Tuesday, October 5, 2010

Breaking down VHS's 2008 Community Benefit figure of $58,349,282

Does the majority of the local citizenry even understand the meaning of this huge "community benefit" number?

To get a better understanding how the Valley Health System's 2008 $58,349,282 regional community benefit was derived, the following Schedule H's for WMC, Hampshire Mem'l and Warren Mem'l Hospitals will help to break it down per hospital.

Warren Memorial Hospital, 2008 Schedule H Community Benefit breakdown 

Hampshire Memorial Hospital, 2008 Schedule H 

Winchester Medical Center, 2008 Schedule H

Valley Health's 2009 Community Benefit Report

The 2009 Community Benefit report featured in the Winchester Star did not have a line that read "Excess of Revenue over Expenses (Profit)".  Valley Health Systems profits for 2004-2007 were as follows: $42,613,000; $53,800,000; $59,432,000; $62,803,000 and a loss of $42,000 in 2008.  Valley Health Systems had a five year profit total of $218,606,000 from 2004-2008 per information shared by a VHS official in December of 2009.

The perception is that VHS is taking huge profits made locally in Winchester and spending on an average of $30-35million for new hospitals in Page County, Romney, WV and Berkeley Springs, WV while previously enjoying the tax break perks from the City of Winchester.  Is this fair to the local taxpayers?

Will these much smaller regional hospitals just become medical bus stops for the Winchester Medical Center campus?

Please note ... Page Mem'l and Shenandoah Mem'l IRS990 did not provide a Schedule H in 2008.  The Winchester Surgi-Center was not part of VHS until March 1, 2010.  The 2009 IRS990's are not yet available to breakdown Valley Health's total community benefit of $71.3 million.


Valley Health's statement on the regional communities that it serves:

WMC provides a range of services for its communities which includes clinics and support programs.

All of these items give patients access to leading edge technology and state of the art service, and to experience high quality patient care that is close to where they live.

These activities are overseen by WMC's BOD's, comprised mainly of independent community members.

The population has increased from the previous year from 951,209 to 959,447 in 2008.

The female population for 2007 was 479,624 and the male population was 471,585 in 2007.

The population numbers for 2008 show that females increased to 483,523 and the male population increased to 475,924 for 2008.

The regional community that VH serves is widely diverse.  The regional community racial ethnic breakdown in the communities served by VH is as follows: 84.2% White, 4.8% Black, 1.7% Asian, 1.5% Multiracial, 1.2% other, 0.2% Native American and 3.3% Hispanic for 2008.

The total population per race or ethnicity increased significantly from 2007.  Give the general location of facilities, WMC serves several migrant worker communities during harvesting of crops for the local farmers.

There is also an aging population that WMC serves with several of its communities.  As the baby boomers grow older, more and more medical care will be needed and provided by WMC.




WVU-H East offers more than ‘bus stop’
September 27, 2009 - By Albert Pilkington III, president and CEO, WVU Hospitals-East, Martinsburg

Valley Health has spent a lot of money and time to develop a PR campaign aimed at discrediting our interest in providing health care for the citizens of Morgan County. Beyond all the rhetoric, I ask you to simply consider one basic concept. Do you want a hospital in Berkeley Springs or a medical bus stop for Valley Health?

Ultimately, that is the real question. Our approach will be the same as it has been in Jefferson County in that we believe in building and growing services within the community as opposed to the Valley Health model of using small hospitals as a feeding system for the big hospital in Winchester, Va.

If you are satisfied with driving to Winchester for the majority of your medical needs as if Berkeley Springs were a suburb of Winchester, then we are not your best choice. On the other hand, if you are interested in the development of your own unique community with services provided locally, then that is the approach we offer for health care.

Truly, beyond all the PR and rhetoric, this is the only real question at hand as both companies will give you a new building.

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