Present:  Directors  Daugherty, Heinisch, Dubin, Richter, Tobias, Kirby, Kloster

Absent Directors:  None

Also Present:  P. Anderson,  Scavotto, Bockman

Chairprson Heinisch called the meeting to order at 7:05 am.

A quorum was established and the agenda and minutes of the previous meeting were approved as submitted by acclamation (unanimous).

 

Old Business: None

New Business

 Scavotto reviewed the May and June financials. May was a great performance and June’s was just the opposite. June’s revenue mix was a combination of low points for this fiscal year – lowest Medicare volume, lowest private pay volume, highest Medicaid volume. As a result, revenue were down over May’s by approximately $112k. Expenses were up $30k over May’s level, largely due to increases in hours paid for benefit hours. Hours worked have remained fairly constant and consistent over the fiscal year. For July, Medicare volume remains weak; we remain dependent upon discharge activity at Kish Hospital; when Kish is slow, so are we. We are not aware of any dissatisfaction with our Medicare rehab program at either the hospital or physician level.


The Board discussed the ramifications and strategic significance of exploring a Supportive Living initiative with the DeKalb County Housing Authority. There is some financial risk in developing the application should the moratorium not be lifted. However, without submitting an application, DCRNC would have no standing at IPA and, once the moratorium is lifted, may lose out to competing applications. There are two potential competitors, both of whom were discussed. A potential joint venture with one of the competitorts was also presented. There was a discussion of the fees involved. MPA projects a range of $20-$25k to develop the application; there will be additional fees for architectural and engineering services. Bockman is proceeding on subdividing the land and securing the necessary zoning and parcel approvals. Scavotto is to prepare a financial model and a list of estimated costs, which will be shared with the Housing Authority. Scope of the project remained at $6.0 million, maximum, with a probable equity contribution of 10 percent, assuming HUD financing. Scavotto was directed by the Board on motion by Tobias (seconded Kirby/Dubin, unanimous) to submit the SLF application to IPA.

Next Meeting

September 29, 2004

Meeting adjourned at 8: 10 AM. (motion Daugherty, second Tobias)

Respectfully submitted.

Patricia Anderson

Recording Secretary