Health and Hospital Corporation of Marion County Board of Trustees Meeting Minutes for January 14, 2002

Minutes of the Board of Trustees Meeting
of the Health and Hospital Corporation
of Marion County, Indiana

January 14, 2002

The meeting of the Board of Trustees ("Board") of The Health and Hospital Corporation of Marion County, Indiana ("HHC"), was held, January 14, 2002, in the Administrative Conference Room "A", Fourth Floor, Ott Building, Wishard Health Services, 1001 West Tenth Street, Indianapolis, Indiana. Members present: Mr. West, Dr. Miner, Mr. Gutwein, Mrs. Journey, Ms. Brougher, Mr. Pfeifer, and Dr. Bock.

Matthew R. Gutwein, Chairman of the Board, called the meeting to order and proceeded with roll call.

Mr. Gutwein then asked if there were any additions to, corrections to or comments regarding the minutes from the Board meeting of January 14, 2002. There being none he asked for a motion to approve the minutes. Mr. West made the motion to approve the minutes. Mrs. Journey seconded the motion. The minutes for the January 14, 2002 annual Board meeting were unanimously approved.

At this point Mr. Gutwein requested a motion be made to amend the meeting agenda to include

the statutory responsibility to appoint a Health & Hospital Corporation Board chairman and vice chairman for the year 2002 under Indiana Code 16-22-8-16. Ms. Brougher made the motion to include the appointment of a chairman and vice chairman for the year 2002. Mr. Pfeifer seconded the motion. The motion to amend the agenda was unanimously approved. Next Mr. Gutwein asked for a motion to nominate the chairman and vice chair for the Board of Trustees. Dr. Bock stated that the Nominating Committee met and recommended Mr. Matthew R. Gutwein for chairman and Mrs. Lula Journey for vice chairman and therefore made the motion. Dr. Miner seconded the motion. The motion to amend the agenda was unanimously approved.

The second reading of General Ordinance 3-2001, "Holidays and Bonus Leave" was the next item on the agenda. Ms. Hebenstriet read General Ordinance 3-2001. Mr. Gutwein asked if there were any questions from the Board regarding this Ordinance. After discussion Mr. West moved that General Ordinance 3-2001 be approved. Mr. Pfeifer seconded the motion. Mr. West also asked that the minutes reflect that the Ordinance is based upon sick leave absences. Mr. Gutwein then asked if there were any questions from the public. There were no questions so he asked for approval from the Board. General Ordinance 3-2001 was unanimously approved.

Mr. Gutwein next asked Mrs. O'Laughlin to present the Treasurer's Report for the month of December 2001. Mrs. O'Laughlin stated that the report is a preliminary December Revenue and Expenditure Revenue Report due to the early date of the meeting. There may be revisions presented at the February, 2002 meeting. The Other State and Federal Revenues were (.7)% less than expected. Public Health Miscellaneous Revenue is $205,385 (.3%) over the budgeted amount. Headquarters Miscellaneous was $15,274 over budget at (.4%). The Total Headquarters and Public Health Revenue was (-.1%) under budget.

The Expenditures Actual and Personal Services were $91,000 under budget at (-.4%). Supplies were $58,000 under budget at (-1.9%). Other Services and Charges were $455,000 under budget (-3.5%). Capital Outlays were $3,012,592 which is (58.1%) under budget. The Total Public Health Expenditures were (8.1%) under budget. The Operating Transfer to Wishard was $24,288 under budget. Total Expenditures including the Operating Transfer were under budget $3.6 million (-2.3%). The Net Income for December 31, 2001 was $3.4 million over budget (48.4%). Mrs. O'Laughlin stated, for the Board's review, attached to the budget is a Revenue and Expenditures sheet that evaluates the changes in the budget due to the $543,685 reduction of taxes. She asked for acceptance of the temporary Revenue and Expenditure Report. Mr. Gutwein asked for a motion. Dr. Miner made the motion to accept the report. Mr. Pfeifer seconded the motion. The Revenue and Expenditure Report was unanimously accepted. Discussion ensued regarding mental health taxes and a change in policy that resulted in the Health and Hospital Corporation receiving more revenue. Mrs. O'Laughlin also stated that taxes received were $543,685 under what was anticipated in the Budget. The December Cash Disbursements of $55 million was considerably higher than the average of $32.1 million. This is due to a matching payment for DSH that was made in December 2001 for $14.6 million and the rest of the increase is a for year-end accounts payable. After this explanation she asked for approval of the Cash Disbursements Report. Mr. West moved for approval of the report. Mr. Pfeifer seconded the motion. The Cash Disbursements Report for the month of December, 2001 was unanimously approved. Mrs. O'Laughlin also distributed for review the 2001 Annual Investments Report. It is a statutory requirement to provide this report to the Board. The total interest for 2001 of $6,178,000 is an increase from $5,173,000 in 2000. This Investment Report outlines financial institutions and how the Health and Hospital Corporation money is invested. The majority of the investment is in MBIA (Municipal Bond Investment Agency) U.S. treasury and government accounts because of high interest earnings. She asked the Board to accept the 2001 Annual Investment Report. Mrs. Journey made a motion to accept the report. Dr. Miner seconded the motion. The report was unanimously accepted.

The next agenda item was Wishard Health Services Medical Staff Appointments and Reappointments. Mr. Gutwein asked that Dr. Jones submit the appointments for approval. Dr. Jones stated that there is a list that has been approved by the medical staff executive council in the Board packet and asked the Board approve the appointments. Mrs. Journey moved for approval and Mr. Pfeifer seconded the motion. The Wishard Health Services Medical Staff

Appointments for the month of December 2001 were unanimously approved.

Mr. Gutwein then asked for Dr. Jones to present the Bid Award Recommendation that is included in the Board packet. Dr. Jones requested Tom Ringham, Director of Facilities Planning and Management, Wishard Health Services, explain the recommendations. Mr. Ringham stated that the bid from Terstep was accepted because the lowest bidder withdrew their bid. The lowest bidder withdrew because they discovered that they had failed to include a large subcontract portion needed for the work. He stated that the bid is for the Regenstrief Health Center, Endoscopy/Orthopaedic Clinics. Dr. Jones stated that business plans are also included with the bid. After discussion and clarification Mr. Gutwein asked for a motion to accept the bid. Mr. West made the motion. Dr. Bock seconded the motion. The bid recommendation was approved.

Standing Committee reports began with Mr. West stating that the Public Health Committee did not meet and will be meeting later in the month. Next, Mr. Elwell reported that the Hospital Committee met on January 14, 2002 and discussed the bid documents that were approved at this Board meeting and also discussed benchmark information that the committee will continue to discuss and will return to the Board with more information. Mr. Gutwein reported the Planning Committee met in conjunction with the Strategic Planning Committee on January 14, 2002.

Dr. Caine reported that the health education computerized kiosks will be placed in shopping malls throughout the city. It is an internet based touch-tone technology. Individuals will be able to get information on health related subjects. She continued with an update on communicable disease stating that HIV/AIDS cases have not increased, and shigella has been contained, especially in daycare centers. There is, however, an increase in influenza illness. She also stated that MCHD will conduct presentations on Hepatitis C in the future. MCHD participated in a citywide bioterrorism meeting. One focus at the meeting was on emergency preparedness and how to handle the situation in hospital emergency rooms, i.e. legal and security issues. Mr. Gutwein cited an article in the Indianapolis Star regarding MCHD and complimented Dr. Caine on the health department's efforts.

Dr. Jones reported that in an effort to help individuals overcome the stigma of mental health Wishard is launching an advertising campaign. Kim Harper, Vice President for Community and Public Affairs, Wishard Health Services, presented 30-second television and radio commercials and distributed a handout on mental health that included information on what individuals should do to get treatment. She stated that there was a collaboration with individuals from Midtown Mental Health on selecting what should be included in the commercials. Next, Dr. Jones asked Gordon King to present the WHS financials for the month of November 2001. He cited page 13 of the financial report that categorized patients and showed a decrease in admissions. Another problem area cited was in surgery volume (page 17). Mr. King stated that this is not a typical. He stated that all these areas will be reviewed and numbers will be adjusted. On page 20 of the Income Statement of the report, line 30 shows an adjustment in variance of $800,300 and at the end of October there was an adjustment of $800,000. This new variance number was a result of several areas being reviewed. The areas were collect ability of the receivables, reserves, economic trends, increase in Wishard Advantage, and a revision was made. Lines 6, 7, & 8 of page 20 are additional breakouts for the purpose of evaluating income and understanding the trends.

Mr. Gutwein asked if there was any other business that needed to be addressed. Mrs. Journey requested that a legislative update on health issues be presented at the next Board meeting.

There being no further business the meeting was adjourned.

The next meeting will be held at 1:30 p.m. on Tuesday, February 19, 2002 in the Administrative Conference Room "A", Fourth Floor, Ott Building, Wishard Health Services, 1001 West Tenth Street, Indianapolis, Indiana.