The New York City Health and Hospitals Corp. was able to significantly reduce its operating loss and net deficit for its fiscal 2014, thanks to a significant increase in net patient-service revenue and in revenue it received from a special fund for care given to indigent patients.
HHC, which manages city-owned hospitals and nursing facilities, reported a $14.2 million operating loss on $8 billion in revenue for the fiscal year that ended June 30, according to audited financial statements (PDF). That compared with a $514.8 million operating loss on $7.3 billion in revenue reported in its previous fiscal year.
Net patient service revenue was up 10% at $4.9 billion, compared with $4.5 billion the prior year. Revenue from a fund used to pay for the treatment of patients requiring charity care increased dramatically to $609.6 million, up 36.9% from $445.4 million last year. New York hospitals are reimbursed for charity care by a pool of state and regional funds.
Inpatient acute-care discharges, including psychiatry and rehabilitation, were up 3% over the previous year.
HHC's operating ratio improved dramatically to -0.17% from -14.1% the year prior. The system also reported a significantly lower net deficit of $126.8 million, an improvement of 79.6% upon the $620.6 million net deficit the year prior.
Total patient days increased about 3%, while HHC's long-term-care facilities saw a 42% drop in patient days. Nursing facilities saw a 7% drop in patient days.
The system's payer mix stayed relatively the same, with a slight decrease in Medicaid inpatients from 63.8% to 61.9%.
HHC's Bellevue Hospital Center has been in the news in recent days because the fourth U.S. Ebola patient, Dr. Craig Spencer is being treated there.
The hospital, as well as the New York City Department of Health and Mental Hygiene, has been commended for its handling of the case and its ability to limit exposure.
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