Hospital district preparing for potential delay in East Adams Care Center conversion

Initially planning for the East Adams Care Center to be converted into a wing of the hospital on Oct. 1, hospital district administrators are anticipating a delay in approval.

CEO/CFO Gary Bostrom said at the Board of Commissioners meeting on Sept. 22 the district is still waiting for approval from various agencies before the conversion can officially begin.

Bostrom said the first approval has to come from Noridian before the application can be submitted to Centers for Medicare and Medicaid Services (CMS). Bostrom explained once CMS receives the application, they have 60 days to approve.

After approval by CMS, Bostrom said the State must also give approval on the application. After all three agencies have signed off on the application, the District can begin converting the nursing home beds to hospital beds.

Bostrom said the District is still working to implement changes within the facilities by the Oct. 1 date. This includes moving key personnel to their new positions for the District.

Until the application is approved, patients cannot be admitted into the East Adams Care Center facility. This has caused the residency level to drop to 12, and financially restricts the amount of money the facility can generate.

The Transition Committee for the conversion continues to meet weekly, and Bostrom announced Chief Nursing Officer Brenda Herr has assumed the role of swing bed director for the nursing home.

Bostrom said Phase C of the construction project is said to be on track for Oct. 31 completion. Bostrom said he anticipates it will be November before the project is complete, and the longer the construction lasts, the more costs the District is accumulating.

The majority of the costs for the District is the expense of the mobile CT unit. Bostrom said initially they believed the mobile unit would only be utilized for two or three months, but as construction continues, the District is looking at lengthening the rental for an estimated two more months.

Bostrom said the mobile unit is costing around $20,000 per month. Because of the cost, Bostrom said he plans to speak with Leone and Keeble Inc. to see if the CT portion of the building in the Phase C construction can be opened as soon as possible.

Along with the hope of moving back into the building during October, Bostrom said he plans to see if the mobile unit can be rented on a week by week basis, instead of monthly.

Bostrom provided a financial update for the District, reporting a loss in the past month. Bostrom said a portion of the loss is attributed to the decrease of CT and physical therapy, due to the ongoing construction.

The deductions from revenue were over budget by $145,335 and Bostrom said he believes this trend will continue for the next few months. He also updated the Board that all of the bond money has been spent, and the District has an estimated $1.7 million in reserves.

The District transferred $100,000 to EACC for the month of August, and Bostrom said there is an estimated $400,000 in accounts receivable ready for collection at the facility.

Bostrom also informed the Board during the next payroll period, all EACC staff will be implemented into the hospital payroll.

Interim Nursing Home Administrator Michele Johnston provided updates regarding the EACC facility.

Johnston said the facility underwent a state investigation after a resident had a fall, resulting in a fracture. Johnston said it is standard procedure for an investigation to be completed, and no deficient practices were found during the inspection.

The facility is now preparing for the conversion and also preparing for the addition of dental services being provided for residents as of Oct. 5. Johnston said they are also working with residents and families to choose private rooms for each resident, and are also focused on physical improvements within the facility.

Johnston said her primary focus remains on billing unpaid Medicare claims. During her time as administrator, the number of collected claims has increased, but Johnston said EACC needs to make strides to collect the unpaid funds.

The Board moved on to approve the purchase of a coagulation analyzer unit, after issues with the current unit have left the facility without a reliable testing component. The capital project request was made by the laboratory department, and marked as urgent. The maximum cost for the unbudgeted item is $10,000.

The Commissioners also made decisions regarding the meeting dates for November and December. Due to holidays, the meetings are being moved forward one week, with official meeting dates of Nov. 17 and Dec. 15.

The next Hospital Board meeting is set for Oct. 27 at 5:30 p.m. in the hospital conference room.