospital CEO Tim Menton assured the Adair County Hospital Board of Trustees and the small gathering at the Board's regular May meeting, May 29, 2012, that the negotiations with LifePoint for the sale of the hospital is ongoing, but that the target date of the sale by June 30, 2012, may no longer be realistic. He said that a sale by July 31, 2012, may be doable.

He assured the board that LifePoint is doing a very good job with their due diligence side of the negotiations, but made no mention of the hand the people of Adair County is holding.



Financial statement worsens under Spectrum leadership

Interim CFO Rodger Klein gave another glum report on the hospital's operations in its 15 months under the guidance of his company. In the unaudited financial statement, a combined loss of $611,014 was reported for the month ending April 30, 2012, and, for the year, a combined operating loss of $1,977,660.00.

He also reported the worst patient census in the Spectrum tenure, for April, an average of 10.4 per day, a variance of 12.2 from the budgeted figure.

Klein reiterated another statistic previously part of his sky-is-falling defense of the fire sale of Westlake Regional Hospital, that patient census may have reached an all-time low of 3-patients over the Easter weekend, in the 14th month of Spectrum leadership.

Budget approved

The board approved a budget for Fiscal Year 2012-13, which Mr. Klein said had to be delivered to Adair Fiscal Court by June 1, 2012.

Staff privileges approved

The board unanimously approved recommendations of Dr. Clinton Kiteck for credentialing staff at Westlake.

Bad debts and charity write-offs approved

The board unanimously approved the write offs of a total of $44,052.67 in bad debts and charity for April 2012.

CFO: Lower expenses mandatory

Mr. Klein noted that the deteriorating trend in revenue would necessitate changes in expenses. He did not elaborate as to whether that would be in another round of lay-offs or not.

Psychiatric unit scheduled to open mid-June

Mr. Menton told the board that the Behavioral Unit is on schedule to open, tentatively, by June 13, 2012. The number of units has been decreased from 28-25, he said, but that this should not affect census for the unit, which is projected, now, at a maximum of 17. The reduction in beds in the psychiatric unit reduces the number for the entire hospital from 77 to 74, he said.

Dr. Aaron's practice busy, but has not added to census

Mr. Menton said that Dr. Phil Aaron's practice has been very busy, but has not affected the patient census at Westlake which had been expected. "He's seeing a lot of patients, but not one's which require hospitalization," he said.

Low utilization may be increase in ER subsidy

Mr. Menton said that the low utilization of the ER may mean a regotiation with the firm in charge of its operation - and an increase in expenses for the hospital.

Meeting very lightly attended

The meeting, carried out in a wake-like atmosphere, was very lightly attended. Chairman Jim Evans presided, with all members, including Russell Guy Perkins, Josh Harden, John Nall, and Bruce White in attendance. No representatives of Fiscal Court were present.


This story was posted on 2012-05-30 09:13:49
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