Hospital to present budget for approval next week
Last updated 12/10/2020 at 8:29am
RITZVILLE – Chief Financial Officer Kimberly Polanco presented a revised proposed 2021 budget to East Adams Rural Healthcare board members in a public hearing Dec. 2, stating the proposed budget had been revised to provide a balanced budget in challenging circumstances.
“The pandemic brought about an abrupt change to operations with a decline in patient services, as well as challenges in employee and patient education and safety around COVID-19,” Polanco said. “Given the current status, we anticipate the uncertainty around operations to continue well into 2021.”
One change to the budget is the decision to keep $700,000 of COVID-19 funds parked in reserve as a liability in the event it may need to be paid back to the U.S. Department of Health and Human Services “with the continual changes to the guidelines for spending the CARES Act funds.”
CEO Corey Fedie said the changes were made following feedback from the board.
Polanco said this revised proposed budget continues to assume the Paycheck Protection Program loan from the Small Business Administration will be forgiven in 2021.
“The cash was utilized in 2020 to continue payroll expenses and avoid layoffs or furloughs,” Polanco said.
The proposed budget will be presented to the board at their next regular meeting, Dec. 17 at 5:30 p.m.