HomeMy WebLinkAboutMinutes-05-19-78-Adjourned Regular MeetingG C1133
MINUTES OF THE CITY COUNCIL
OF THE CITY OF DOWNEY
ADJOURNED REGULAR MEETING
MAY 19, 1978
The City Council of the City of Downey held an adjourned regular meeting at
7:30 a.m., May 19, 1978, at the Downey Community Hospital, Mayor William L. Greene
presiding.
PRESENT: Council Members:
Theodore H. Jackman
Kenneth J. Miller Mayor Pro Tem
Milton R. Mackaig
Lyell W. Swearingen
William L. Greene Mayor
ALSO PRESENT: Charles W. Thompson, City Manager
Martin F. Wynne, Director of Finance
Robert L. Shand, City Clerk -Treasurer
Downey Community Hospital Staff:
Allen R. Korneff, Administrator
Vic Kolodziej, Director of Finance
Louis Brame, President, Board of Directors
John Rafferty, Chief Accountant
Charles Hutchinson, Treasurer, Board of Directors
Mayor Greene announced the purpose of the meeting is to discuss the Downey
Community Hospital Budget for Fiscal Year 1978-79.
Ms. Korneff distributed copies of the Hospital Budget to members present. He
explained that Mr. Kolodziej, the Hospital Director of Finance, will review the
Budget and attempt to answer any questions of the City Council leading to eventual
approval of the requested room rates.
Mr. Kolodziej proceeded to review a hand-out sheet called the "Downey Community
Hospital Budget Calendar" for fiscal year July 1, 1978 - June 30, 1979. This
calendar is .used as an activity list with the departments in preparing the Budget.
The Hospital uses the Zero Base Budgeting method.
Ms. Hutchinson explained how the new Budget is referred to the Budget Committee
for analysis and comparison to the prior year's Budget.
Mr. Thompson asked Mr. Kolodziej who prepares the decision packages for the
Zero Base Budget.
Mr. Kolodziej said the administration and the department heads work together in
preparing the Hospital objectives, which are the same as decision packages. He ex-
plained the 1978-79 Fiscal Year Hospital Budget sheet by sheet.
Mr. Thompson inquired regarding cost-effective operations.
Mr. Kolodziej explained that ineffective functions such as bed care cases have
a fixed "people care" routine without flexibility. However, cost-effective areas
such as ancillary and lab are subject to automation methods with cost saving results
and increased efficiency.
Mr. Wynne raised questions regarding the computer costs.
Mr. Kolodziej said computer costs will decrease as the Service Center functions
are phased out and the in-house system takes over. The computer staff will consist
of six employees. He stated the interest expenses reflect an increase because of
the new scanner that was financed through the Chemical Bank.
The 1978-79 Budget provides for hiring a Director of Marketing for the purpose
of locating new sources of revenue producing Hospital services.
Mr. Kolodziej explained how the 3.54% rate increase is calculated.
Discussion followed regarding personnel costs, types of operations (major/minor),
and depreciation costs.
Councilman Jackman requested a breakdown of the administrative costs. He also
inquired regarding the salary for the Administrator.
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Mr. Kolodziej referred to Page 5, Operating Expense, item titled Administration.
This item, he said, includes administrative salary increases, consulting fees, legal
fees, and travel expenses.
Councilman Jackman indicated he would like to know the details of such items as
the Administrator's salary and any expected increase for the coming year.
b:lr. Korneff said such details are not a requirement of the lease.
Councilman Miller concurred with Councilman Jackman's request.
Mr. Korneff explained that not all data in the Hospital files is considered
public: information, and certain files are considered corporation information. The
extent of the lease agreement is to require information that indicates the Hospital
is being properly managed and all financial obligations are being properly met.
Mr. Brame said the Board of Directors feels the Hospital is giving the City a
lot of detail in the report.
Councilman Swearingen agreed with Mr. Brame.
Councilman Mackaig left the meeting at 9:28 a.m.
Councilman Jackman again requested a breakdown of the Administrator's salaries
and costs.
Discussion followed.
Mr. Brame mentioned the Administrator's salary has not been set for the coming
fiscal. year. An Administrator's salary survey is being considered.
Mr. Kolodziej said the administrative figure in the Budget is an anticipated
amount. The Director of Marketing's salary is included in this figure. The
Administration figure includes the Administrator, Assistant Administrator, Director
of Finance, Associate Director of Supportive Services, and two secretaries in 407
account. 447 account includes Director of Marketing. Postage is also contained in
Administration, as well as dues and subscriptions.
There being no further business to come before the City Council, at 9:40 a.m.
the meeting was adjourned to 6:30 p.m., May 23, 1978, in.the Council Chamber of the
Downey City Hall, for joint meeting with the City Planning Commission.
Robert L. Shand, -City Clerk -Treasurer
William L. Greene, Mayor
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