VTH Board Minutes 5/28/2020

Updates: Info Only

Personnel Updates

• Departments are being asked to decrease their hiring plan by 20%.  VTH positions are likely to be approved due to the presence of self-generated revenue.  Additional personnel discussion below.
• Student workers – VTH has made offers to 33 student workers/32 have accepted.  One is unsure of availability.  An additional student has submitted an application and would like to be hired into ER/ICU.  Any student that already held an hourly position, including new VM4 students, may do so.  No student employee may work more than 40 hrs per week as OT will not be authorized.
• Staff reviews due June 19^th.

Facilities

• Presuming the State of IL is in phase 3 of the Reopen IL plan, construction services projects will resume; dentistry, lameness arena, wildlife ambassador residence, LAC ward doors.
• Capital project – Expansion – on-hold pending campus approval
• All workers in VTH will be required to follow rules regarding wearing of face coverings and social distancing when possible. 
• All workers in the VTH have been instructed to park in designated work vehicle areas, not client or lot spaces.
• SAC Lobby Mitigation Plan – contracted for design

Programs

• Telemedicine – Primary Care, Neurology, and Radiation Oncology have implemented plans.

Other

• Dean’s communication (dated May 26) RE: return to Hands On clinical rotations.  Sets new timelines for development of plans: VCM discussion June 30, plans finalized July 10.  What’s needed to meet these?
• COVID-19 Measures – Face covering, contact journaling, temperature monitoring, social distancing, room occupancy compliance, client access to building.  Compliance is expected.  Measures to address non-compliance include directly communicating expectation to person not in compliance and offering details of solution, reporting non-compliance in writing to employee’s supervisor/VTH Director/VCM Dept Head, reporting non-compliance to Human Resources if further action is warranted.
• Plexiglass screens for admissions (SAC, LAC, VMSC)
• Plan for having clients enter building will be location specific.  VMSC and LAC may have sufficient room to allow controlled access to facilities.  SAC will continue curb-side service due to space limitations and is looking into acquiring bench seating appropriately spaced in center island.

3:00 Proposed Change to Deposit Policy

• There have been many instances when clients have left ½ of the high end of the estimate as the deposit, then never paid the balance of the invoice.  It is being proposed to change the policy to require that 100% of the low end of the estimate be deposited when an animal is admitted as an inpatient.  This reduces the risk for non-receipt of payment for services provided.  Motion was passed with Board Approval.

Discussion RE Laundry Service

• The VTH contracted an external laundry vendor for a centralized laundry service last year.  To date, the service has been significantly over the expected budget.  Additionally, the quality of service has been in question due to items being returned in an unsatisfactory manner.  Preliminary evaluations indicate that cost of Cintas services will average ~$433K.  Budgeted cost for in-house laundry service, including 2 FTE employees is averaged at ~$223K annually.  Conversations with Cintas are underway.  VTH will continue to explore options for moving to in-house process.

Capital Requests

Review FY20 Requests/Purchases

• Pharmacy Clean Room - $100K committed; college matching.  Actual cost is $350K – identifying additional funds for delta
• Equine Lameness arena - $90K, moving forward with GIK for some of the labor to install electricity.
• Purchased – lift tables (2), pharmacy cameras, LA chute, soft tissue scope tower system, SA ventilator, power injector, ortho scope tower system.
• Not purchased/not needed – LA ventilator, LA anesthesia machine
• On hold pending project – Equine ortho surgery table, surgery light
  
  

FY21 Requests/Approval for capital

• EZ Scan ultrasound unit – FARMS ($18K) – requested 2/approved 1
• Echo (E9-5) – Cardio ($95) – approved, increase cost of echo exam by $18.79 to $315.
• 3 telemetry packs – ECC ($10K), approved
• Lift gurney – ECC ($5,700), approved
• NOVA machine – VTH ($18K), approved, support to locate outside ER/managed by Clin Path
• Upgrade PACS – Imaging ($24,105), approved
• Inventory Tracking System – VTH Storeroom ($50K), approved
• X-ray plate reader and generator – Dentistry ($17.5K), not-approved pending evaluation of renovation project budget
• Upgrade Computer – Nuclear Medicine ($36.7K), approved after discussion
• Suntech Cardell monitors – ECC, not approved, will used PD funds
• Coagulation machine – ECC, not approved, explore gift fund option
• Mobile T-seal – Blood bank, not approved, explore gift fund option
• Compounding hood – Pharmacy, not approved, explore gift fund option
• KL1 Tablet counter – Pharmacy, not approved

Other Expenses Approved

• CVT Upgrades $~$85K
• CSR equity adjustment $25K
• CVT equity adjustment $180K (year-3)
• Subsidy vice Kamerer ~$23.3K
• SA lobby renovation $150K
• Ophtho relocate $150K
• VMSC Camera installation $16.5K
• Radiation oncology intern $35.5K
• Zoo Med technician $37K

Budget

Overall:

• The VTH recognized a $392,582 operating loss for the month of April due to reduced service caused by COVID-19.

Revenue:

• Revenue for the month of April was $919,782.43 for VTH operations.  This is an unfavorable variance for the month of $707K.
• YTD revenue has been favorable compared to budget – total favorable variance of $233,549.
• Revenue/registrations were unfavorable in most areas compared to prior year due to reduced service. See registrations and revenue per service for additional details.

Expenses:

• Operating expenses were $4k under budget for the month, but over budget by $2.6M YTD (this does not include state and plant funding to offset large anticipated expenses).

• • There is favorability compared to budget for academic and staff salaries for the month due to vacancies.
  • There is unfavorability in wage expense this month due to $12,600 in front desk wages ($6K over budget) and $23,600 in VetTech OT ($7K over budget). Prior year comparisons are showing favorability for wages due to decrease in use of locums in FY20 – offset by the increased academic salary expense.
  • Supply and Cost of Goods Sold expense is favorable for the month, as expected due to increased expense planning for COVID-19.
  • Services are favorable this month and remain favorable YTD comparative to budget.
  • Animal disposal expense was unfavorable this month due to an invoice catch-up from March.
  • Facilities repairs and maintenance costs are higher than budget for the month by $27K due to a deposit payment for the lameness arena.
  • CE expense is favorable this month by $8K due to travel restrictions caused by COVID-19.
  • Equipment cost is unfavorable this month due to $33K JD tractor, $69K surgery equipment for Dr. Scott (plant), $36K arthroscopy equipment (affiliate), and $30K in expense for the expansion project (plant & affiliate).
  • Equipment/software maintenance shows an unfavorable variance of for the month due to the following service agreement expenses: $13K monthly MRI, $37K LA radiology agreements to Phillips Electronics, and $15K for the Vivid E95 ultrasound.
  • The unfavorable variance in other/misc this month is due to laundry expense of $14K and $2400 for excavating.

Proposed 2% price increase for FY21

Personnel (Executive Session) 

• Dr. Sharon Wagner has tendered her resignation effective end of May