NYC Health + Hospitals Presents FY19 Second Quarter Financial Results; Health System on Track to Meet Savings, Revenue Goals
Public health system in line to achieve balanced 5-year financial plan; invested in 340 new nurses and more than 174 revenue personnel to improve patient care and drive revenue growth Federal budget plan and Public Charge Rule continue to present risk to patients and finances
Mar 25, 2019
NYC Health + Hospitals President and CEO Mitchell Katz, MD, today announced that the public health system is on track to achieve a balanced five-year financial plan and meet its savings and revenue goals for fiscal year 2019. The health system is on target to achieve $757 million in revenue generating initiatives and $430 million in expense reducing initiatives, as planned. Overall, revenue was $10 million (.5 percent) below the ambitious target of $2.839B set for this year’s budget through December. In expenses, Health + Hospitals was less than $25 million (1 percent) over of its $3.411B target because of important investments in improving patient care and in generating revenue. These investments included the hiring of an additional of 340 new nurses and 174 revenue staff, reducing reliance on temps, eliminating consultants, and making some managerial level staff reductions.
In preliminary budget testimony before the New York City Council, Dr. Katz also noted that patient care revenue through Q2 of FY 2019, was up $80 million compared to the same time last year, driven by improved billing and better performance in value based managed care contracts. Overall, this budget supports the public health system’s broader multi-year redesign to build a competitive, sustainable organization that will continue to offer high-quality and accessible health care to the people of New York City.
“Our second quarter financial results demonstrate that our investments in patient care and revenue generation are working, and that Health + Hospitals’ balanced five-year financial plan positions us for stability and success,” said Dr. Katz. “This Health + Hospitals executive team and the de Blasio Administration are committed to preserving the fundamental promise of our mission to care for all, without exception, and regardless of income, immigration or insurance status.”
With the assistance of GetCoveredNYC and MetroPlusHealth Health plan enrollers, NYC Health + Hospitals is also signing up more New Yorkers for insurance inside Health + Hospitals facilities. The number of insurance applications has increased by 20 percent to 23,000 per month, and is expected to generate close to $40 million in additional revenue this year. The health system’s revenue growth plan also includes negotiating better rates with various health plans, and improving medical coding to accurately document and bill insurance companies for the patient care provided.