Hillcrest OKs rate hike; reports 'good month' for October

Wednesday, November 28, 2018

McCOOK, Neb. — Citing increasing costs for food, shipping and maintenance, the Hillcrest Board of Trustees Tuesday morning unanimously approved a three percent hike in room rates

The increase will take effect in 60 days, in February, said Ron Ross, Rural Health Development (RHD) president and the healthcare management team hired at Hillcrest.

The last rate increase was last year, also at 3 percent. “It’s better to do it now, than waiting a few years and rates going up 8 percent,” said board member Jim Howard, of the increase.

Board president Randy Dean said the increase is not out of line and other nursing homes are still probably higher. “We’re maintaining the best we can,” he said of operations at Hillcrest. “As much as you hate to do it, you gotta do it.”

Ross reviewed October’s financials with board members, calling it “a good month.” Total revenue for the month was $633,000, on target for what was budgeted year-to-date for July through October. Nursing came in a little higher for the month, Ross said, due to the unanticipated increased cost of supplies. A total profit of $75,000 was realized last month.

The census at the facility is up higher from what it was a year ago, administrator Ron Cheek told the board, with 82 residents. This included five Medicare, 24 private pay, 44 Medicaid, three Veterans assistance and 10 assisted living. The average number of residents in October was 90 residents, he said.

Also at Tuesday’s meeting, Randy Dean commended the recent concrete work completed at the facility. A ramp in the front of the facility was re-designed to comply with ADA specifications, making it much safer, he said.

It was also decided at the meeting that RHD would cover annual license fees for the Hillcrest administrator, Brad Cheek, at around $300. Renee Wright, Hillcrest business manager, said it was included on the agenda as she didn’t want to set a precedent in covering licenses, as other employees pay for their own licenses, such as nurses. That’s because the licenses don’t stay with the facility if the employee leaves, she said. Randy Dean said it’s been discussed in the past about who covers those costs.

Board member Mike Eklund disagreed about setting a precedent. The administrator is a “big dog” and “big dogs get certain benefits,” he said.

The discussion ended when Ross said RHD would cover costs. RHD was hired by the Hillcrest Board of Trustees for $4,000 per month to manage the facility. In addition to keeping track of the financials other responsibilities, the healthcare company also pays the salary and hires the administrator at Hillcrest.

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