Hutcheson Medical plans 15-percent hike in its rates
Hutcheson Medical Center in Fort Oglethorpe is making some adjustments for its next budget year, including 15-percent rate hike.
Hutcheson’s fiscal year, which runs from Oct. 1 to Sept. 30, has come to an end.
At the hospital’s board of directors’ meeting on Sept. 25, several resolutions were passed to set the budget straight.
First, a resolution was passed to continue with current operating expenses, as work on the budget continues for another month.
Year-to-date the hospital has lost $1.2 million. A loss of $9.85 million was recorded for the same 11-month period in the prior year.
Hutcheson officials expect the budget to be approved in October and go into effect by Nov. 1.
Second, a rate increase, which officials said brings Hutcheson’s rates up to market with other area hospitals, will go into effect on Oct. 1 and is reflected in the proposed budget.
The finance committee proposed the rate hike at the meeting. Finance director Farrell Hayes suggested a 15-percent rate increase to bring the cost of medical services in line with other facilities in the tri-state area.
The increase is in response to an ongoing study showing that Hutcheson’s rates are below market value, HMC board chairman Corky Jewell said. The 15-per-
cent increase is a gradual response to the study, which will eventually bring rates up to market, Jewell said.
“We are still going to be below but we’re closer than we were,” Hayes said.