Board of Directors Quality and Charity Care Trust Inc.
June 25, 2003, In Open Session
The Board of Directors of the Quality and Charity Care Trust Inc. met on Wednesday, June 25, 2003, at 10:30 a.m. in the Jefferson Room of Grawemeyer Hall, Belknap Campus, with members present and absent as follows:
Present: Mr. Larry L. Owsley, Chairman
Ms. Jane Driskell
Mr. W. Clarke Johnson
Mr. William Mulloy Sr., Chair
Dr. Joel Kaplan
Ms. Mary Gwen Wheeler
Absent: Mr. Skipper Martin
Mr. J. Chester Porter
Dr. William VonderHaar
From the University: Mr. Glenn Bossmeyer, Assistant University Counsel
Dr. James R. Ramsey, President
Ms. Christie VanBuren, Controller's Office
Ms. Kathleen M. Smith, Assistant Secretary
Ms. Sandy Garcia, President's Office
I. Call to Order
After determining a quorum present, Chairman Owsley called the meeting to order at 10:35 a.m. He explained that the purpose of the semiannual meeting is to confirm the funding level for the Quality and Charity Care Trust (QCCT) in fiscal year 2004-05.
II. Welcome New Member
Mr. Owsley introduced the Board’s newest member, Ms. Mary Gwen Wheeler, who serves as Secretary of the Health and Family Services Cabinet in Metro Government. The Board welcomed Ms. Wheeler.
III. Consent Agenda
Approval of minutes, December 17, 2002.
Chairman Owsley asked if there were any corrections or changes to the minutes of the December 17, 2002 meeting. Hearing no objection to the minutes, Mr. Mulloy moved and Mr. Johnson seconded a motion to approve the minutes as presented. The motion passed unanimously.
IV. Information Items
Chairman Owsley reminded the Board that the QCCT is required by its bylaws to meet twice a year. In the spring, the Board confirms the contractual arrangements for the new fiscal year, and in the fall, the Board receives and reviews the audit as performed by the external auditors. He noted that Tab 2 (attached) provides an update on the current year funding proposal for the QCCT. The QCCT, which has been in effect since 1983, combines funding from the state, the city, and the county to provide resources for indigent health care. He stated that the standard calculation used to determine funding levels were demonstrated on Tab 2. The upper table (page 2) shows the calculation as described in the trust agreement before the City-County Compact and the lower table shows the historical experience of the calculation.
For the current year, Mr. Owsley reported the formula calculated separate contributions for the City and the County and combined them into a single figure equal to $8,352,100, which was included in the Metro Government budget. Ms. Driskell confirmed this calculation was projected as an obligation for Metro Government in the next fiscal year. The state’s calculation using a straight line formula is $17,327,040, which includes no increase from the previous year, and $5 million in rent for the hospital (which is not subject to the escalator).
To confirm how the QCCT supports indigent care, Mr. Owsley stated that on July 1 st, the Metro Government and the State will transfer 2/12 of their total obligations to the QCCT, and then 1/12 each month thereafter. The QCCT will then transfer 1/12 to the University Hospital and continue transferring 1/12 per month for the remaining eleven months upon receipt of funding from Metro Government and the state. At Mr. Owsley’s request, Ms. Lysinger said the hospital was satisfied with this payment arrangement. In response to an inquiry, Chair Owsley noted that while only 1/12 is paid initially, the other 1/12 is invested and then ready to be paid by mail on the due date. Mr. Owsley reminded the board and the University Hospital representatives that the purpose of this meeting was to confirm agreement before the new fiscal year began.
The second information item was from the Ombudsman. At the request of the Chair, Ms. Lysinger described how individuals interacted with the Ombudsman. She explained that in each registration area the hospital posts signs to inform potential patients about their right to speak with the Ombudsman if they think they qualify for QCCT support but are advised they do not. In the packet that patients receive upon registration, information about bill inquiries, disputes, or other concerns can be directed to the Ombudsman.
Ms. Lysinger also stated that the hospital has an open door policy, and does not typically require payment prior to admission. Indiana residents, however, have modest costs to pay up front.Secretary Wheeler inquired about whether University Hospital made provisions for non-English speaking patients. Ms. Lysinger informed the board that they had Spanish-speaking employees on staff and interpreters for the hearing-impaired, as well as other languages, available on call. Dr. Kaplan asked if the State of Indiana had contributed to the indigent care at the facility. Ms. Lysinger reported that the hospital does not receive any funding from the state of Indiana . The patients that need support are charged against the QCCT agreement. Chair Owsley reminded the Board that the agreement caps the funding for individuals from out of state at 10 percent.
V. Other Business
Chairman Owsley reported to the Board that, in response to a question from Skipper Martin at the previous meeting, the number of individuals covered by the trust in FY02, was 3,286 in-patients receiving indigent care and 29,693 out-patients receiving care for a total of 32,979 patients being served.
Chairman Owsley noted that the next meting of the board will be in the fall to review the audit, which will be carried out by Deloitte & Touche. D&T will sample the reimbursements to determine that care provided by the hospital is in accordance with the trust agreement.
Having no other business to bring before the Board, Mr. Owsley requested a motion to adjourn the meeting, which was made by Mr. Mulloy and seconded by Mr. Johnson. The meeting adjourned at 10:50 a.m.