Helen Ellis posts profits for February

That reduces the hospital's losses for the current fiscal year.

By KATHERINE GAZELLA

© St. Petersburg Times, published April 4, 2000

TARPON SPRINGS -- The financial picture at Helen Ellis Memorial Hospital brightened in February.

The hospital was more than $367,000 in the black during that month, its financial statement shows. The strong performance reduced the losses so far this fiscal year to almost $570,000.

Hospital administrator Joseph Kiefer credited cost-cutting efforts and an increase in the number of patients on Medicare instead of lower-paying HMOs.

Medicare pays more to the hospital than HMOs, which reduce the amount of patients' bills through agreements with health care providers.

The financial statement shows that revenue was higher than expected in February, even though admissions were lower than expected and lower than previous Februarys, Kiefer said. This year, 631 patients were admitted in February; last year, 692 patients were admitted in the same month.

February's numbers are a bright spot in what has been a bleak financial scenario for the 168-bed hospital, which serves North Pinellas and southern Pasco County.

A month ago, the facility reported losses totalling $937,000 during the first four months of the fiscal year. Officials had projected a total loss of only $1.2-million for the entire year.

In March, the hospital laid off 15 workers and decided not to fill another 15 jobs that were vacant. Another 100 positions were eliminated during budgeting for the 2000 fiscal year.

The hospital hasn't bounced back in all areas. Last month, a consultant said the facility's 10 days of cash on hand was "alarmingly low." Kiefer said Monday the hospital has about two extra days' worth of cash on hand, but the situation hasn't improved significantly.

But Kiefer said the overall financial picture is improving. He thinks the hospital will chip away at the losses, at least during the next few months.

"We expect to reduce the amount of deficit," Kiefer said.

Last week, University Community Hospital of Tampa signed a letter of intent to affiliate with Helen Ellis. UCH would pay $24-million upfront to pay off the hospital's bonds and take over management of the facility.

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