Subsidizing the 501a Doctors at the Glen Rose Medical Center-the Agreement


 

Subsidizing the 501a Doctors at the Glen Rose Medical Center-the Agreement
 


20 July 2010 at 10:51:07 AM
salon

You remember how the county voted to subsidize the doctor's salaries that are in the Glen Rose Healthcare Inc (501a)  if they don't make enough money to stay here? Here's the agreement referred to in the video.

LINK TO AGREEMENT

The relevant part is on Schedule C pages 15 and 16.

.... there must be the ability to recruit and maintain physicians committed to practicing medicine at the hospital. However, this requires that there be the financial ability to compensate physicians and maintain the Physician Group's operations even during periods where the Physician Group's revenues are not sufficient to meet these obligations. ... the Medical Center understands that it may be necessary during periods of negative cash flow for the Medical Center to provide Operational Support Assistance ("OSA" to the Physician Group.

The process is that the Physician Group provides a revenue and expense statement for the month to the Somervell County Healthcare Authority board, which is a board appointed by the elected officials of Somervell County.

If the Physician Group's revenues are insufficient to meet its reasonable operational obligations and no other source of non-debt funds exists from which the Physician Group can makeup the short-fall, the statement shall show this number as the Request for OSA for the month.

If the Medical Center dba Somervell County Hospital Authority board believes the OSA is appropriate, they pay that amount into the account of the Physican Group. A detailed use of the OSA shall be provided to the Medical Center after each OSA transfer showing how the OSA was used.

 


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