Flying By Seat of Pants? No Written Agreement by Somervell County Hospital Authority to 501aSomervell County Salon-Glen Rose, Rainbow, Nemo, Glass....Texas

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Flying By Seat of Pants? No Written Agreement by Somervell County Hospital Authority to 501a

20 August 2013 at 12:03:56 PM

Here's a puzzlement for the day.

On the 2011 Auditing report prepared for the Somervell County Commissioners Court by Glen Rose Medical Center, there is a reference to a management agreement that the Authority entered into with Glen Rose Healthcare Inc (the 501a). We talked about this before, including video.

Specifically, note the sentence "On January 1, 2010, Glen Rose Healthcare,Inc (the "501A") entered into a management agreement with the Authority to provide for certain management services in exchange for a services fee."

I wondered, for this year, two things. First, what exactly do those management agreements say, and second, how much money went to the 501a this year so far? Via Open Records Request.

First item I requested

All copies of any reports in which money is shown to have been approved, from January 2013 to current date (August 8 2013) for the 501a (Glen Rose Healthcare Inc) above what the management agreement specifies; ie, shortfall type money.

Document: Running List of Intercompany Monetary Transfers - note the total is $42,000.00

Second item requested

All copies of agreements, including management agreements between Glen Rose Healthcare Inc (the 501a) and Somervell County Hospital Authority/Somervell County Hospital District dba Glen Rose Medical Center from October 2009 to this date, to include any new management agreements made after the District was finalized.


There are no written agreements, including management agreements, between Glen Rose Healthcare, Inc. and Somervell County Hospital Authority, Somervell County Hospital District, and/or Glen Rose Medical Center. As such, there are no documents responsive to this request.

So, as you might imagine, I have a further question. Since the auditing report from 2011 clearly says that there is a management agreement between the 501a and the Authority, and since Glen Rose Medical Center says there are not any *written* agreements, then are these strictly verbal, shaking hands agreements? How is the taxpaying public to know what exactly is required for the money transfers that are occurring between the 501a and the Authority (and since there are no new ones with the Hospital District, does that not continue the same black hole?)


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