HomeMy WebLinkAbout08-02-06
MINUTES OF THE
DOWNEY CITY HOSPITAL COMMISSION
REGULAR MEETING
AUGUST 2, 2006
I. CALL TO ORDER
The Downey City Hospital Commission held a Regular Meeting at 5:03 p.m., August 2, 2006,
in the 2nd Floor Training Room of Downey City Hall, 11111 Brookshire Avenue, Downey, California,
Chairperson Sharisse Molyneux presiding.
II. ROLL CALL
Present: Sharisse Molyneux, Chairperson
Dianne Lumsdaine, Vice-Chairperson
Chuck Hutchinson
Jerald Silby
Dwight Simpson
Julie Simpson
Harold Tseklenis
Absent: Diane Boggs (excused)
Rachel Villalobos
Also Present: Lee Powell, Assistant City Manager
Joyce Doyle, Chief Deputy City Clerk/Acting Secretary
III. APPROVAL OF MINUTES: May 3, 2006
It was moved by Commissioner Julie Simpson, seconded by Commissioner Dwight Simpson
to approve the Minutes of May 3, 2006
and unanimously carried (7/0) .
IV. DOCUMENTS SUBJECT TO REVIEW
A. Hospital’s Tax returns for Fiscal Year Ended 2005.
The Commission reviewed the above referenced documents.
Commission Tseklenis noted that the tax returns indicate 2005 was a loss for the Hospital.
Commissioner Dwight Simpson noted on pages 24-25, the Hospital made $742,319 on
Unrealized Gains on Investments. He also commented on the Other Decreases in Fund Balances –
Prior Period Adjustment of $2,361,850. Commissioner Simpson further noted the Hospital reserves
are dropping.
Commissioner Tseklenis expressed concern regarding legal fees of over $5 million, stating
he understood that these fees were suppose to be decreasing. Mary Lou Schmidt, Hospital Board
Member, responded these fees were the end of the previous legal problems.
Commissioner Tseklenis noted on Statement 13, page 32, with almost $26 million due from
City Hospital Comm. Minutes 08-02-06 1
affiliates. Bruce Bowne, Executive Vice-President and Chief Financial Officer, DRMC, clarified that
the majority of this amount is the new medical office building.
Commissioner Hutchinson discussed DRMC’s President and Chief Executive Officer Allen
Korneff’s salary and benefits, as well as the salaries and benefits of other officers with Ms. Schmidt
and Mr. Bowne responding to comments from the Commission.
Commissioner Hutchinson inquired as to the status of the Charter Ball and the Golf
Tournament. Ms. Schmidt responded that the difference is in philosophies. The former fundraiser
believed that the Ball was a public relations event and the current fundraiser believes that the
Hospital should make money on these events. She stated this year the Hospital made money on the
Golf Tournament and projected the next Charter Ball will also show a profit. Mr. Bowne added that
the Charter Ball made about $30,000 last year.
Commissioner Tseklenis inquired as to the percentage of Hospital employees living in
Downey. Ms. Schmidt responded she did not know, but she would find out. Ms. Schmidt and Mr.
Bowne stated that even if Hospital employees do not live in Downey, they shop and spend money in
the City.
Ken Stropple, Executive Vice-President and Chief Administrative Officer, DRMC, spoke
on the shortage of nurses in Southern California.
Mr. Bowne commented on the Hospital’s upcoming financial audit; hospital revenues, and the
increase in the number of patients per day. He mentioned three positive events for the Hospital: the
Blue Shield contract, noting the School District is with Blue Shield; the new relationship with
Caremore; and renewing the Medi-Cal contract on more favorable financial terms.
Mayor Meredith Perkins thanked the Hospital Commission for all their time and
efforts and he also thanked the Hospital for making an effort by sending Ms. Schmidt, Mr. Bowne and
Mr. Stropple to the meeting to provide updates to the Commission. He made a brief presentation to
the Commission based upon being a non-voting member of the Board of the Hospital.
It was moved by Commissioner Tseklenis, seconded by Commissioner Silby, and so
receive and file.
ordered to
V. ORAL COMMUNICATIONS
Commissioner Silby noted that health insurance and legal costs have changed over the past
year. He thanked the Hospital personnel for attending tonight’s meeting.
Commissioner Lumsdaine thanked the Hospital and Mayor Perkins for attending tonight’s
meeting. She said she would like to see current figures from the Hospital presented for review. She
stated she was happy the Hospital rehired Jim Klosterman.
Commissioner Hutchinson said he was pleased the Hospital rehired Mr. Klosterman.
Gerald Silby mentioned the Charter Ball and raising funds for the Hospital.
Harold Tseklenis noted the passing of Tom Osborn, Director and Conductor of the Downey
Symphony and commended his 19 years of service in the community.
VI. ADJOURNMENT:
5:55 p.m.
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adjourned
There being no further business, the meeting was to 5:00 p.m., November 1, 2006,
in the 2nd Floor Training Room of Downey City Hall.
Joyce E. Doyle, Acting Secretary
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