Lawmakers poised to grant Grady
cash but as an advance
by Andy Phelan
Andy@dekalbchamp.com
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On June 25, members of a Metro Atlanta Chamber of Commerce task force on Grady reported that unless the hospital finds alternative sources of funding its collapse would be imminent. Grady, they said, will be $120 million in debt by the end of 2007 and not be able to meet payroll.
As part of a new approach, the task force recommended that Grady change the way it is run by creating a private, non-profit instead of the public Fulton-DeKalb Hospital Authority. The respective county commissions control the authority by appointing its board members.
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DeKalb lawmakers might raise taxes to help save Grady
Grady in search of healing
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Ailing Grady Hospital could receive up to a $5 million infusion of cash from DeKalb County if local lawmakers approve a resolution on Oct. 9.
Although commissioners deferred action Sept. 25, it is expected that the board will vote to provide some help.
It’s part of a series of resolutions introduced Sept. 11 by commissioners Larry Johnson and Connie Stokes on how to solve Grady’s immediate cash crunch and try to mend gaps in its long-term viability.
Stokes and Johnson, who both served on a joint DeKalb-Fulton committee that looked at Grady’s financial woes, are recommending a contribution of as much as $5 million in addition to the $22 million the county already gives the hospital each year.
At least $1 million of the total would be released within two months of the possible majority vote.
At a retreat Sept. 14, commissioners debated whether to attach a series of expectations to the $5 million with an emphasis that the state become involved with a long-term solution to the funding crisis.
The money, which would be given in one lump sum, would be considered an advance on DeKalb’s 2008 budget contribution unless Grady develops a viable long-range stability plan.
In addition to the $5 million, other recommendations from the plan are for the state fund and take over operations of the trauma center, poison control, the burn unit, neonatal and dialysis service. It also urges the state to hold other counties accountable for the patients it sends to Grady and hold a special session to deal with Grady funding.
According to Finance Director Michael Bell, residents from Clayton County alone racked up more than $11 million in charges at Grady in 2006.
It also asks the state to create a regional hospital authority and consider changing the charter so the hospital could borrow against its $ 1.2 billion in real estate holdings instead of relying solely on taxpayer funds.
Also on the table is whether to re-evaluate payments made to the medical schools and establish performance benchmarks, especially if the Grady board changes its governance.
Commissioner Elaine Boyer, who has publicly stated she prefers the authority hand day-to-day operations over to a private non-profit board, said she’d like further discussion before voting.
“I have some concerns,” she said. “What are we going to get for our $5 million? Until there’s a change in governance, I wouldn’t give one more red penny.”
Although the conversation was at times heated, most commissioners agreed the time for the state to step up is long overdue.
“I’m for a regional authority,” said Commissioner Lee May.
“We need to request a meeting with state leadership, including the governor, lieutenant governor and the speaker.”
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