HMH Board Approves New Equipment Purchases
During the regular monthly meeting of the Howard Memorial Hospital (HMH) Board of Directors on Tuesday, CFO Bill Craig reported that NES Health, the hospital’s former emergency department (ED) provider, and its sister company responsible for hospital billing, have gone out of business. Craig also informed the board that HMH had terminated its contract with NES Health on August 31 and signed a new contract with Energy Health for ED coverage, effective September 1. This transition took place before NES Health’s closure, allowing HMH to remain ahead of the situation and ensure continuity of care.
NES Health, a physician-led staffing firm that provided emergency department physicians to hospitals nationwide, announced it would cease operations due to severe financial difficulties. The company sent an email to its physicians on November 22, informing them that it no longer had the funding necessary to continue its services.
In the meeting, Craig explained that the hospital is closely monitoring documentation in the emergency department (ED) to ensure that physician charts are properly locked, allowing the billing process to move forward. He also provided an update on the status of accounts receivable for HMH’s ED program, noting that ProBill had been responsible for billing for both hospitalists and ED physicians. Craig expressed particular concern about the hospitalists billing.
Craig went on to explain that NES Health had moved the revenue cycle work to a new company, RHC. He has scheduled a call with the company next week to discuss how they will manage the outstanding payments owed to HMH. Craig committed to providing a follow-up update at the next board meeting once more details are known.
In addition to the billing issue, the board also approved several capital expenditures that had been included in the hospital’s budget. These include the purchase of a Hi-Flow machine for the respiratory department at a cost of $24,744, a new washer for endoscopes at $60,000, and a steam generator for the surgery department’s large autoclave at $37,000. The board also approved the acquisition of a new portable radiology machine for $129,000.
The board and hospital management will continue to navigate these financial challenges, particularly with regard to the closure of NES Health, while ensuring that necessary medical equipment and services remain available for the community.
