Hospital board approves employees’ benefits

The rising costs of health insurance have required St. Luke Hospital & Living Center to review current employee benefits and make some cuts.

At the Aug. 26 meeting of the Marion County Hospital District #1 board of directors, board members approved the updated employee benefits package as presented.

The annual health insurance premium from Blue Cross/Blue Shield of Kansas had increased 21 percent at a cost of nearly $300,000 in 2009.

A benefits committee was appointed and reviewed options and made recommendations, reported hospital administrator Jeremy Armstrong.

Two of the benefits eliminated were short- and long-term disabilities but employees can opt to pay for their own coverage. This saved the district $50,000.

Cost increases were associated with more claims for health care and prescription drugs.

In other business:

• The board of directors approved a letter of commitment to BKD, LLP, for auditing services and cost reports for a cost of $35,000, a six percent increase from the previous year. Board member Judy Reno stated she didn’t think it was a good idea to use the same auditors every year, this being the fourth year for this company. Other board members agreed but determined it was too late to go out for bids for this year’s audit with the fiscal year ending Sept. 30. Bids will be solicited for next year.
• Consulting fees were approved with BKD, LLP, for $3,000 professional fees per day and a maximum of $250 per day travel expenses. The consulting company had assisted the hospital in researching policies and procedures for the swing bed program.
• Credentials were approved for the following physicians: Stephen Cranston, M.D., surgery; Richard Watson, M.D., emergency room; Kathryn Hayes, M.D., obstetrics and pediatrics; James Cooper, M.D., pathology; and Kimberly Janzen, M.D., emergency room.