At the March 19 meeting the Petersburg Medical Center board received a financial update that highlighted the transition to in-house billing, ongoing work to reduce accounts receivable days, and applications for federal pandemic relief programs.

Financial staff reported the center has “fully transitioned to doing our own billing,” a move that board members and presenters said will reduce reliance on third-party vendors that previously took a percentage of collections. One board member said the change was expected to save about $40,000 per month. The finance presenter said the board should expect a potentially bumpy 4–6 month period while accounts receivable are brought under control, with a current gross days in AR of about 85 and an industry target in the low 60s.

The finance report noted completion of an application for the employee retention tax credit, filed with a tax-advisory consulting firm; staff estimated qualifying for about $3,000,000 but warned the IRS review could take up to two years before funds are received. The board was also told of a completed renegotiation with Premier Blue Cross Blue Shield that has produced a payment expected to be received soon.

Other items cited: net patient revenues slightly below budget for the year-to-date period, strong swing-bed utilization and outpatient imaging and lab volumes, a repayment from Medicare for a 2020–24 cost report being reserved until final audit, and around $2 million in cash on hand. The presenter cautioned that projected depreciation for the new building was not yet budgeted and will need attention when the building comes online.

No formal budget changes or change orders for construction were reported at the meeting.