Our 2014 Annual Report to the Community

Connecting People, Community and Care

Message from the CEOWhat a challenging year it’s been for healthcare - once again. For Houston Healthcare, our mission of delivering quality patient care to those we serve is our top priority. Achieving this amid the challenges has proven to be a com-plicated task for all health care providers. As an organiza-tion, our commitment to our patients and their families will not change - we strive to provide excellent care in an envi-ronment of hope and encouragement.

Reimbursement, or lack thereof, continues to be a complex matter for all health care systems. Many hospitals do not have the extra necessary resources and are challenged with laying off staff or closing their doors. We are very fortunate at Houston Healthcare to have financial reserves. Our com-mitment to providing best practice, safe, quality care will not be compromised.

In the midst of all this, we have much to be thankful for this year. Our staffing has not had to be reduced due to the chal-lenges we’re facing. We’ve maintained a level that provides safe, quality patient care and have been recognized for our efforts. Both Houston Medical Center and Perry Hospital have received recognition from the Georgia Hospital As-sociation for continuing to provide quality health care to our community. The improvements we’re making each day impact how we deliver care and how the community is able to access the care they need, as well as enhances the overall patient experience.

Community outreach and support is another priority for our health care System. Through our Community Benefit process, we are able to determine how we can better assist

those around us by offering classes and programs that match with our community’s health needs. We strive to meet these needs whether it’s inpatient, outpatient or providing care as needed. Evaluating and consistently reviewing this pro-cess is critical to positively impacting the health of those who choose Houston Healthcare. We realize we can’t be all things to all people, but impacting one life at a time is a very good start.

Our Board of Directors and our Executive Team are com-mitted to raising the bar for healthcare in our community. We continue to look for ways to bring advanced health care closer to home. Thank you for your support of our health care system, our employees and our community.

Cary MartinChief Executive Officer

Ways We Benefit Our CommunityAthletic Training Program 2,296 student athletesSpring sports physicals, Saturday Sports Injury Clinics, and sports medicine education

SeniorCare Program 6,586 active Senior adultsOngoing exercise and health education

Perinatal Coalition 2,663 womenCase management and interpretation services for non-English speaking women with high risk pregnancies, gestational diabetes, and case management

Children & Baby Education 2,140 family membersEducation classes on early pregnancy, breastfeeding, older sibling roles, childbirth education, grandparenting, and baby care

Diabetes Education 3,837 individualsSelf-management education and support

Community Health Improvement 7,916 individualsGlucose and blood pressure screenings, influenza immunizations, community and industrial health fairs, vulnerable population outreach, and health education

Financial ReportAnnual StatsAdmissions (excluding newborns) 16,050Patient Days (excluding newborns) 71,449Emergency Department Visits 80,386Surgeries and Endoscopies 15,638Births 1,988Med-Stop Visits 47,221EMS Trips 26,788

Financials (audited)Net Operating Revenue $ 227,030,000Expenses $ 230,643,000

Net Operating Margin $ (3,613,000)Non-Operating Revenue $ 11,023,000

Net Funds* Invested $ 7,410,000Invested for Capital Improvements, Expansions,

Renovations, New Technology, Information Systems, New Equipment and Community Service

Indigent, Charity Care and Bad Debt $ 77,530,000

*Excess revenue over expenses

Mission & Vision

How We Benefitted Our Community in 2014

Charity Care at Cost $ 4,442,518Bad Debt at Cost $18,419,268Unreimbursed Medicaid Cost $ 4,281,640Medicare Shortfall $ 8,201,804

Total Financial Cost/Shortfall $35,345,230

Community Health Improvement $2,507,893Services Health Education, Community Based Clinical Services, Health Care Support Services

Health Professions Education $1,173,488Clinical Students, Other Health Professionals Education, Funding for Professional Education

Subsidized Health Services $138,719Behavioral Health

Financial and In-Kind $454,896Contributions Cash and In-Kind Donations, Grants, Cost of Fundraising for Community Programs

Community Building Activities $248,447Economic Development, Community Support, Coalition Building, Community Health Improvement Advocacy, Workforce Development

Community Benefit Operations $265,805Community Needs/Health Assets Assessment and Other Resources

Total Other Community Benefit $4,789,248

Grand Total for 2014 $40,134,478

MissionTo improve the healthcare of the communities we serve by providing patient-focused, high quality, cost-effective services while promoting health and wellness.

Vision“A caring health system dedicated to excellence - today and tomorrow.”

Board of Trustees

Sonny Watson Chairman

Houston Healthcare System

Our Family of ServicesHouston Medical Center • Perry Hospital

Houston Heart Institute • The Surgery Center • Pavilion Diagnostic Center • Pavilion Family Medicine Center Pavilion Rehab Center • Houston Lake Rehab

Houston Lake Med-Stop • Lake Joy Med-Stop • Pavilion Med-StopHealth Connections Cardiac & Pulmonary Rehab • Physician Referral & Health Information

Fred Graham*Vice-Chairman

Houston Healthcare System

Daniel A. Deighton, MD*Chairman

Houston Hospitals

Arthur Christie Vice-Chairman

Houston Hospitals

Ivan Allen, EdD Houston Healthcare

System

Ed DysonHouston Hospitals

Jack RaglandHouston Healthcare

System

Tommy Stalnaker Houston Hospitals

Larry D. Stewart, Jr., MD, FAAP

Houston Hospitals

Larry Warnock Houston Healthcare

System

Trudie Warren Houston Healthcare

System

D. Scott Westmoreland, DVM

Houston Hospitals

* Serve on both Houston Healthcare System and Houston Hospitals Boards

1601 Watson BoulevardWarner Robins, Georgia 31093