ColumbiaDoctors’ financial performance in the third quarter of FY 2017 made significant improvements over the same period in FY 2016, with a 7.6% increase in revenue collected over the same period last year, according to Leyland Joseph, senior director of finance for the faculty practice
Major financial indicators:
- The $68.7M collected in March was the second highest amount collected this year, second only to the ColumbiaDoctors record $71.4M collected last August.
- Overall, FY17 collections are 8.5% higher compared to the same time period last year.
- Our FY17 budgeted cash collection growth is 8.7%.
Collections per clinical FTE in March were also significantly up over the same time last year, by 7.3% (this excludes fellows, midlevel practitioners and contract physicians).
Revenue cycle management has generally improved over FY16, with gross charges up 12.7%, wRVUs up 5.0%, gross revenues up 8.6%, and payments per RVU up 3.4%. Credit balances over 60 days are down by 45.8%. Average days in accounts receivable remained the same at 48, although the percentage of accounts in A/R more than 180 days went up slightly to 26.8%.
Faculty Practice Operating Budget
An updated FY 2018 operating budget for the FPO has been approved by the Finance Committee and the Board of Governance. This budget factors in cost considerations in preparation for the new electronic health record, such as TIN consolidation.
The Finance Committee has also voted to revoke the FPO tax rebate program, effective July 1, 2017.
There is good news on the medical malpractice premium front. Budgeted premium-class rates for FY18 are 6.5% lower compared to the current year.