1. Why is it important that department managers be given the budget assumptions ?
It is important to be given the budget assumptions because 2. Study the memo on page 1 carefully. What do you find interesting?
June 24, 2009 TO Leadership Group FROM John Krepps and Kay Novak SUBJECT: FY2010 OPERATING BUDGETS DUE DATE Wednesday, July 15, 2009 ORIGINAL TO ACCOUNTING / COPY TO YOUR V.P Budget Question and Answer Sessions (also available for indiv. meetings) July 7th July 9th 1:00 3:00 Auditorium 10:00 12:00 Auditorium BUDGET ASSUMPTIONS Ave Daily Projected BUDGET Census Volumes FY2009 FY 2010 16,410 Pt Days OBV'S with OBVs 1,018 ADMISSIONS acute rehab 17,065 Peds 594 4.4 ADULT LO.S. -acute 3.65 3.64 Peds- adult 2,806 13,502 2,395 690 9.6 PATIENT DAYS- acute rehab 62,460 64,896 3rd 177.8 3 south 43.6 AVERAGE DAILY VP CENSUS 684 64 2.1 AVERAGE DAILY OBV PATIENTS 16.4 16.4 4th 47.3 16,464 800 DELIVERIES 1,840 1,895 4 south 3,131 266 9.3 P SURGERIES O/P SURGERIES TOTAL SURGERIES 4,320 4,540 6th 10,410 ICU 14,950 OB 9,643 4,385 850 28.7 9,820 14,140 12.0 5,115 340 14.9 ED VISITS Homer FEC 58,385 Psych 8,850 Rehab 67,235 Total 59,420 1,000 4,180 3,968 64,896 6,000 11.5 10.9 TOTAL ED Visits 60,420 194.2 OTHER OUTPATIENT GROWTH 0-5% ** Please contact Kay or John if you feel volume assumptions need adjustments based on your analysis Ancillary departments must submit their volume assumptions with rationale Directors and Managers need to strive to identify and plan for cost efficiencies and reductions in all expense categories (labor and non-labor) EXPENSES Inflation for non-labor categories is expected to average 3% unless departments are aware of actual vendor price increases or decreases Departments need to strive for reductions in their cost /unit of volume DO NOT BUDGET for Employee Awards & Recognition as that will be consolidated houe wide June 24, 2009 TO Leadership Group FROM John Krepps and Kay Novak SUBJECT: FY2010 OPERATING BUDGETS DUE DATE Wednesday, July 15, 2009 ORIGINAL TO ACCOUNTING / COPY TO YOUR V.P Budget Question and Answer Sessions (also available for indiv. meetings) July 7th July 9th 1:00 3:00 Auditorium 10:00 12:00 Auditorium BUDGET ASSUMPTIONS Ave Daily Projected BUDGET Census Volumes FY2009 FY 2010 16,410 Pt Days OBV'S with OBVs 1,018 ADMISSIONS acute rehab 17,065 Peds 594 4.4 ADULT LO.S. -acute 3.65 3.64 Peds- adult 2,806 13,502 2,395 690 9.6 PATIENT DAYS- acute rehab 62,460 64,896 3rd 177.8 3 south 43.6 AVERAGE DAILY VP CENSUS 684 64 2.1 AVERAGE DAILY OBV PATIENTS 16.4 16.4 4th 47.3 16,464 800 DELIVERIES 1,840 1,895 4 south 3,131 266 9.3 P SURGERIES O/P SURGERIES TOTAL SURGERIES 4,320 4,540 6th 10,410 ICU 14,950 OB 9,643 4,385 850 28.7 9,820 14,140 12.0 5,115 340 14.9 ED VISITS Homer FEC 58,385 Psych 8,850 Rehab 67,235 Total 59,420 1,000 4,180 3,968 64,896 6,000 11.5 10.9 TOTAL ED Visits 60,420 194.2 OTHER OUTPATIENT GROWTH 0-5% ** Please contact Kay or John if you feel volume assumptions need adjustments based on your analysis Ancillary departments must submit their volume assumptions with rationale Directors and Managers need to strive to identify and plan for cost efficiencies and reductions in all expense categories (labor and non-labor) EXPENSES Inflation for non-labor categories is expected to average 3% unless departments are aware of actual vendor price increases or decreases Departments need to strive for reductions in their cost /unit of volume DO NOT BUDGET for Employee Awards & Recognition as that will be consolidated houe wide
