With a late influx of some $3 million from the province, the Sunrise Health Region managed a small surplus on its 2014-15 Operating Budget.
A report to the regular monthly meeting of the SHR’s Board of Directors last Wednesday noted, “The Region’s 2014-15 Operating expenses are less than Operating revenue by $2,028,335 up to and including March 31, 2015.”
However, that surplus was actually much slimmer, as “the Region is required to budget for a surplus of $2,010,851 in order to cover mortgage and energy renewal payments. As a result the Region achieved a $70,000 surplus to budget.”
The actual revenue flow to the Region exceeded what had been anticipated by several million dollars.
“Total operating revenue is over budget by $6,958,920,” detailed the Report. “This represents a 3.2 per cent variance to the year-to-date budget.
“The variance is a result of additional special payments for collective bargaining and other recoveries being higher than budgeted but they are close to the prior year levels.”
Several expense areas were also well over budget on the year, siphoning away the better revenues.
As an example, the Report detailed “total inpatient and resident services are over budget by $4,683,753. This represents a 5.6 per cent variance to the year-to-date budget.
“The majority of this various is with compensation due to collective bargaining increases and higher than expected sick leave utilization and overtime.”
In addition, “physician compensation is over budget by $1,181,617. This represents an 11 per cent variance to the year-to-date budget.”
“We are over budget in the expenses for specialists guarantee top up ($186K) and alternate payments ($859K) which accounts for the majority of this variance. Additional funding is being received for the alternate payment physicians.”
