Mountainview reports July operating loss; $750,000 withdrawn to pay contractor

Mountainview Medical Center’s board reviewed July financial results at its Aug. 28 meeting and discussed a recent cash-management move to cover a contractor payment and ongoing operations.

The board received a financial summary for July: investment balances included $6,000 at 1st Security, $1.28 million at U.S. Bank, $1.20 million at ML and $5,000 in a CD account. Work-in-progress for the planned new facility stood at $5.53 million. The hospital reported hospital revenue of $659,000 and clinic revenue of $62,000 (net patient revenue $570,000), expenses of $654,000, and an operating loss of $83,000 (a net loss of $26,000 after investment results). Census figures included three acute days, 18 swing days, 72 emergency-room visits and 344 clinic visits; days cash on hand were 123 and accounts-receivable days were 83. Audit work was reported as ongoing.

Rob Brandt, CEO, told the board that a $750,000 withdrawal was made from the U.S. Bank investment account; $536,000 of that amount was paid to contractor Sletten and the remaining funds were used for operations. Brandt said he spoke individually with each board member and held a call with U.S. Bank leaders to ensure they understood the transaction.

Board members did not record a formal roll-call vote in the transcript for the withdrawal; the action was described as completed in the financial report portion of the meeting. The board was briefed on the audit that is occurring during the meeting.

Next steps noted by the board included continuing the audit and monitoring cash flow as the hospital advances the new-facility project.