Tuesday, August 17, 2021, 3:30 pm
News Flash Archive
Today, the Greenwood Leflore Hospital Board of Trustees held its regular monthly meeting.
According to the financial report provided by Mrs. Dawne Holmes, the Hospital had an operating loss of $1.2 million in July, dramatically down from $4.3 million in June. The overall loss was down a bit further, to $1.1 million.
The cash and cash equivalents burn for July was $2.84 million.
The overall loss for the first ten months of fiscal year 2021 is $11.3 million, up from $1.3 million for the same period last year.
The amount of CARES ACT and other grant money still held in reserve is $572,465, which must be applied to offset COVID-19 losses.
The Medicare advanced payment of $16.5 million, which the Hospital has not dipped into, is now being paid back. As of the end of July, GLH has paid back $1.7 million.
A Cash summary was provided, indicating that the Hospital has $13.4 million in restricted cash, and $800,000 in unrestricted cash. This does not include the remaining Covid grant money, nor the $14.8 million that must be repaid to Medicare.
Mrs. Holmes asked the Board to transfer the $13.4 million into the unrestricted cash fund, so that bills can be paid when the $800,000 runs out.
One Board member asked what happens if the Hospital runs out of cash. No clear answer was provided. When asked whether the Hospital owners (the city and county) would be held liable if the Hospital ran out of cash and couldn't pay its bills, Mrs. Holmes indicated that in her opinion, they would not be.
Two Board members objected to transferring the $13.4 million into the unrestricted fund, because "that's our last cash." The Board voted 3-2 to approve the transfer.
It became apparent that, for some Board members, the light was beginning to dawn, that the Hospital might well indeed run out of cash in the near future.
The Board voted to hold a special meeting August 30 to discuss the budget for the upcoming fiscal year.
The Board went into executive session and excluded the media and the public.
The Board of Trustees meeting may be viewed here: GLH Board Meeting, August 17, 2021
John Pittman Hey
The Taxpayers Channel
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