New Cook County system CEO told to find savings
Dr. John Jay Shannon was promoted to CEO at Cook County (Ill.) Health and Hospitals System in late June, and he already has been told to find $67 million in savings in four months.
The Chicago-based health system, one of the largest public hospital networks in the country, is responsible for much of a projected $86 million shortfall in the county board president’s year-end budget figures. The county’s fiscal year ends Nov. 30.
Shannon says the deficit likely will be less than current projections. But he also says it is unlikely to be erased completely in just a few months.
Most of the shortfall is due to the growing pains associated with County-Care, the county’s innovative man- aged-care program for Medicaid recipients. Many of the roughly 95,000 people enrolled now have insurance for the first time, which means Cook County Health could get reimbursed rather than having to subsidize their treatment as charity care. But costs have climbed quickly as newly insured patients have sought everything from checkups to pricey treatments for chronic ailments.
With a $1 billion budget, Cook County Health provided more than $300 million in free care in 2013.
Loma Linda’s Vision 2020 plan includes a new 276-bed acute-care hospital.