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Local News

March 14, 2013

Details emerge on Manor's financial woes

(Continued)

For instance, a certified nursing assistant at the Manor typically earns between $14.49 and $16.88 per hour, with an average benefit cost of $7.63 per hour. In the region, the average pay for nursing assistants ranges from $10.85 to $13.06 per hour, with a benefit cost of $3.41 an hour.

In 2009, the Medicaid daily reimbursement rate for a patient at the Manor stood at $195. That figure has dropped to $189.87 for 2013, he said.

The lower rate transfers into a revenue reduction amounting to hundreds of thousands of dollars for the Manor, said Bachman, who is substituting for County Treasurer Daniel Crowell during the latter’s six-month military deployment.

Bachman also noted the county, which is self-insured, has no control over worker compensation costs arising from job-related injuries. That liability went from $590,523 in 2010 to $1,010,543 in 2011, and there is no way to predict what the trend will be in future years.

He also said intergovernmental transfer monies from the state to help pay for public nursing homes is far from a predictable stream of revenue. The county had budgeted $3.2 million in intergovernmental money for 2012. But it ended up receiving only $2.3 million, leaving the Manor with a significant shortage that had to be made up by the county, Bachman said.

In addition, the county is facing substantial obligations for health care costs for its employes, a sum that is projected to rise between 8 percent and 9 percent per year. Meanwhile, wages are projected to rise about 2.5 percent per year, he noted.

In response to questions from The Daily Star, Bachman said the county’s entire biweekly payroll for all workers amounts to $996,239. Of that, $330,112 — or about one-third — is paid to Manor employees, he said.

It’s important to not just consider what the county is putting into the Manor in cash, but what the total liability is, since the county will be on the hook for that cost expense until it is finally paid.

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