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New CEO outlines turnaround plan at Grand Traverse Pavilions, flags receivables and occupancy challenges
Summary
The new CEO of Grand Traverse Pavilions, Daryl Lavender, told the county board he plans to separate CEO and administrator roles, focus on quality, staffing and finance, and reduce about $7.9 million in accounts receivable while increasing occupancy across service lines.
Carol Crawford, chair of the DHHS board that oversees Grand Traverse Pavilions, introduced new CEO Daryl Lavender and said the board chose to split the CEO and administrator roles to reduce burden on a single leader. Lavender told commissioners he would concentrate on four priorities — quality and safety, residents-first care, building the health-care team and operational performance — and offered a summary of 2025 accomplishments and challenges.
Lavender presented operational metrics: the facility holds 240 licensed skilled-nursing beds (state plan shows 223), assisted-living and independent-living apartments with current occupancy figures (59 of 79 apartments, ~79% occupancy) and quality measures reported to CMS. He noted the Pavilions’ composite quality score was limited by older citations that pull down the rolling star measure and that mock surveys and corrective work are in progress to improve survey results.
On finance, Lavender said through October revenue was up roughly $172,000 against budget while expenses were above budget close to $650,000; depreciation was cited near $959,000 and net income remained behind budget by about $250,000. Cash on hand was reported at roughly $4.2 million and accounts receivable as approximately $7.9 million at over 73 days, which Lavender described as an area that needs to be brought back to the 40s through revenue-cycle improvements.
Commissioners asked pointed questions about the 1-star composite rating, the timing of state surveys and the effect of pandemic-era changes on demand for cottages and assisted living. Lavender said he will add more stringent budgeting controls, create accountability tools for purchases, follow up on billing/coding and pursue strategic planning in 2026. He said closure of cottages was not currently his recommendation; instead he emphasized operational and pricing changes to make assisted-living units sustainable.
Why it matters: The Pavilions is a county partner providing long-term care and assisted living. Its occupancy, quality ratings and accounts receivable affect county finances and local eldercare capacity. Commissioners requested follow-up on AR days, depreciation detail and oversight for the cottages and assisted-living pricing.
What's next: Lavender invited commissioners to tour facilities and said he will come back with more detail on revenue-cycle fixes and the strategic plan in 2026. Commissioners thanked staff and said they expect regular updates.
