VIRTUAL REASSURANCE
In a continuing effort to alert then public to its financial situation, Northern Inyo Hospital District (NIHD) held a community town hall on Wednesday, November 1. The meeting was held virtually via Zoom.
Stephen DelRossi, NIHD Chief Executive Officer (CEO)and Chief Financial Officer (CFO), presented a brief overview of the challenging financial situation the hospital has faced in recent years. He then fielded questions from the public, which had been submitted in advance.
Ergo, there was no back and forth and no opportunity to toss tomatoes
DelRossi revealed that in the 2022-2023 fiscal year, the hospital had incurred a net financial loss of $31 million.
To address this, the hospital formed an advisory group in January that evaluated around 150 recommendations, implementing changes where they could. “It has taken us a year to get in better financial position … I anticipate It will take between two and three more years to have consistent, profitable, operations,” DelRossi said.
The hospital’s Strategic Plan is set to expire next June, with the board and executive team working on a new three-year plan.
Comparing their current year’s performance to the previous year, DelRossi noted a revenue increase from $48.7 million to $55.7 million in 2023-2024.
However, NIHD reported at its October 18 board meeting (which featured a far more detailed presentation than what people saw on November 1) that it had a cash deficit of $5.8 million in August, partly due to a $2.1 million Medicare take back.
*Medicare had overpaid and damn it all, required repayment.
When asked about the possibility of the hospital being acquired by a larger healthcare system, DelRossi made it clear that this was not an option, as the hospital is part of a district accountable to a publicly elected board.
The October 18 meeting painted a more in depth picture of the district’s finances. Rehab services were down due to staffing challenges after resignations, and currently, the hospital is seeking to hire three physical therapists. Another item of concern was a -8.8% downshift in BlueCross payouts compared to last year.
This indicates that private insurance payments have decreased.
Income for August showed favorable growth, stemming from increased revenue in outpatient surgeries, emergency room visits, and RHC/clinic visits. Despite the positive trend in outpatient services, admissions saw a decline due to fewer baby deliveries. However, RHC visits increased, partially attributed to a merger with Internal Medicine, and various clinics experienced growth.
One of the key points of discussion at the October 18 meeting was the appointment of David McCoy Barrett to the Zone 1 Board Vacancy.
He replaces Jody Veenker, who resigned.
Board members spoke of Barrett’s experience and expertise, along with his connections to Mammoth Hospital, which was seen as a potential bridge between the two hospitals.
Barrett received support from member Tedd Gardner, “He’s been a member of a family that is significantly involved in this entire area, and has demonstrated leadership in contributing to the entire Eastern Sierra community,” Gardner said. Barrett will subsequently stand for election in the 2024 general election.
Notably, this vacancy attracted six candidate applications, a record number. The names of these applicants, provided after the meeting, included Lexus Drakeford, Barbra Stahaan, Kenneth Partridge, Grant Schumacher, Kyle Wakamiya, and David McCoy Barrett.
There was a request to list all the names of applicants for the record during the meeting. Gardner was adamant that it was not appropriate to publicly list the six candidates, “I don’t think it’s appropriate to release those names at this time,” he said. The clerk asked if he meant the names would be released “After they concluded voting,” and Gardner responded, “I’m not sure at all.”
Wakamiya, who ran for the seat in 2020 and lost by a handful of votes to Veenker, highlighted the need for improved transparency in the interview process and expressed hopes that Barrett would be effective in promoting change within the district.
