Bolstered by its business link with the Hamot Medical Center in Erie and the University of Pittsburgh Medical Center (UPMC), Kane Community Hospital (KCH) now has a healthy “bottom line.”
This is the “good news” message delivered Monday by KCH Chief Executive Officer (CEO) Gary Rhodes in his annual report to the community.
According to figures released by Rhodes, KCH ended its fiscal year June 30 with a net income of $1,353,181. This is a “turn-around” of $1.56 million from the previous fiscal year that showed a loss of $209,000.
“This is the best year our hospital has ever had since I’ve been here,” Rhodes said during his presentation Monday at a meeting of the Kane Rotary Club. Rhodes began work at the local hospital in 1987 and has been the CEO since 1996.
KCH two years ago became the first “controlled affiliate” of the Hamot Health Foundation.
In February of this year, KCH became “integrated” into UPMC when the giant health-care organization formed a bond with Hamot.
UPMC, based in Pittsburgh, is the largest employer in Western Pennsylvania. Hamot is the largest medical facility to link with UPMC.
“We’re a UPMC hospital like any other UPMC hospital,” Rhodes said. “The only difference—we kept our name.”
Rhodes praised the KCH board for its vision and bold move to affiliate with Hamot/UPMC.
“It was a pretty courageous decision,” Rhodes said in commenting on the action by the KCH board. “It was definitely the right thing to do.”
The major improvement in the KCH financial picture from 2009-10 to 2010-11 is due in large part to the KCH link with Hamot/UPMC.
Rhodes said the affiliation provides KCH with expanded resources and cost-saving avenues for purchases of supplies and equipment.
He said “little by little” KCH is “integrating” with the Hamot/UPMC system. Rhodes said the “integration” would be “a three- to four-year process.” He said “a lot” of services offered by KCH “would not be possible” without the link with Hamot/UPMC.
“Our vision is to be recognized in the communities we serve as the provider of superior patient care and service, and to provide access to nationally recognized specialty care through our affiliation with UPMC/Hamot,” Rhodes said.
The 31-bed Kane hospital includes an “intensive care unit (ICU)” and an emergency room that has physicians on staff around-the-clock.
The hospital also includes “primary care” clinics in Kane, Mt. Jewett, Sheffield, Johnsonburg and Ridgway. A new clinic in Mt. Jewett is planned for West Main Street and will open in 2012.