1. The District lost money again for June. The total loss for the year is about 2 million dollars.
2. There is no objective reason to think the Hospital benefits people. There is every reason to think it harms people relative to the alternatives. Therefore, we (Alamedans) waste our money so people can end up sicker.
3. Please consider running for Hospital Board.
4. The budget as presented in the material for the 7/25 meeting is a 50/50 proposition at best. It certainly does not take into account the 50,000 fine for improper pharmacy administration that the Hospital is appealing (and will likely lose). Nor does it consider that the AB97 injunction may be lifted and the State will come calling for between 100 and 250 thousand dollars of overpayment of DP/SNF charges for South Shore.
5. The predictions for expenses are doable but optimistic (orthopedics expenses could easily be underestimated). The predictions for revenue increases from some of the new services are doable but optimistic (wound care and orthopedics are likely a bit sunny while skilled nursing is probably ok). The predictions for acute care volumes are likely wildly optimistic.
6. Based on the above, my best guess is that the District will lose about 1 million in the next fiscal year for which the Board will approve a budget (on a vote of 4-1). My guesses are that the Hospital will lose 3 million, SNF will contribute about 1 million and that wound care and orthopedics will break even or be positive by about 1million.
7. Keep in mind that these are wild guesses, but my wild guesses have been consistently better than Management’s considered judgement.