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Health Department seeks $6.5 million, converts clinics to shore up finances
Summary
The county health department reported a $15.7 million 2023–24 deficit and projected a $20.5 million shortfall for 2024–25; staff proposed converting several standalone clinics to 'intermittent' status to receive higher PPS rates and requested $6.5 million in general fund support, approved 4-0.
County Health Department officials told the Board of Supervisors on April 29 that Clinic Services finished fiscal year 2023–24 with a deficit of about $15.7 million and projected a roughly $20.5 million deficit for fiscal year 2024–25. Finance staff said the gap results from rising operating costs while the federally qualified health center (FQHC) prospective payment system (PPS) visit rates have not kept pace with expenses.
Nut graf: Staff presented an interim strategy to convert several on-campus standalone clinics into intermittent clinics tied to a parent clinic with a stronger PPS rate, and asked the board to approve a $6.5…
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