PELLA REGIONAL HEALTH CENTER

PELLA REGIONAL HEALTH CENTER (HEALTH CENTER) IS A 25-BED ACUTE CARE HOSPITAL LOCATED IN PELLA, IOWA. THE HEALTH CENTER ALSO OPERATES CLINICS IN PELLA, SULLY, KNOXVILLE, PRAIRIE CITY, BUSSEY, AND OTTUMWA, IOWA. ANNUALLY, THE HEALTH CENTER HAS OVER 1,200 ADMISSIONS, OVER 600 LIVE BIRTHS, OVER 8,900 EMERGENCY RELATED VISITS, AND PERFORMS OVER 6,800 SURGERIES.THE HEALTH CENTER PROVIDES CARE TO PATIENTS WHO MEET CERTAIN CRITERIA UNDER ITS CHARITY CARE POLICY WITHOUT CHARGE OR AT AMOUNTS LESS THAN ESTABLISHED RATES. BECAUSE THE HEALTH CENTER DOES NOT PURSUE COLLECTION OF AMOUNTS DETERMINED AS CHARITY CARE, THEY ARE NOT REPORTED AS REVENUE. THE AMOUNT OF CHARGES FOREGONE FOR SERVICES PROVIDED UNDER THE HEALTH CENTER'S CHARITY CARE POLICY WAS APPROXIMATELY $1,090,000 FOR THE YEAR-ENDED DECEMBER 31, 2023. TOTAL DIRECT AND INDIRECT COSTS RELATED TO THESE FORGONE CHARGES WERE $600,000 AT DECEMBER 31, 2023, BASED ON AN AVERAGE RATIO OF COST TO GROSS CHARGES.THE 340B PROGRAM OFFERS ELIGIBLE HEALTH CARE PROVIDERS ACCESS TO LOW-COST MEDICATIONS, WHICH ALLOWS THEM TO EXPAND THE TYPE AND VOLUME OF CARE THEY PROVIDE TO THE MOST VULNERABLE PATIENT POPULATIONS. THE 340B PROGRAM REQUIRES DRUG MANUFACTURERS TO PROVIDE THE OUTPATIENT DRUGS TO ELIGIBLE HEALTH CARE ORGANIZATIONS OR COVERED ENTITIES AT SIGNIFICANTLY REDUCED PRICES. THE HEALTH CENTER IS AN ELIGIBLE HEALTH CARE ORGANIZATION AND IS PARTICIPATING IN THE PROGRAM. THE REVENUE GENERATED FROM THIS PROGRAM WAS APPROX. $7,323,000 AND THE RELATED EXPENSES WERE APPROX $4,924,000 FOR 2023.