The Greenwood County Hospital (GWCH) Board of Trustees approved financials at its April meeting, showing a $1,681,504 deficit for the fiscal year, citing a sharp decline in inpatient admissions and outpatient revenue as the primary drivers. Hospital leadership said the number of patients being admitted has dropped significantly in recent months, by roughly 45%, reducing one of the facility’s most important revenue streams. At the same time, the cost of providing care has increased, putting additional strain on the hospital’s finances.
CEO Sandy Dickerson told the board that GWCH was looking to complete an interim cost report in an effort to adjust its Medicare reimbursement rate to better reflect current expenses.
“We have sent the data to the cost report team, and it typically takes a few weeks for them to work through it,” Dickerson shared with The Eureka Herald following the meeting. “We expect to receive an interim report sometime in June. After submission, it could take another four weeks for a decision on an interim payment.”
The report is key to determining how much the hospital is reimbursed under Medicare, which bases payments in part on a costto- charge ratio. As costs rise, due either to higher supply prices or fewer patients to spread expenses across, reimbursement rates can be adjusted upward. Conversely, higher patient volumes or lower costs can reduce reimbursement rates.
“In our case, both factors are at play,” Dickerson said. “Supplies cost more right now, and we are seeing fewer admissions.”
Hospital officials also addressed questions about whether recent changes to accepted Medicare Advantage plans contributed to the deficit. Dickerson said the impact has been minimal, noting that only about 300 patients (roughly 5% of GWCH’s annual volume of 6,000 patients) were affected.
Instead, the hospital is experiencing a broader shift in care delivery. Like many facilities nationwide, GWCH has seen an increase in outpatient services, which are reimbursed at lower rates than inpatient care.
“There is a national push to treat patients earlier and avoid hospitalization,” Dickerson said. “While we are seeing growth in outpatient services, the reimbursement is not enough to offset the losses from the inpatient side.”
A potential increase in Medicare Part A reimbursement, if approved, could help narrow that gap.
In other business, the board approved the appointment of Lisa Harris, DNO, FNP, with Allied Health Consulting, and the reappointment of Dr. Michael McClintick in family medicine. Trustees also approved the March meeting minutes, treasurer’s report and disbursements, which included $890,235.79 in payroll and benefits and $737,454.92 in accounts payable.
During the CEO report, Dickerson shared that the annual hospital Gala was held last month and was very successful in raising money to help with the purchase of the mammography machine. Proceeds from the annual event were in excess of $110,000.
The board also approved Melissa Jones as corporate compliance officer and Matt Combs was named as the infection preventionist, along with a revised Quality Assurance and Performance Improvement (QAPI) plan. Routine quality, medical staff, nursing and CEO reports were presented.
Trustees entered two executive sessions totaling 20 minutes to discuss personnel matters (employee performance) before adjourning.
Due to scheduling conflicts, the board voted to move its May meeting to June 2 at 5:30 p.m.
