CARES Act funding staves off operating loss at Ballad Health

In addition, the health system saw a payer mix shift in the fourth quarter. It said it saw the share of profits from Medicare fee for service and business insurance dip, while income from Medicare Advantage grew.

Supplier relief funding from the Coronavirus Aid, Relief and Economic Security Act assisted Ballad Health, a 21-hospital system in Johnson City, Tenn., record a $17.7 million net operating income in the quarter ended June 30, according to the systems current monetary report.

Ballad Healths decline in patient revenue was credited to a volume reduction caused by the pandemic. Acute discharges decreased by 22.6 percent, inpatient surgeries dipped by 26.9 percent, emergency department check outs decreased 34.7 percent in the three-month period ended June 30..

Alia Paavola –
Thursday, August 13th, 2020
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Ballad Health received $82.5 million in CARES Act financing in the 4th quarter of financial 2020. The health system said without the CARES Act funding it lost $48.4 million from operations, $2.2 million from an Epic electronic health record implementation and saw $14.1 million in incremental business expenses from COVID-19..

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In the 4th quarter of financial 2020, the health system saw its net patient income reduction to $379.8 million, a decline of 26.8 percent from the very same duration in 2015..

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In response to monetary challenges attributed to the pandemic, Ballad Health executed a number of cost-reduction strategies in the fourth quarter of financial 2020, including staff furloughs, pay reductions for executive management and deferment of all inessential costs. The cuts led to about $40 million in cost savings for the quarter, Ballad Health stated..

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