MOREHEAD CITY— The Carteret Health Care Board of Directors adopted the hospital’s fiscal year 2021 operating and capital budgets Monday with no patient fee increases for the fourth straight year.
There was little in the way of public discussion before the board put the budget to a vote during its regular monthly meeting Monday morning at the hospital, 3500 Arendell St. The News-Times attended the meeting via teleconference.
The hospital’s fiscal year runs Oct. 1 to Sept. 30.
“The finance committee recommends approval of the 2021 operating (and) capital budgets,” Treasurer Mark Shouse said Monday as he briefly introduced the matter to the board. “…The one thing that I will note in there is, in this budget, there is no increase to patient charges in the next fiscal year, none.”
In a single motion, the board voted unanimously to adopt the fiscal year 2021 operating and capital budgets.
According to a budget summary sent to the News-Times upon request, total projected operating revenues for FY21 are $168,773,887, with net patient revenues accounting for $165,580,104 of that total. Operating expenses are budgeted at $159,278,679, putting the income from operations at $9,495,208. Combined with non-operating revenues of $3,928,296, the total excess of revenues over expenses is $13,423,504.
Salaries are the hospital’s single largest expense category for FY21, projected at $63,772,246, and benefits are an additional $15,351,335. Supplies are the next highest spending category at $39,899,001, followed by purchased services at $10,746,270. Other expenses for the hospital include repair and maintenance, utilities, physician and other contracts, depreciation and interest expense and other miscellaneous expenses.
As for the FY21 capital budget, routine capital expenses are expected to total $10,667,079. That category includes computer infrastructure and regular medical and non-medical purchases. Meanwhile, special projects are budgeted at $21,687,000, for a grand total capital budget of $32,354,079.
Mr. Shouse noted several major projects are included in the special projects budget, notably a planned operating room expansion that is in the early stages of development. The board Monday awarded a contract for the OR expansion to Goldsboro-based T.A. Loving Co.
CHC Board Vice Chairperson Pat Joyce reported the hospital received three bids for the expansion project and said each contractor put forth a strong proposal. A committee reviewed the bids and recommended T.A. Loving.
“It was a hard decision to make,” Mr. Joyce said. “…The low bidder was T.A. Loving Co., and everybody felt comfortable with them. They are the ones that (did) the last two projects with us on the surgical central sterile (relocation) and the (Emergency Department) update.”
In other business Monday, the board also approved two capital purchases. The first was for a new sprinter ambulance at a cost $127,049 and the second item was a data center upgrade for $239,000.
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