GMH's flatlining finances go from bad to worse - KUAM.com-KUAM News: On Air. Online. On Demand.

GMH's flatlining finances go from bad to worse

Posted: Updated:
by Sabrina Salas Matanane

Guam - According to an audit released late this afternoon by the Guam Office of Public Accountability "fiscal year 2013 was a challenging year for the Guam Memorial Hospital Authority as inadequate cash flow severely jeopardized GMHA's operations and its ability to provide basic, appropriate patient care.

The report went on to state that for the first time auditors in its unmodified opinion for FY13 emphasized that GMHA has incurred recurring losses and negative cash flows from operations that raise substantial doubt about its ability to continue as a going concern.

The report described how expenditures have steadily increased over the last five years but in contrast revenues declined. Auditors also noted how operating losses since 2009 went from $6 million to $34 million in FY2013.  Operating losses according to the report are unsustainable without significant increases from the General Fund. According to the Guam OPA GovGuam must provide financial support for the hospital's services to self pay and uninsured patients, which represents 13% of GMHA's billings. The audit provided a litany of other problems: such as cash flow shortages continuing to have an impact on the hospital's ability to meet payroll and make timely vendor payments, health insurance rates not being adjusted since 2006, and problems such as the GMHA Healthcare Trust and Development Fund which provides revenues from gaming activities not living up to expectations.

Hospital administrator Joseph Verga was still reviewing the audit and could not provide comment today. You can read the audit at GuamOPA.org.

  • NEWS HEADLINESMore>>

  • Find awesome deals on the Shop Guam app

    Find awesome deals on the Shop Guam app

    It's the biggest shopping event in the Western Pacific, and it's back just in time for your holiday shopping needs. Take advantage of the over 300 offers and discounts during the Guam Visitors Bureau 6th Annual Shop Guam e-Festival. The campaign kicked off earlier this month and runs through February 2018. Download the Shop Guam mobile app, available on both iOS and Android Devices, for more information.More >>
    It's the biggest shopping event in the Western Pacific, and it's back just in time for your holiday shopping needs. Take advantage of the over 300 offers and discounts during the Guam Visitors Bureau 6th Annual Shop Guam e-Festival. The campaign kicked off earlier this month and runs through February 2018. Download the Shop Guam mobile app, available on both iOS and Android Devices, for more information.More >>
  • GFD back up to 8 operable ambulances

    GFD back up to 8 operable ambulances

    They respond to thousands of calls a year. With that being said, mechanical failures will happen from time to time, but the Guam Fire Department is back up to 8 ambulances serving the island daily. According to Fire Chief Joey San Nicolas, currently there are 2 that are serving as back up and 3 that are still undergoing repairs. "There's a rare occurrence that multiple units go down at the same time mostly for the same reasons- which is really air con units in the patient compar...More >>
    They respond to thousands of calls a year. With that being said, mechanical failures will happen from time to time, but the Guam Fire Department is back up to 8 ambulances serving the island daily. According to Fire Chief Joey San Nicolas, currently there are 2 that are serving as back up and 3 that are still undergoing repairs. "There's a rare occurrence that multiple units go down at the same time mostly for the same reasons- which is really air con units in the patient compar...More >>
  • Government wants full payment from Ray Charles Tedtaotao Camacho

    Government wants full payment from Ray Charles Tedtaotao Camacho

    It's a $750 wedding ring, but its significance and meaning, priceless. While Ray Charles Tedtaotao Camacho is serving life behind bars, the government argues he's not being held fully accountable for his crimes. Five years ago, Camacho kidnapped and raped Monique Baza after she made a quick run to the bakery for bread. Though it's a minimal amount for the ring that was never recovered, defense has motioned to waive restitution.  The government, in its response this week, argued ...More >>
    It's a $750 wedding ring, but its significance and meaning, priceless. While Ray Charles Tedtaotao Camacho is serving life behind bars, the government argues he's not being held fully accountable for his crimes. Five years ago, Camacho kidnapped and raped Monique Baza after she made a quick run to the bakery for bread. Though it's a minimal amount for the ring that was never recovered, defense has motioned to waive restitution.  The government, in its response this week, argued ...More >>
Powered by Frankly