Peoria Standard

Peoria County Health Committee met November 28.

Here is the minutes provided by the Committee:

Members Present: Sharon Williams - Chairman, Phillip Salzer - Vice Chairman; Robert Baietto, A.J. Querciagrossa, Steven Rieker, Terry Waters

Members Absent: Allen Mayer, Barry Robinson

Others Present: Scott Sorrel - County Administrator; Shauna Musselman - Assistant County Administrator; Larry Evans - State's Attorney's Office; Andrew Rand – County Board Chairman; James Fennell - County Board Member; Eric Dubrowski - Chief Financial Officer; Julie Ciesla – Finance; Angela Loftus - Asst. Director of Human Resources; Gretchen Pearsall - Director of Strategic Communications; Monica Hendrickson - Health Department; Karen Raithel – Sustainability & Resource Conservation; Dan O'Connell - Facilities Director; Brian Asbell, Doug Gaa, Randy Brunner - Sheriff's Office; Tim Turpin - Heddington Oaks; Mark Little - Chief Information Officer; Joyce Harant – Board of Health; Chris Kaergard - PJS

Call to Order:

Chairperson Williams called the meeting to order at 2:00 pm.

Approval of Minutes:

A motion to approve the minutes of September 26, 2017 was made by Mr. Rieker and seconded by Mr. Salzer. The motion carried.

Budget:

A motion to approve the budget as recommended by the County Administrator was made by Mr. Salzer and seconded by Mr. Rieker.

Mr. Sorrel advised that the recommended budget for all funds for FY2018 has sources totaling $122,564,277.00 and $126,677,192.00 in expenditures. He stated that staff recommends that the recommended tax rate remains unchanged from FY2017. He advised that revenues for budgets under the purview of this committee total $23,438,999.00 and expenditures total $24,100,048.00. He commented that this committee has oversight of 19% of revenues and 19% of expenditures across all funds. He stated that the General Fund budget as recommended totals $42,454,020.00, with expenditures of $42,121,983.00; this committee has no oversight of revenues or expenditures in the General Fund.

• Heddington Oaks Nursing Home Fund

Mr. Sorrel commented that the Heddington Oaks budget is predicated on a census of 180, and anticipates tracking towards that number in late 1th quarter (proposed census break-out: 110 Medicaid, 20 Medicare, 50 Private Pay). He noted that the break-out of the current census is 15 Medicare, 60 Private Pay and the remainder Medicaid. He advised that both revenues and expenditures are recommended at $16,545,333.00, with budget figures assuming a staffing level of 178.2 FTE’s. Current staff level stands at approximately 150.

Mr. Sorrel noted that census currently stands at 165, and the facility is on the verge of being bed-locked until Wing B100 is opened, and the facility has a waiting list of Medicaid/Public Aid certified residents. He added that the challenge to opening B100 continues to be staffing, although staff levels are increasing. Mr. Waters inquired as to cash flow at the current census level of 165, and Mr. Querciagrossa added that the review of that figure should incorporate the number of Medicare beds.

Mr. Sorrel advised that a staff is drafting an RFP to create a new financial model and financial plan for Heddington Oaks.

• Peoria City/County Health Department

Mr. Sorrel advised that revenues are recommended at $5,994,190.00 and expenditures are recommended at $6,624,300.00. He stated that staffing currently stands at 74.7 FTE’s. He stated that County and Health Department staff are reviewing the reorganization of operations at the Health Department in order to right-size for available revenues going forward.

• Peoria County Board for the Care & Treatment of Persons with a Developmental Disability

Mr. Sorrel advised that the budget keeps the tax rate unchanged from 2017. He stated that revenues are recommended at $899,476.00 and expenditures are recommended at $930,415.00. He noted that the lease for the space previously occupied by the Care & Treatment Board expired this past summer and those costs are not included in the FY2018 budget.

The motion to approve the budget as recommended by the County Administrator carried unanimously.

Informational Items / Reports / Other Minutes / Updates:

• Intergovernmental Lease Agreement

Ms. Raithel advised that the Sustainability & Resource Conservation Office will be relocating to the Health Department, and commented that the lease agreement details annual rent and terms of the move.

• Board of Health

➢ Monthly Update

Ms. Hendrickson advised that the Board of Health approved a policy for the Environmental Health Program which will eliminate food inspection scores in 2018, although due to state changes and delays in administrative code, implementation of a state-wide system in unknown. She advised that the Personnel & Finance Committee will review finances throughout 2018, and staff has implemented efficiency studies throughout the agency as well as determining where best to eliminate cost redundancies.

Ms. Hendrickson advised that the State of Illinois has developed a State Opioid Action Plan, and the Health Department will be hosting an event and panel discussion on the topic on November 29, 2017.

• Care & Treatment Board

➢ Monthly Update No report. No questions or comments from committee.

• Heddington Oaks Update

➢ Marketing Report

Mr. Turpin advised that October saw 58 referrals, 15 admissions, 15 discharges, and 43 denials. He stated that CityLift bus wraps will continue through December and advertising was placed in in both print and television.

Mr. Sorrel advised that a position has been created which will encompass working in the hospitals, building relationships with discharge planners and physicians in order to maximize referrals, both in quantity and quality.

Mr. Sorrel commented that an RFP is being drafted for consulting services for the creation of a financial model and long-term financial plan for the facility, which will then continue to be modified in accordance with PPACA’s ongoing regulatory changes. He stated that funds are budgeted for the consulting services, a procurement that would come before both the committee and the County Board for approval and contract award. Mr. Rieker asked the targeted timeline for completion and the targeted cost of the services. Ms. Sorrel advised that it is anticipated that a recommendation would come before the committee in January for a February County Board contract award. He stated that the length of the contract would be part of the review process. He commented that anticipated cost is within a high five to low six figure amount. He also noted that although the outcome and deliverables for this work will be supplemental to the recommended budget, the service is not necessary to achieve the recommended budget.

➢ Financials

Mr. Dubrowski summarized the Income Statement and Balance Sheet through August 31, 2017.

Income Statement-

• An average month-end comparison of 2016 and 2017 revenues show decreases in Medicaid, Private Pay and Medicare; however, the average month-end census was down in each of those categories as well.

• Property Tax accrual to date totals $1.38 million; accrual of taxes in FICA/IMRF funds is $703,000.00 to date.

• Personnel Expenses are up 3% from last year, Commodities are down 11% and Contractual Services are down 4%. Overall Operating Expenses are down 1% from 2016.

Balance Sheet-

• Cash Assets stand at $541,000.00; Pooled Investments stand at $5.1 million

• Accounts Receivable, net of allowance of $2.4 million, stand at $3.34 million

• Net Position – Net investment in capital assets stands at $423,000.00. This figure will become a negative within the next several months, as the facility is depreciating at a faster rate than the principle is being paid down.

Mr. Dubrowski advised that census as of August 31, 2017 totaled 160; 87 Medicaid, 10 Medicare, 20 Medicaid Pending, 43 Private Pay.

Mr. Dubrowski advised that the total gross balance of aging accounts as of October 31, 2017 was $7.6 million, with $2.7 million over 365 days. He commented that over half of the gross aging over 365 days are Private Pay. Mr. Waters noted that a large adjustment is forthcoming when the Accounts Receivable balance is reconciled with collectible amounts, and an accurate picture of collectability is necessary to accurate monthly statements. Mr. Sorrel advised that a draft of a Bad Debt Policy is being prepared by Finance and Administrative staff.

Adjournment The meeting was adjourned by Chairperson Williams at 3:16 p.m.

http://www.peoriacounty.org/AgendaCenter/ViewFile/Agenda/_12192017-468