Howard Memorial Hospital Board Approves 2027 Operating and Capital Budget

The Howard Memorial Hospital Board of Directors met Tuesday evening for their regular monthly meeting, where board members approved the hospital’s 2027 Operating and Capital Budget as presented by Chief Financial Officer Bill Craig.

Craig also presented the hospital’s financial snapshot for the month ending August 31, 2026, outlining revenue, patient volume and operating expenses.

For August, Howard Memorial Hospital reported an actual operating result of $(15,695) compared with a budgeted amount of $68,774, resulting in an unfavorable variance of $(84,469).

Hospital cash receipts totaled $2,657,754 for August. The monthly goal for hospital-only cash collections is $2.2 million.

Collectible revenue from patient services was $48,341 below budget for the month. Bad debt also had an impact on collectible revenues, running $29,441 unfavorable in August.

Patient volumes were mixed during the month. The hospital’s average daily census was 6.2, compared with a budgeted average daily census of 9.0. Swing-bed patients accounted for 34.6% of August inpatient days, exceeding the hospital’s 30% goal.

Emergency Department visits totaled 768, which was 93 visits above budget. Outpatient visits totaled 2,543.

Surgical volume, however, was below budget, with 88 surgery cases recorded compared with 115 cases budgeted.

On the expense side, operating costs were $46,595 above budget.

Salaries, benefits and contract labor were $83,739 above budget, a 5.6% unfavorable variance.

Contract labor costs in the Surgery Department were also higher than budget, coming in $78,347 above budget for August.

In addition to the budget approval and financial report, the board approved the reappointment of Jane Watts, OT, following approval by the hospital’s medical staff.