North Texas Medical Center Board of Directors President Don Wallace administered the oath of office to new and returning board members during the board meeting Monday, May 18. Incumbent Jim Lovett took the oath of office for a four year term. Appointed member Jerry Metzler and write-in candidate members Kenneth Arterbury and Stephen Harlow took the oath of office for a three year term.

Departing board members reflected on past board service. Judy Barnes said that a lot of good work has come out of the last few years and that she was pleased with the hospital’s administration and financial performance.

Barnes said it was sad for her to step off the board as she has been involved with the Gainesville District Hospital for 40 years. Barnes was previously the director of nursing for the hospital.

Dave Sanders said that the hospital is going in a positive direction and reminded the board that the hospital auditor said NTMC is currently one of the top hospitals in the state, financially and otherwise.

Ron Patterson of R. Patterson and Associates, a hospital consultant, gave a summary of the board’s self-evaluation survey in which board members rated themselves independently and also rated the board as a whole. The survey compares the board’s perception of how the board is functioning.

The survey showed that board performance has increased and personal performance has increased. There is less dissension and confusion among the board from the past three years when the previous survey was taken.

NTMC’s insurance broker Brian Stephens presented the bids he sent to multiple companies for employee health insurance. The hospital will be retaining Aetna for the health and dental insurance and will be moving the life insurance and the long and short-term disability products to Cigna. Stephens said the hospital received a lot of good quotes due to the improved claim-loss ratio.

Board members voted unanimously to approve the revision of trust for payment of health insurance premiums. This is mainly for IRS purposes.

Board members discussed the review letter and request from Allen Salem, MD who is now practicing out-of-state. Board member Darrell Comer reviewed Salem’s request since the last board meeting and said that Salem’s financial responsibilities were clearly outlined in his contract and that the hospital made a substantial investment to accommodate Salem. The board will approach the APRN Company to see if they can directly lease the sleep lab to them instead of subletting the lab through Salem. However, Salem will still be responsible for the office space in the contract. The item was then tabled until the next board meeting when the steps outlined could be taken and then reviewed.

The board unanimously approved the amendment to NTMC Board of Director’s Bylaws of the Gainesville Hospital District.

The Financial Statement Summary for the month ended April 2009 shows a Gross Patient Revenue of approximately $8,015,000 and a Net Operating Margin of 22 percent. Expenses for the month were $2,352,000. The days of cash on hand is a 193 days.

The board quality committee met May 6 and is preparing for the hospital’s survey by the Joint Commission.

NTMC Chief Nursing Officer Gayle Prybutok reported that nursing services continues to work to improve the hospital’s response to disaster situations.

Community Relations Director Gayla Blanton deferred her report until the next board meeting.

NTMC Foundation Director Dennis Noblett reported the retirement of three board members from the Foundation and the addition of four new members.

Retired board members are Lois Essenburg, Mitzi Underwood and Vernon Austin. New board members are Heather Warren, Kelly Corbett and Frank Mannick. The NTMC Auxiliary will choose a member to be the fourth board member at their next meeting.

Noblett reported that the Foundation received a small donation from the Annis Crawford estate and he is working with the estate executor.

Noblett reported that the Foundation has fared fairly well in the stock market decline and that while most non-profits lost as much as two-thirds of their portfolio, the Foundation has only lost about 19 percent of their portfolio.

New officers for the Foundation are President Jim Robertson, Vice-president Barbara Hoover, Treasurer Marty Jarboe and Secretary Clyde Yeatts.

Noblett reported they have set goals for the new year and the next event will be the Halloween Hustle on Oct. 31.

NTMC Chief of Staff Dr. Robert McLeroy reported that the medical staff is working on quality measures, new bylaws and improving the hospital and staff relations.

NTMC Chief Executive Officer Steve Porter reviewed the Monthly Human Resources Report with the board. The rolling annual turnover rate of hospital employees was at 13.1 percent at the end of April. Porter said that this is much better than the national average which is 21-22 percent. Porter attributed the low turnover rate to re-working the benefits package and improving the salary structure for hospital employees.

Porter reviewed the Health Care Reform Alert article placed in the board member’s packet. The health care reform may change the way Medicare and Medicaid are looking at reimbursement for the future.

Porter gave notice of the election of officers at the June 15 NTMC board meeting.

Porter did not give a board update.

Board members unanimously approved all consent items which include the minutes of the regular board meeting April 28, minutes of a special session to canvass returns of election held Saturday, May 9, financial statement for April 2009, Home Health Agency Operations and Policy and Procedures and NTMC Patient/Life Safety Program.

All board members attended the meeting except Earl Russell III.