Samaritan Healthcare turns profit in January

MOSES LAKE - Samaritan Healthcare turned a profit in January, not just a profit but one that was almost double the budget projection.

The hospital turned an $808,962 profit in January, 96 percent over the budget projection, Chief Financial Officer Tom Legel said. Gross revenue (money from all sources) was $13.9 million, which was 9 percent over the budget projection. Operating revenue was $6.1 million, about 3.5 percent over the projection, Legel said.

In answer to a question from hospital board member Alan White at the last board meeting, Legel said the hospital had a high patient volume and a busy surgical month. In a later interview, Legel said patient volumes were 5 percent over budget projections. Surgeries in January were 20 percent higher than January 2013, he said.

Business was up, which means more expenses, Legel said, and expenses were up but less than projections. Expenses were $5.3 million, about 3 percent below projections, he said.

Employees are working to keep expenses down, he said. Samaritan went through a period when it was losing money, he said, and some difficult decisions, and difficult changes, were necessary for a return to profitability. Since those changes employees have worked hard to keep expenses down, he said. "New discipline around the hospital," Legel said.

Revenue was affected by a relatively high number of Medicare and Medicaid patients, Legel said. Medicaid and Medicare generally pay lower reimbursement rates than private insurers.