OTHER AGENCIES AND ORGANIZATIONS
NOTICE PURSUANT TO SUBSECTION 155.40(5)(e)1. OF THE FLORIDA STATUTES
NORTH BREVARD COUNTY HOSPITAL DISTRICT
NOTICE PURSUANT TO SUBSECTION 155.40(5)(e)1. OF THE FLORIDA STATUTES
On May 6, 2013, the Board of Directors of the North Brevard County Hospital District, d/b/a Parrish Medical Center held a public hearing and considered information including, but not limited to, an independent evaluation of Parrish Medical Center’s fair market value, operating comparison, an analysis of quality and cost considerations, and public comments regarding the implementation of Section 155.40 of the Florida Statutes, as amended by Chapter 2012-66, Laws of Florida, relating to the evaluation of the possible benefits to persons residing in North Brevard County from the sale or lease of Parrish Medical Center facilities. After such consideration, the Board of Directors of the North Brevard County Hospital District made the following findings:
- Parrish Medical Center ranked fifth out of the forty hospitals to which it was compared for overall quality provided, with overall quality scores among the highest regionally and nationally.
- Parrish Medical Center represents lower costs to the community based on billable charges for both inpatient and outpatient services. Prices, on average, are from 12% to 35% lower than statewide Florida non-profit or for-profit medians.
- Parrish Medical Center’s cost position is below other Florida government hospitals.
- Parrish Medical Center has a higher investment of labor hours per patient, however, Parrish Medical Center has been able to keep labor costs per patient lower than other not-for-profit and for-profit hospitals to which it was compared.
- Parrish Medical Center maintains significantly lower rates for routine care, intensive care, and nursery care than other not-for-profit and for-profit hospitals to which it was compared.
- Parrish Medical Center has managed the utilization and cost per unit for ancillary patient services more efficiently than other not-for-profit and for-profit hospitals to which it was compared.
- Parrish Medical Center has managed overall service intensity, measured by the length of stay, very closely to other not-for-profit and for-profit hospitals to which it was compared.
- Parrish Medical Center wrote off $17.7 million in bad debt in 2011, representing $4.9 million in expenses per filed Florida Agency for Health Care Administration reports. Such bad debt write-offs can be recognized as an element of charity care, and Parrish Medical Center has higher levels of bad debts than the other not-for-profit and for-profit hospitals to which it was compared, further evidencing the positive net community benefit provided by Parrish Medical Center to the community.
- Parrish Medical Center wrote off $20.0 million in charity care in 2011, representing $5.5 million in expenses per filed Florida Agency for Health Care Administration reports, demonstrating that Parrish Medical Center has higher levels of charity care than the other not-for-profit and for-profit hospitals to which it was compared.
- Parrish Medical Center provides a net positive community benefit to the community it serves.
- The Board of Directors, as a part of its governance responsibility, consistently and frequently reviews and considers a broad spectrum of quality indicators.
- Considering the totality of quality information and indicators, Parrish Medical Center provides a high level of quality health care to its patients and the community at a more economical cost than its peers in both the not-for-profit and for-profit community.
At the conclusion of the public hearing, the Board of Directors of the North Brevard County Hospital District found and concluded that it is more beneficial for the taxpayers and citizens of the community of the North Brevard County Hospital District to remain under the current government control structure, and that there is a net benefit to the community to operate Parrish Medical Center as a special district, rather than to operate as a not-for-profit or for-profit entity and use the proceeds of a sale or lease for the purposes described in section 155.40 of the Florida Statutes.
