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Section A: General News


Connally, Endeavor OK five-year renewal


Connally, Endeavor OK five-year renewal
WILLIAM J. GIBBS JR./Reprints at wilsoncountynews.com Karl Hittle (standing) of Endeavor Healthcare gives a presentation Oct. 17 to the Wilson Memorial Hospital District board of directors related to the renewal of his firm’s contract to manage the Connally Memorial Medical Center.


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Wilson County News
October 23, 2013
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The Wilson Memorial Hospital District has approved a five-year contract extension with Endeavor Healthcare, by a unanimous vote at the board’s Oct. 17 meeting.

Endeavor, a hospital management company based in New Braunfels, has been at the forefront of the Connally Memorial Medical Center’s ongoing turnaround. When the board hired the firm to help oversee the hospital in 2010, Connally was on course to post a loss of $2,002,036 -- $500,509 per quarter -- that year. The hospital has finished the past two fiscal years in the black, with less dependence on ad valorem taxation.

The previous two-year contract had provisions for a quarterly performance fee that Endeavor would be paid if Connally finished a three-month period at better than a $500,509 loss. Karl Hittle -- who along with Curtis Rojas forms the partnership that owns Endeavor -- said the bar now has been raised in the new agreement that becomes effective April 1, 2014. The contract also has a built-in 36-month renewal that takes effect at the end of the term, barring cancellation by either party with 90 days’ written notice.

“Our new performance fee is also paid on a quarterly basis and is based on the hospital being profitable -- again prior to tax money,” Hittle said. “For a loss better than [negative] $250,000 to break even, meaning minus $250,000 to $0 in Total Hospital Income, we would be paid a fee per quarter of $15,000.”

For each $50,000 increment that the finances improve, Endeavor’s fee will increase. It will be capped upon Connally clearing $500,000 in total income.

Also during the meeting, interim Chief Financial Officer Jamie Jacoby presented the hospital’s monthly and year-to-date financial and statistical report for September. According to the approved version of the report, Connally ended the month with a net income of $371,629. Year to date, the hospital has a total net income of $2,737,675.

Wilson Memorial Hospital District board of directors meeting Oct. 17. In attendance: Board members Ronnie Eckel, Tom Miller, Larry Richardson, Keith Johanson, Sandy Yow, and Tommy Soriero; Chief of Staff Emily Frye, interim Chief Financial Officer Jamie Jacoby, Human Resources and Risk Management Director Dane Bonecutter, Director of Physician Practice Operations Brandi Nutt, and Executive Director of Ancillary Services Thomas Repino, Administrative Assistant Shirley Bienek, Director of Imaging Abel Salazar, Laboratory Manager Bob Gillespie, Chief Executive Officer Brian Burnside; and Karl Hittle and Curtis Rojas of Endeavor Healthcare.
 

Your Opinions and Comments

 
New Guy  
Wilson County  
October 23, 2013 12:47pm
 
Mr Miller where are you on helping us take on this cash cow.

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