1 Appropriations Committee February 21, 2007. 2 UCHC’S Primary Mission: Education and Research 3 Schools: –Medical School (320 students) –Dental School

Appropriations CommitteeFebruary 21, 2007

3 Schools: Medical School (320 students) Dental School (160 students)Graduate School in bio-medical sciences (380 students)

Research: More than $90 million per year of innovative research is conducted and discoveries are translated into advances in patient care e.g. cancer vaccines, hormone therapies for Osteoporosis, new materials for Dental Implants, and Stem Cell research.

Residency Training: For approx 600 residents/year who train in local hospitals

John Dempsey Hospital (JDH) and UConn Medical Group (UMG), the multi-specialty faculty practice, are sites for learning and represent key elements in attracting talented faculty who want to teach, do research and provide patient care. (Time/reimbursement pressures mean that fewer community physicians now give time to teaching.)

UCHCS Primary Mission: Education and Research

A Worthy Investment

Approximately 35% of School of Medicine graduates practice in the State, as do 46% of School of Dental Medicine graduates.

Dental School is historically #1 or #2 in the country.

Total minority enrollment has increased from 19.8% in Fall 1997 to 26.9% in Fall 2006.

School of Medicine national leader in innovative curriculum.

JDH is winner of Top 100 Award two years in a row (2005 and 2006).

Although Medical School is one of the smallest medical schools in the country (ranking in the 15th percentile for number of medical students)SOM ranks 11th among 29 peer public medical schools in per dollar sponsored research funding per faculty memberOur GME program ranks in the 55th percentile for numbers of students benchmarked against all public medical schools.

The Health Center has 5200 employees (71% union, 12% faculty, 3% managerial and 14% residents/graduate assistants/student payroll) and generates 11,371 other jobs in the state economy and $938 million in Gross State Product.

Service to Medicaid PatientsAmong the top 5 hospitals in state in Medicaid inpatient days as a percentage of total inpatient daysLargest single provider of dental services to Medicaid clients and the under-and un-insured61% of patient visits to the UCHC dental clinic in Farmington are Medicaid clients70% of all student/intern/resident dental care activity is service to Medicaid clients

Clinical Service Collaboration:Department of Public Health, Department of Correction, Department of Mental Health & Addiction Services, Department of Veteran Affairs (Rocky Hill), Department of Mental Retardation

Community Service:South Park Inn Medical Clinic (Hartford)South Marshall Street Homeless Clinic (Hartford)Connecticut Poison Control CenterYMCA Adolescent Girls Medical Clinic (Hartford)Camp Courant Dental Screening ProgramMigrant Worker ClinicCovenant House (Willimantic)UCHC: A Resource to the Community and the State

Trained physicians and staff of Waterbury and St. Marys for regional cardiac surgery and interventional cardiology program.

Trained staff and assisted ECHN in establishing a Level II nursery at Manchester Hospital.

Pediatric dentistry program at CCMC.

Statewide Neonatal Transport Program and Regional Neonatal Intensive Care Unit. In the past 18 months, premature babies came to JDH from 109 Connecticut towns.

Provide workforce at Burgdorf Clinic.

Provide cardiac perfusionist services to St. Marys and Waterbury Hospitals.

Regional dental emergency room service.

Training site for nursing, allied health schools.

UCHC: A Resource to Other Hospitals

State Support Is provided to the academic (education and research) enterprise only. There are no state operating dollars (block grant and fringe benefit support) in the hospital15.9% of the Health Center budget is state supported84.1% comes from other revenues (clinical, research, tuition, philanthropy)

Chart1

0.2256

0.2053

0.1816

0.1725

0.1657

0.1624

0.1587

Requested FY 20080.1737

Requested FY 20090.1806

STATE SUPPORT AS A PERCENT OF TOTAL EXPENSES

Percent State Support

FY 1996FY 1997FY 1998FY 1999FY 2000FY 2001FY 2002FY 2003FY 2004FY 2005FY 2006Estimated FY 2007Requested FY 2008Requested FY 2009

22.56%20.53%18.16%17.25%16.57%16.24%15.87%

17.37%18.06%

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11

JOHN DEMPSEY HOSPITAL OUTPATIENT VISITS BY FISCAL YEAR

00


126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766

230000FY 2004 Budget


126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits


126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits


126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits


00

00

00

00

00

00

00

00

00

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Fiscal Year

Percent

UNIVERSITY OF CONNECTICUT HEALTH CENTER STATE SUPPORT AS A PERCENT OF TOTAL EXPENSES

Since FY 2000, $74 million in cost improvements have been realized through a combination of revenue enhancement, cost containment and cost reduction activities. Since FY 2002, the hospitals financial success enabled it to generate funds sufficient to balance the Health Centers budget.University of Connecticut Health CenterExcess/(Deficiency) by Fiscal YearBefore Special Appropriation in FY 00 and FY 01John Dempsey HospitalExcess/(Deficiency) by Fiscal Year

Chart2

-12353851

-12198898

-7186659

129479

253082

574210

406605

-6873686

Excess-Dif Graph

FY 1998FY 1999FY 2000FY 2001FY 2002FY 2003FY 2004FY 2005FY 2006FY2006 Budget

(53,122)(12,353,851)(12,198,898)(7,186,659)129,479253,082574,210406,605(6,873,686)655,320

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Excess-Dif Graph

0

0

0

0

0

0

0

0

Fiscal Year

Excess/(Deficiency)

University of Connecticut Health Center EXCESS/(DEFICIENCY) BY FISCAL YEARBefore Special Appropriation in FY 00 and FY 01

Opp Reg

UCONN Health Center Cost Improvement Program

Since Fiscal Year 2000, $74 million in cost improvements have been realized through a combination of revenue enhancement, cost containment and cost reduction activities (e.g. including workforce reductions, procurement savings initiatives, and vacant position elimination).

JDH Bottom Line

FY 1999FY 2000FY 2001FY 2002FY 2003FY 2004FY 2005FY 2006FY 2006 Budget

(12,353,851)(13,869,271)(5,579,333)1,122,0703,432,3193,275,8638,134,7965,563,5658,151,817

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JDH Bottom Line

0

John Dempsey Hospital/Dental Clinics EXCESS/(DEFICIENCY) BY FISCAL YEAR

JDH Adm by FY

-12353851

-13869271

-5579333

1122070

3432319

3275863

8134796

5563565

Fiscal Year

Excess/(Deficiency)

John Dempsey Hospital EXCESS / (DEFICIENCY) BY FISCAL YEAR

JDH OP Visits

FY 1996FY 1997FY 1998FY 1999FY 2000FY 2001FY 2002FY 2003FY 2004FY 2005FY 2006FY2006 Budget

99/20007,3736,7806,5656,5276,9237,5188,5808,9409,4079,8369,82610,180

6.1%8.6%14.1%4.2%5.2%4.6%-0.1%3.5%

Admissions3,073

# of months4

9219

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JDH OP Visits

7373FY 1996

6780-0.0804285908

6565-0.0317109145

6527-0.0057882711

69230.0606710587

75180.0859453994

85800.1412609737

89400.041958042

91300.0212527964

9130FY 2004 Budget

-8.00%

-8.00%

FY 1996 FY 1997 FY 1998 FY 1999 FY 2000 FY 2001 FY 2002 FY 2003 FY 2004 Proj. FY 2004 Budget

Fiscal Year

Admissions

JOHN DEMPSEY HOSPITALADMISSIONS BY FISCAL YEAR

Research Awards

7373FY 1996

6780-0.0804285908

6565-0.0317109145

6527-0.0057882711

69230.0606710587

75180.0859453994

85800.1412609737

89400.041958042

91300.0212527964

9130FY 2004 Budget

-8.00%

-8.00%


Fiscal Year

Admissions


State Support

00

00

00

00

00

00

00

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-8.00%

-8.00%

Percent

Fiscal Year

Admissions



FY 1996FY 1997FY 1998FY 1999FY 2000FY 2001FY 2002FY 2003FY 2004FY 2005FY 2006FY 2006 Budget

# Of Visits126,748132,553140,588138,711168,720203,099227,099241,597255,909254,000

% Inc/(Dec)4.6%6.1%-1.3%21.6%20.4%11.8%6.4%5.9%5.1%

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11


Fringe Benefits

00


Academic Gap

126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766



Academic Gap Graph

126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits


Academic Gap Drivers (2)

126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits


Appropriation Chart (3)

126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits


00

00

00

00

00

00

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percent

Fiscal Year

Visits

JOHN DEMPSEY HOSPITALOUTPATIENT VISITS BY FISCAL YEAR

FY 1996FY 1997FY 1998FY 1999FY 2000FY 2001FY 2002FY 2003FY 2004FY 2005FY2006FY2006 Budget

99/200042,496,63644,783,89148,038,70849,656,15357,843,33369,094,66880,781,65496,229,65498,825,83392,520,77590,072,48795,000,000

7.3%3.4%16.5%19.5%16.9%19.1%2.7%-6.4%-2.6%2.7%

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UNIVERSITY OF CONNECTICUT HEALTH CENTERRESEARCH AWARDS BY FISCAL YEARNote:This graph includes full grant amount (even if multi-year) in the year of the award

00

00

00

00

00

00

00

00

00

00

Fiscal Year

Research Awards

UNIVERSITY OF CONNECTICUT HEALTH CENTERRESEARCH AWARDS BY FISCAL YEARNote: This graph includes the full grant amount (even if multi-year) in the year of the award

FY 2000FY 2001FY 2002FY 2003FY 2004FY 2005FY 2006FY 2007FY 2006FY 2006

72,524,33675,307,72874,102,85074,231,21373,748,84473,238,77276,161,41776,920,245

3.84%-1.60%0.17%-0.65%-0.69%3.99%1.00%

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54.50

48.09302325583.6069767442

42.34470691166.0552930884

42.77237657718.2276234229

47.602646602311.5973533977

46.674546842313.1254531577

48.98761938515.212380615

48.019218077816.4807819222

49.343339355818.5566606442

49.320876984220.6791230158

51.462294543824.0377054562

48.837050531225.1629494688

47.581738314526.7182616855

46.884026186428.2159738136

From FY 1991 to FY 2004, the State Appropriation will have increased at a 3.0% compounded annual rate of increase in current dollars, but will have actually declined by $7.6 million in Medical Care CPI inflation adjusted dollars.

Governor Recommended

(B)

(A)

(A)

(A)

(A) Operating budget excludes fringe benefits related to State Appropriation and, from FY01 forward, collective bargaining from the State salary adjustment account for comparison with prior years.(B) Excludes one-time appropriations for 27th pay period ($2.6 million) and the Deficit Appropriation of $12.5 million in FY 00 and $4.4 million in FY 01.

(A)

(A)

(A)

(A)

State Appropriation adjusted for CPI Medical Care Services Inflation

State Appropriation in Current Dollars

University of Connecticut Health CenterUnrestricted State Appropriation - Fiscal Years 1991-2004

$75.1

$74.3

$74.0

$75.5

$70.0

$67.9

$64.5

$64.2

$59.8

$59.2

$51.0

$48.4

$51.7

$54.5

54.50

48.09302325583.6069767442

42.34470691166.0552930884

42.77237657718.2276234229

47.602646602311.5973533977

46.674546842313.1254531577

48.98761938515.212380615

48.019218077816.4807819222

49.343339355818.5566606442

49.320876984220.6791230158

51.462294543824.0377054562

48.837050531225.1629494688

47.581738314526.7182616855

46.884026186428.2159738136



(B)

(A)

(A)

(A)


(A)

(A)

(A)

(A)




$75.1

$74.3

$74.0

$75.5

$70.0

$67.9

$64.5

$64.2

$59.8

$59.2

$51.0

$48.4

$51.7

$54.5

00

&A

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UNIVERSITY OF CONNECTICUT HEALTH CENTERSTATE APPROPRIATION w/o Fringe Benefits BY FISCAL YEARNote: Does not include special Deficit appropriations of $12.5M in FY 2000 and $4.4M in FY 2001

54.50

48.09302325583.6069767442

42.34470691166.0552930884

42.77237657718.2276234229

47.602646602311.5973533977

46.674546842313.1254531577

48.98761938515.212380615

48.019218077816.4807819222

49.343339355818.5566606442

49.320876984220.6791230158

51.462294543824.0377054562

48.837050531225.1629494688

47.581738314526.7182616855

46.884026186428.2159738136



(B)

(A)

(A)

(A)


(A)

(A)

(A)

(A)




$75.1

$74.3

$74.0

$75.5

$70.0

$67.9

$64.5

$64.2

$59.8

$59.2

$51.0

$48.4

$51.7

$54.5

54.50

48.09302325583.6069767442

42.34470691166.0552930884

42.77237657718.2276234229

47.602646602311.5973533977

46.674546842313.1254531577

48.98761938515.212380615

48.019218077816.4807819222

49.343339355818.5566606442

49.320876984220.6791230158

51.462294543824.0377054562

48.837050531225.1629494688

47.581738314526.7182616855

46.884026186428.2159738136



(B)

(A)

(A)

(A)


(A)

(A)

(A)

(A)




$75.1

$74.3

$74.0

$75.5

$70.0

$67.9

$64.5

$64.2

$59.8

$59.2

$51.0

$48.4

$51.7

$54.5

00

00

00

00

00

00

00

00

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The increase over a five year period FY 01 to FY 06 has been 1.1%. The State Appropriation has essentially remained level for seven consecutive years. During the same period, the Health Center survived financially by focusing on increasing other revenue sources.

Fiscal Year

State Appropriation

UNIVERSITY OF CONNECTICUT HEALTH CENTERSTATE APPROPRIATION BY FISCAL YEARNote: Does not include special Deficit appropriations of $12.5M in FY 2000 and $4.4M in FY 2001

FY 1996FY 1997FY 1998FY 1999FY 2000FY 2001FY 2002FY 2003FY 2004FY 2005FY 2006FY 2007FY 2008FY 2009

# Of Visits

% Inc/(Dec)

22.56%20.53%18.16%17.25%16.57%16.24%15.87%17.37%18.06%

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00


126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766



126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits


126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits


126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits


0

0

0

0

0

0

0

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&LState Support as a percent of total expenses continues to decrease - down from 22.5% in FY 01 to 15.9% in FY 07

Fiscal Year

Percent


John Dempsey Hospital (JDH)

Comparative Analysis of Fringe Benefit Cost

JDH versus Connecticut Hospitals

Source: Connecticut Hospital Association (CHA) FY 2004 and FY 2005 Data

Fiscal Year 2004Fiscal Year 2005

CHAJDHDifferenceCHAJDHDifference

Fringe Benefit Percent as a total of Salary & Wages27.17%34.07%6.90%27.39%38.72%11.33%

JDH Salary & Wages$65,261,010$71,395,656

Fringe Benefit Percent Difference6.90%11.33%

Additional Fringe Benefit Cost$4,503,010$8,090,875

Per FTE ComparisonCHAJDHDifferencePercentCHAJDHDifferencePercent

Salary & Wages$56,278$61,045$4,7678.47%$59,011$63,674$4,6637.90%

Fringe Benefits$15,293$20,797$5,50435.99%$16,164$24,657$8,49352.54%

State Support as a percent of total expenses shows a declining trend - decreases from 22.6% in FY 01 to 15.9% in FY 07

00

00

The Impact in FY 2005 of this fringe benefit differential is an additional expense of $8.1 million

John Dempsey Hospital

Connecticut Hospital Association

Percent

JOHN DEMPSEY HOSPITAL Comparison of Fringe Benefit Cost to CHA Member Hospital's Average

University Of Connecticut Health Center

Summary of Sources and Uses of Funds

Academic GapAdjusted for

Fringe Benefits

FiscalFiscalFiscalFiscalFiscalFiscalFiscalFiscalFiscalFiscal

YearYearYearYearYearYearYearYearYearYear

200220032004200520062007 Budget2007 Budget200720082009

ActualActualActualActualActualBudgetProposed BudgetProposed Budget

Academic Revenues

1Tuition & Fees7,002,4358,531,6479,445,58611,061,13812,520,33014,917,32014,917,32014,917,32015,673,01016,445,977

2Research64,980,65979,934,32988,473,62890,843,33990,552,56289,816,39689,816,39691,559,75697,264,397103,293,933

3Auxiliary Revenue17,729,73113,328,91014,362,31213,907,47514,414,63516,952,40216,952,40216,952,40217,551,79518,169,171

4Residents & Interns23,853,44127,090,42528,633,44728,903,69729,174,47929,652,21129,652,21129,652,21130,838,29932,443,943

5Net Patient Revenue Dental School1,631,9622,049,0692,255,9061,852,5732,131,9803,902,2263,902,2263,902,2265,525,5526,030,587

6Net Patient Revenue -UMG60,866,54865,791,42966,943,23868,558,94770,123,87779,424,39879,424,39878,067,72783,788,34388,837,088

7Endowment Income1,784,4742,749,7041,622,4381,283,7102,765,4903,452,6513,452,6514,021,6803,564,5003,671,435

8Investment Income1,887,101973,956480,352766,6581,641,9981,553,2901,553,2901,553,2901,615,5181,686,387

9Other1,304,4711,261,847520,5861,756,4481,396,7221,269,2521,269,2521,269,2521,420,3021,543,078

10Total Academic Revenues181,040,822201,711,316212,737,493218,933,985224,722,073240,940,146240,940,146241,895,864257,241,716272,121,599

Academic Expenses

11School of Medicine85,658,13787,403,68789,428,16593,412,91794,301,60899,080,44599,680,445100,423,929105,958,014112,126,940

12School of Dental Medicine15,986,29217,981,61418,560,00319,341,32420,043,19122,985,36022,985,36023,075,15425,592,66327,472,627

13Research69,388,53184,503,08992,923,42398,611,52297,560,88695,479,04795,479,04796,216,108103,375,105112,282,679

14UConn Medical Group67,424,85265,711,99766,898,57068,659,75071,731,84979,410,43580,810,43579,810,39985,865,53691,565,402

15Institutional Support41,104,05441,786,02444,762,85947,317,78555,139,48954,143,99154,143,99155,585,77759,376,00263,757,288

16Total Academic Expenses279,561,866297,386,411312,573,020327,343,298338,777,023351,099,278353,099,278355,111,367380,167,320407,204,936

17Academic Deficiency(98,521,044)(95,675,095)(99,835,527)(108,409,313)(114,054,950)(110,159,132)(112,159,132)(113,215,503)(122,925,604)(135,083,337)

Total State Support

18Block Grant74,102,85074,231,21373,748,84473,238,77276,161,41776,920,24576,920,24576,920,24579,997,05583,196,937

19Fringe Benefits23,425,60321,091,61123,520,17627,487,27825,730,69125,901,33825,901,33828,023,04629,397,09131,881,530

Total97,528,45395,322,82497,269,020100,726,050101,892,108102,821,583102,821,583104,943,291109,394,146115,078,467

20Shortfall ( Academic GAP)(992,591)(352,271)(2,566,507)(7,683,263)(12,162,842)(7,337,549)(9,337,549)(8,272,212)(13,531,458)(20,004,870)

Hospital Support

21JDH1,122,0701,173,8493,275,8588,134,7965,563,5657,422,7515,322,7518,285,5394,031,458(795,130)

Other Programs:

22CMHC0(568,476)(135,141)(44,928)(274,409)8,8018,801000

23Total Results from Operations129,479253,102574,210406,605(6,873,686)94,003(4,005,997)13,327(9,500,000)(20,800,000)

Notes:

The Hospital, in previous years has been able to fill that GAP due to improved operating results.

The Hospital's improved operating results are primarily due to increased volumes and expense management.

The Hospital's ability to continue to fill the GAP is unlikely. Facility capacity will limit future volume increases.

Other challenges include Medicare and Medicaid Reimbursements and increased fringe benefit costs.

The Hospital covering the Academic GAP has limited the hospital's ability to reinvest in space and new equipment .

Tuition & feesNet Patient CareInvestmentOtherEndownment

FY 20027,002,435223,884,6122,192,1742,613,404

Less clinical0305,0731,308,933

less IS234,934

Totals7,002,435223,649,6781,887,1011,304,471

FY 20038,545,047223,884,6121,154,0474,523,368

Less clinical13,400180,0912,582,400

less IS234,934

Totals8,531,647223,649,678973,9561,940,968

FY 20049,460,686223,884,612545,2033,860,445

Less clinical15,10064,8513,339,859

less IS234,934

Totals9,445,586480,352520,586

FY 200511,078,2381,020,9344,051,443

Less clinical17,100254,2762,294,995

less IS

Totals11,061,138766,6581,756,448

FY 200612,537,5302,232,4333,337,3953,130,000

Less clinical17,200590,4351,940,673156000

less IS

Totals12,520,3301,641,9981,396,7222,974,000

FY 2007 Budget14,942,8852,706,2855,480,6624,012,651

Less clinical25,5651,152,9954,211,410560000

less IS

Totals14,917,3201,553,2901,269,2523,452,651

FY 2008 Budget15,694,4062,826,0435,816,440

Less clinical21,3961,210,5254,396,138

less IS

Totals15,673,0101,615,5181,420,302

FY 2009 Budget16,467,3732,957,3196,132,148

Less clinical21,3961,270,9324,589,070

less IS

Totals16,445,9771,686,3871,543,078

&R&P

FY 2002FY 2003FY 2004FY 2005FY 2006Estimated FY2007Requested FY2008Requested FY2009

992,591352,2712,566,5077,683,26312,162,8428,272,212

13,531,45820,004,870

&R&P

00

00

00

00

00

00

00

00

The academic gap is the difference between the costs associated with the research and education enterprise, including the costs of meeting state mandates, and the revenues received for that purpose. Those revenues include tuition and fees, research grants and the state block grant and related fringe benefit support.

Fiscal Year

Excess/(Deficiency)

University of Connecticut Health Center "ACADEMIC GAP" BY FISCAL YEAR

Academic Gap Drivers: FY 2008

F & A Recovery Loss on a declining increase in Research Revenue ($800,000)

Restrictions on Increasing Tuition & Fees ($1.0 Million)

Fringe Benefit Increases including UConn Medical Group ($500,000)

Energy Cost Increases ($1.6 million)

Collective Bargaining Agreements (General Fund Only $1.3 million)

Other Collective Bargaining Increases ($4.0 million)

Un-funded / Under-funded Mandates ($ 3,145,000)

Poison Information Center ($975,000)

Huntingtons Disease Program ($350,000)

Area Health Education Centers (AHEC) ($485,000)

Burgdorf Medical Clinic Program ($1,014,000)

Asylum Hill Medical Clinic ($330,000)

Reduced Profitability for JDH. ($4.3 million)

72.572.50

75.966679216975.30.6666792169

79.62443524174.15.524435241

83.309487951874.29.1094879518

87.622364457873.713.9223644578

91.798757530173.218.5987575301

95.620293674776.219.4202936747

99.441829819376.922.5418298193

103.427146084308 Request08 Request93.59.9271460843

107.576242469909 Request09 Request103.24.3762424699

From FY 2000 to FY 2007, the State Appropriation will have increased at a .8% average annual rate of increase in current dollars, however when comparing the 2000 amount adjusted for the Medical Care Services CPI inflation factor the difference is $22.5 million. The Current Services Request for FY 2008 and 2009 would begin to close the "GAP"

(A) (C)

(A) (B)

(A)

(A)

(A) Operating budget excludes fringe benefits related to State Appropriation.(B) Excludes one-time appropriations for 27th pay period ($2.6 million) and the Deficit Appropriation of $12.5 million in FY 00 and $4.4 million in FY 01(C) Used 4% for FY 2007 - 2009, the previous 4 years have averaged 4.7%

(A)(B)

(A)

(A)

(A)

(A) (C)

(A) (C)

2000 State Appropriation adjusted for CPI Medical Care Services Inflation


Difference

Current Services Request

Difference with Current Services Request

Millions


MBD01B09C6D.xls

FY07 rollout 9.6.06

FY00FY01FY02FY03FY04FY05FY06Projected FY07TOTALFY04FY05FY06FY07

FY00 Register$12.91$7.70$20.61

FY01 Register$5.77$1.25$7.02ActivitySavings

FY02 Register$5.50$5.50Charge Master$0.50Built into Budget$2.67RSEWG$0.50core services/emer grant matchingFTE reductions$6.00

FY02 Supplemental$7.10$3.00$10.10Wage Index$1.20Fringe Change$4.61UMG OE$0.57OE op registerM&C & Faculty defer$0.38

FY03 Register$9.40$2.70$12.10JDH layoffs 1-2004$1.02JDH OE$0.63OE op registerRes. Incentive$0.80

FY04 Register$2.72$2.72$2.72$7.28Travel/Hiring Freeze$0.10estTravel/Hiring Freeze

FY05 Register$5.15$5.15$1.80$7.18

FY06 Register$1.80$1.80

FY07 Register$9.00$9.00Roll Forward

$12.91$13.47$13.85$12.40*$5.42$5.15$1.80$9.00$74.00

Gov Layoffs 12/02-annualized$1.00

FTE Reductions*8/02 $2.2 rescission$1.70

filled103521288544214$2.70

vacant443132551030130FY04 Total$5.42

Other/Transfer00151007

subtotal147835581415074350

CMHC0003600036

total147835941415074386

* Dollar amount does not include $1.7 in CMHC FY03 reductions.

incremental impact of prior year improvements

FY07 rollout

FY00FY01FY02FY03FY04FY05FY06TOTALProjected FY07FY04FY05FY06FY07

FY00 Register$12.91$7.70$20.61






FY05 Register$5.15$5.15$1.80$7.18


PROJECTED FY07 Register$7.18Roll Forward

$12.91$13.47$13.85$12.40*$5.42$5.15$1.80$65.00



filled103521288516560$2.70

vacant44313255109020FY04 Total$5.42


subtotal14783558141526280

CMHC0003600360

total14783594141529880



FY06 rollout

FY00FY01FY02FY03FY04FY05FY06TOTAL

FY00 Register$12.91$7.70$20.61

FY01 Register$5.77$1.25$7.02


FY02 Supplemental$7.10$3.00$10.10

FY03 Register$9.40$2.70$12.10




$12.91$13.47$13.85$12.40*$5.42$5.15$1.80$65.00

FTE Reductions*

filled1035212885165

vacant443132551090


subtotal147835581415262

CMHC000360036

total147835941415298


incremental impact of prior year improvementsFY04FY05FY06

ActivitySavings

Charge Master$0.50Built into Budget$2.67RSEWG0.5core services/emer grant matching

Wage Index$1.20Fringe Change$4.61UMG OE0.571OE op register

JDH layoffs 1-2004$1.02JDH OE0.627OE op register

$2.72$7.28Travel/Hiring Freeze0.1est

1.798

Roll Forward


8/02 $2.2 rescission$1.70

$2.70

FY04 Total$5.42

FY05 rollout)

FY00FY01FY02FY03FY04FY05TOTALFY05FY04

FY00 Register$12.91$7.70$20.61

FY01 Register$5.77$1.25$7.02Built into Budget$2.67ActivitySavings

FY02 Register$5.50$5.50Fringe Change$4.61Charge Master$0.50

FY02 Supplemental$7.10$3.00$10.10Wage Index$1.20

FY03 Register$9.40$2.70$12.10$7.28JDH layoffs 1-2004$1.02

FY04 Register$2.72$2.72$2.72

Est. FY05 Register$7.28$7.28

$12.91$13.47$13.85$12.40*$5.42$7.28$65.33Roll Forward

FTE Reductions*Gov Layoffs 12/02-annualized$1.00

filled10352128851658/02 $2.2 rescission$1.70

vacant443132551090$2.70

Other/Transfer0015107FY04 Total$5.42

subtotal147835581415262

CMHC000360036

total147835941415298



FY05 bud pres

FY00FY01FY02FY03FY04FY05TOTALFY04

FY00 Register$12.91$7.70$20.61


FY02 Register$5.50$5.50Charge Master$0.50


FY03 Register$9.40$2.70$12.10JDH layoffs 1-2004$1.02

FY04 Register$2.72$2.72$2.72


$12.91$13.47$13.85$12.40*$5.42$2.50$60.55Roll Forward



vacant443132551690$2.70


subtotal1478355814262

CMHC00036036

total147835941432298



FY04 Budget Prsent

University of Connecticut Health Center

COST IMPROVEMENT PROGRAM FY00-FY03

FY00FY01FY02FY03TOTAL

FY00 Register$12.91$7.70$20.61

FY01 Register$5.77$1.25$7.02




$12.91$13.47$13.85$15.60$55.83

FTE Reductions*

filled10352128157

vacant443132585

Other/Transfer00156

total14783558248

* Does not include CMHC


&L&8&D&&F

FY03 roll out 2-3-03




FY00 Register$12.91$7.70$20.61

FY01 Register$5.77$1.25$7.02




$12.91$13.47$13.85$15.60$55.83

FTE Reductions

filled10352128157

vacant443132585

Other/Transfer00156

total14783558248

FY03 ActionsBudgetedCost Improvement

Budgeted Projected new clinical volumes3.33.3

Signature Program deferred implementation2.7na

Budgeted UMG Deficit Reduction3.63.6

PwC Opportunity Register (included in FY03 budget)3.13.1

subtotal12.710

Post June 18 Reductions (State Mandated Reduction)2.22.2

Dec. 2002 State Budget Reduction0.40.4

subtotal2.62.6

Total15.312.6


&L&8&D&&F

FY03 roll out Ryan 11-20-02




FY00 Register$12.91$7.70$20.61

FY01 Register$5.77$1.25$7.02


FY02 Supplemental w rescissions$7.10$3.00$10.10


$12.91$13.47$13.85$15.10$55.33

FTE Reductions

filled1035246138

vacant44392379

total14783329(a)217


(a) noticed as of Sept. 02year to date 11/20/02

FY03 ActionsBudgetCost

ActionsImprovements

Projected revenues new clinical volumes3.33.3

Signature Program deferred implementation2.7

UMG Deficit Elim. (FTE reductions/rev. enhancements)3.63.6

PwC Ops inlcuded in FY03 budget3.13.1

12.710

Post June 18 Reductions2.12.1

14.812.1

&L&8&D&&F

FY03 roll out BOD 10-02




FY00 Register$12.91$7.70$20.61

FY01 Register$5.77$1.25$7.02




$12.91$13.47$13.85$14.10$54.33

FTE Reductions

filled1035246138

vacant44392379

total14783329(a)217



&L&8&D&&F

FY03 new imp & roll out




FY00 Register$12.91$7.70$20.61

FY01 Register$5.77$1.25$7.02




$12.91$13.47$13.85$14.10$54.33

FTE Reductions Completed thru 11/1/01

filled103524132

vacant443956

total147833188


&L&D&&F

FY03 actual roll out w FTE


FY00 Register$12.91$7.70$20.61

FY01 Register$5.77$1.25$7.02



$12.91$13.47$13.85$3.00$43.23

FTE Reductions

filled1035246138

vacant44392379

total14783329(a)217


(a) noticed as of Sept.02)

&L&"Arial,Bold Italic"&12University of Connecticut Health Center&"Arial,Bold"&14COST IMPROVEMENT PROGRAM

&L&D&&F

FY02 actual w FTE

FY00FY01FY02TOTAL




FY02 Supplemental w rescissions$7.10$7.10

$12.91$5.77$12.60$31.28

Op Register FTE Reductions

filled103524132

vacant443956

total147833188


&L&D&&F

FY02 rollout

Cost Improvement Registers with Direct and Roll-out Impact


FY00 Register$12.91a$7.70$20.61

FY01 Register$5.77a$1.25$7.02


FY02 Supplemental w 2ndQ rescission$6.80$6.80

FY03 Register - being developed$6.40$6.40

$12.91$13.47$13.55$6.40$46.33

calculations of prior year roll-out (incremental impact)

a = actual completed

Cost Improvement Registers Direct Impacts Only


FY00 Register$12.91a$12.91





$12.91$5.77$12.30$6.40$37.38


&L&"Arial,Bold"&14UCHC COST IMPROVEMENT

&L&D&&A[File]

FY02 wo rollout

Cost Improvement Program Cumulative Impact

FY00FY01FY02FY03TOTALCumulative Impact

FY00 Register$12.91a$12.91$12.91

FY01 Register$5.77a$5.77$18.68

FY02 Register$5.50$5.50$24.18

FY02 Supplemental w 2ndQ rescission$6.80$6.80$30.98

FY03 Register - being developed$6.40$6.40$37.38

$12.91$5.77$12.30$6.40$37.38









$12.91$5.77$12.30$6.40$37.38



&L&D&&A[File]

FY02 actual roll out



FY00 Register$12.91a$7.70$20.61

FY01 Register$5.77a$1.25$7.02

FY02 Register$5.50*$5.50



$12.91$13.47$13.55$6.40$46.33




&L&D&&F

FY02 budget projection

FY00FY01FY02TOTAL

$12.80$7.70$20.50

$5.20$1.25$6.45

$5.50$5.50

$12.80$12.90$6.75$32.45

Sheet2

Sheet3

Chart3

-12353851

-13869271

-5579333

1122070

3432319

3275863

8134796

5563565

Excess-Dif Graph


(53,122)(12,353,851)(12,198,898)(7,186,659)129,479253,082574,210406,605(6,873,686)655,320

&R&P

Excess-Dif Graph

0

0

0

0

0

0

0

0

Fiscal Year

Excess/(Deficiency)

University of Connecticut Health Center EXCESS/(DEFICIENCY) BY FISCAL YEARBefore Deficit and Research Appropriations & Audit Adj.

Opp Reg


JDH Bottom Line


(12,353,851)(13,869,271)(5,579,333)1,122,0703,432,3193,275,8638,134,7965,563,5658,151,817

&R&P

JDH Bottom Line

0


JDH Adm by FY

0

0

0

0

0

0

0

0

Fiscal Year

Excess/(Deficiency)


JDH OP Visits


99/20007,3736,7806,5656,5276,9237,5188,5808,9409,4079,8369,82610,180

6.1%8.6%14.1%4.2%5.2%4.6%-0.1%3.5%

Admissions3,073

# of months4

9219

&R&P

JDH OP Visits

7373FY 1996

6780-0.0804285908

6565-0.0317109145

6527-0.0057882711

69230.0606710587

75180.0859453994

85800.1412609737

89400.041958042

91300.0212527964

9130FY 2004 Budget

-8.00%

-8.00%


Fiscal Year

Admissions


Research Awards

7373FY 1996

6780-0.0804285908

6565-0.0317109145

6527-0.0057882711

69230.0606710587

75180.0859453994

85800.1412609737

89400.041958042

91300.0212527964

9130FY 2004 Budget

-8.00%

-8.00%


Fiscal Year

Admissions


State Support

00

00

00

00

00

00

00

00

00

&A

Page &P

-8.00%

-8.00%

Percent

Fiscal Year

Admissions




# Of Visits126,748132,553140,588138,711168,720203,099227,099241,597255,909254,000

% Inc/(Dec)4.6%6.1%-1.3%21.6%20.4%11.8%6.4%5.9%5.1%

&R&P


11


Fringe Benefits

00


Academic Gap

126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766



Academic Gap Graph

126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits



126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits



126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits


00

00

00

00

00

00

00

00

00

&A

Page &P

percent

Fiscal Year

Visits



99/200042,496,63644,783,89148,038,70849,656,15357,843,33369,094,66880,781,65496,229,65498,825,83392,520,77590,072,48795,000,000

7.3%3.4%16.5%19.5%16.9%19.1%2.7%-6.4%-2.6%2.7%

&R&P

00

&A

Page &P


44783891FY 1997

480387080.0726782985

496561530.0336696191

578433330.1648774523

690946680.1945139468

807816540.1691445424

962296540.1912315388

988258330.0269789913

92520775-0.063799695

90072487-0.0264620351

950000000.0267964141

Fiscal Year

Research Awards



72,524,33675,307,72874,102,85074,231,21373,748,84473,238,77276,161,41776,920,245

3.84%-1.60%0.17%-0.65%-0.69%3.99%1.00%

&R&P

54.50

48.09302325583.6069767442

42.34470691166.0552930884

42.77237657718.2276234229

47.602646602311.5973533977

46.674546842313.1254531577

48.98761938515.212380615

48.019218077816.4807819222

49.343339355818.5566606442

49.320876984220.6791230158

51.462294543824.0377054562

48.837050531225.1629494688

47.581738314526.7182616855

46.884026186428.2159738136



(B)

(A)

(A)

(A)


(A)

(A)

(A)

(A)




$75.1

$74.3

$74.0

$75.5

$70.0

$67.9

$64.5

$64.2

$59.8

$59.2

$51.0

$48.4

$51.7

$54.5

54.50

48.09302325583.6069767442

42.34470691166.0552930884

42.77237657718.2276234229

47.602646602311.5973533977

46.674546842313.1254531577

48.98761938515.212380615

48.019218077816.4807819222

49.343339355818.5566606442

49.320876984220.6791230158

51.462294543824.0377054562

48.837050531225.1629494688

47.581738314526.7182616855

46.884026186428.2159738136



(B)

(A)

(A)

(A)


(A)

(A)

(A)

(A)




$75.1

$74.3

$74.0

$75.5

$70.0

$67.9

$64.5

$64.2

$59.8

$59.2

$51.0

$48.4

$51.7

$54.5

00

&A

Page &P


54.50

48.09302325583.6069767442

42.34470691166.0552930884

42.77237657718.2276234229

47.602646602311.5973533977

46.674546842313.1254531577

48.98761938515.212380615

48.019218077816.4807819222

49.343339355818.5566606442

49.320876984220.6791230158

51.462294543824.0377054562

48.837050531225.1629494688

47.581738314526.7182616855

46.884026186428.2159738136



(B)

(A)

(A)

(A)


(A)

(A)

(A)

(A)




$75.1

$74.3

$74.0

$75.5

$70.0

$67.9

$64.5

$64.2

$59.8

$59.2

$51.0

$48.4

$51.7

$54.5

54.50

48.09302325583.6069767442

42.34470691166.0552930884

42.77237657718.2276234229

47.602646602311.5973533977

46.674546842313.1254531577

48.98761938515.212380615

48.019218077816.4807819222

49.343339355818.5566606442

49.320876984220.6791230158

51.462294543824.0377054562

48.837050531225.1629494688

47.581738314526.7182616855

46.884026186428.2159738136



(B)

(A)

(A)

(A)


(A)

(A)

(A)

(A)




$75.1

$74.3

$74.0

$75.5

$70.0

$67.9

$64.5

$64.2

$59.8

$59.2

$51.0

$48.4

$51.7

$54.5

00

00

00

00

00

00

00

00

&A

Page &P

The aggregate increase overa five year period FY 01 to FY 06 has been 1.1%

Fiscal Year

State Appropriation


FY 1996FY 1997FY 1998FY 1999FY 2000FY 2001FY 2002FY 2003FY 2004FY 2005FY 2006FY 2007FY 2008FY 2009

# Of Visits

% Inc/(Dec)

22.56%20.53%18.16%17.25%16.57%16.24%15.87%17.37%18.06%

&R&P

11


00


126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766



126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits


126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits


126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits


0

0

0

0

0

0

0

&A

&LState Support as a percent of total expenses continues to decrease - down from 22.5% in FY 01 to 15.9% in FY 07

Fiscal Year

Percent


John Dempsey Hospital (JDH)

Comparative Analysis of Fringe Benefit Cost

JDH versus Connecticut Hospitals

Source: Connecticut Hospital Association (CHA) FY 2004 and FY 2005 Data

Fiscal Year 2004Fiscal Year 2005

CHAJDHDifferenceCHAJDHDifference

Fringe Benefit Percent as a total of Salary & Wages27.17%34.07%6.90%27.39%38.72%11.33%

JDH Salary & Wages$65,261,010$71,395,656

Fringe Benefit Percent Difference6.90%11.33%

Additional Fringe Benefit Cost$4,503,010$8,090,875

Per FTE ComparisonCHAJDHDifferencePercentCHAJDHDifferencePercent

Salary & Wages$56,278$61,045$4,7678.47%$59,011$63,674$4,6637.90%

Fringe Benefits$15,293$20,797$5,50435.99%$16,164$24,657$8,49352.54%

State Support as a percent of total expenses shows a declining trend - decreases from 22.6% in FY 01 to 15.9% in FY 07

00

00

The Impact in FY 2005 of this fringe benefit differential is an additional expense of $8.1 million

John Dempsey Hospital

Connecticut Hospital Association

Percent

JOHN DEMPSEY HOSPITAL Comparison of Fringe Benefit Cost to CHA Member Hospitals

University Of Connecticut Health Center

Summary of Sources and Uses of Funds

Academic GapAdjusted for

Fringe Benefits

FiscalFiscalFiscalFiscalFiscalFiscalFiscalFiscalFiscalFiscal

YearYearYearYearYearYearYearYearYearYear

200220032004200520062007 Budget2007 Budget200720082009

ActualActualActualActualActualBudgetBudgetBudget

Academic Revenues

1Tuition & Fees7,002,4358,531,6479,445,58611,061,13812,520,33014,917,32014,917,32014,917,32015,673,01016,445,977

2Research64,980,65979,934,32988,473,62890,843,33990,552,56289,816,39689,816,39691,559,75697,264,397103,293,933

3Auxiliary Revenue17,729,73113,328,91014,362,31213,907,47514,414,63516,952,40216,952,40216,952,40217,551,79518,169,171

4Residents & Interns23,853,44127,090,42528,633,44728,903,69729,174,47929,652,21129,652,21129,652,21130,838,29932,443,943

5Net Patient Revenue Dental School1,631,9622,049,0692,255,9061,852,5732,131,9803,902,2263,902,2263,902,2265,525,5526,030,587

6Net Patient Revenue -UMG60,866,54865,791,42966,943,23868,558,94770,123,87779,424,39879,424,39878,067,72783,788,34388,837,088

7Endowment Income1,784,4742,749,7041,622,4381,283,7102,765,4903,452,6513,452,6514,021,6803,564,5003,671,435

8Investment Income1,887,101973,956480,352766,6581,641,9981,553,2901,553,2901,553,2901,615,5181,686,387

9Other1,304,4711,261,847520,5861,756,4481,396,7221,269,2521,269,2521,269,2521,420,3021,543,078

10Total Academic Revenues181,040,822201,711,316212,737,493218,933,985224,722,073240,940,146240,940,146241,895,864257,241,716272,121,599

Academic Expenses

11School of Medicine85,658,13787,403,68789,428,16593,412,91794,301,60899,080,44599,680,445100,423,929105,958,014112,126,940

12School of Dental Medicine15,986,29217,981,61418,560,00319,341,32420,043,19122,985,36022,985,36023,075,15425,592,66327,472,627

13Research69,388,53184,503,08992,923,42398,611,52297,560,88695,479,04795,479,04796,216,108103,375,105112,282,679

14UConn Medical Group67,424,85265,711,99766,898,57068,659,75071,731,84979,410,43580,810,43579,810,39985,865,53691,565,402

15Institutional Support41,104,05441,786,02444,762,85947,317,78555,139,48954,143,99154,143,99155,585,77759,376,00263,757,288

16Total Academic Expenses279,561,866297,386,411312,573,020327,343,298338,777,023351,099,278353,099,278355,111,367380,167,320407,204,936

17Academic Deficiency(98,521,044)(95,675,095)(99,835,527)(108,409,313)(114,054,950)(110,159,132)(112,159,132)(113,215,503)(122,925,604)(135,083,337)

Total State Support

18Block Grant74,102,85074,231,21373,748,84473,238,77276,161,41776,920,24576,920,24576,920,24579,997,05583,196,937

19Fringe Benefits23,425,60321,091,61123,520,17627,487,27825,730,69125,901,33825,901,33828,023,04629,397,09131,881,530

Total97,528,45395,322,82497,269,020100,726,050101,892,108102,821,583102,821,583104,943,291109,394,146115,078,467

20Shortfall ( Academic GAP)(992,591)(352,271)(2,566,507)(7,683,263)(12,162,842)(7,337,549)(9,337,549)(8,272,212)(13,531,458)(20,004,870)

Hospital Support

21JDH1,122,0701,173,8493,275,8588,134,7965,563,5657,422,7515,322,7518,285,5394,031,458(795,130)

Other Programs:

22CMHC0(568,476)(135,141)(44,928)(274,409)8,8018,801000

23Total Results from Operations129,479253,102574,210406,605(6,873,686)94,003(4,005,997)13,327(9,500,000)(20,800,000)

Notes:

The Hospital, in previous years has been able to fill that GAP due to improved operating results.

The Hospital's improved operating results are primarily due to increased volumes and expense management.

The Hospital's ability to continue to fill the GAP is unlikely. Facility capacity will limit future volume increases.

Other challenges include Medicare and Medicaid Reimbursements and increased fringe benefit costs.

The Hospital covering the Academic GAP has limited the hospital's ability to reinvest in space and new equipment .

Tuition & feesNet Patient CareInvestmentOtherEndownment

FY 20027,002,435223,884,6122,192,1742,613,404

Less clinical0305,0731,308,933

less IS234,934

Totals7,002,435223,649,6781,887,1011,304,471

FY 20038,545,047223,884,6121,154,0474,523,368

Less clinical13,400180,0912,582,400

less IS234,934

Totals8,531,647223,649,678973,9561,940,968

FY 20049,460,686223,884,612545,2033,860,445

Less clinical15,10064,8513,339,859

less IS234,934

Totals9,445,586480,352520,586

FY 200511,078,2381,020,9344,051,443

Less clinical17,100254,2762,294,995

less IS

Totals11,061,138766,6581,756,448

FY 200612,537,5302,232,4333,337,3953,130,000

Less clinical17,200590,4351,940,673156000

less IS

Totals12,520,3301,641,9981,396,7222,974,000

FY 2007 Budget14,942,8852,706,2855,480,6624,012,651

Less clinical25,5651,152,9954,211,410560000

less IS

Totals14,917,3201,553,2901,269,2523,452,651

FY 2008 Budget15,694,4062,826,0435,816,440

Less clinical21,3961,210,5254,396,138

less IS

Totals15,673,0101,615,5181,420,302

FY 2009 Budget16,467,3732,957,3196,132,148

Less clinical21,3961,270,9324,589,070

less IS

Totals16,445,9771,686,3871,543,078

&R&P

FY 2002FY 2003FY 2004FY 2005FY 2006FY2007FY2008FY2009

992,591352,2712,566,5077,683,26312,162,8428,272,21213,531,45820,004,870

&R&P

0

0

0

0

0

0

0

0

Fiscal Year

Excess/(Deficiency)

University of Connecticut Health Center "ACADEMIC GAP" BY FISCAL YEAR

Academic Gap Drivers: FY 2008

F & A Recovery Loss on a declining increase in Research Revenue ($800,000)

Restrictions on Increasing Tuition & Fees ($1.0 Million)

Fringe Benefit Increases including UConn Medical Group ($500,000)

Energy Cost Increases ($1.6 million)

Collective Bargaining Agreements (General Fund Only $1.3 million)

Other Collective Bargaining Increases ($4.0 million)

Un-funded / Under-funded Mandates ($ 3,145,000)

Poison Information Center ($975,000)

Huntingtons Disease Program ($350,000)

Area Health Education Centers (AHEC) ($485,000)

Burgdorf Medical Clinic Program ($1,014,000)

Asylum Hill Medical Clinic ($330,000)

Reduced Profitability for JDH. ($4.3 million)

72.572.50

75.966679216975.30.6666792169

79.62443524174.15.524435241

83.309487951874.29.1094879518

87.622364457873.713.9223644578

91.798757530173.218.5987575301

95.620293674776.219.4202936747

99.441829819376.922.5418298193

103.427146084308 Request08 Request93.59.9271460843

107.576242469909 Request09 Request103.24.3762424699

From FY 2000 to FY 2007, the State Appropriation will have increased at a .8% average annual rate of increase in current dollars, however when comparing the 2000 amount adjusted for the Medical Care Services CPI inflation factor the difference is $22.5 million. The Current Services Request for FY 2008 and 2009 would begin to close the "GAP"

(A) (C)

(A) (B)

(A)

(A)

(A) Operating budget excludes fringe benefits related to State Appropriation.(B) Excludes one-time appropriations for 27th pay period ($2.6 million) and the Deficit Appropriation of $12.5 million in FY 00 and $4.4 million in FY 01(C) Used 4% for FY 2007 - 2009, the previous 4 years have averaged 4.7%

(A)(B)

(A)

(A)

(A)

(A) (C)

(A) (C)

2000 State Appropriation adjusted for CPI Medical Care Services Inflation


Difference

Current Services Request

Difference with Current Services Request

Millions


MBD01B09C6D.xls

FY07 rollout 9.6.06

FY00FY01FY02FY03FY04FY05FY06Projected FY07TOTALFY04FY05FY06FY07

FY00 Register$12.91$7.70$20.61






FY05 Register$5.15$5.15$1.80$7.18


FY07 Register$9.00$9.00Roll Forward

$12.91$13.47$13.85$12.40*$5.42$5.15$1.80$9.00$74.00



filled103521288544214$2.70

vacant443132551030130FY04 Total$5.42


subtotal147835581415074350

CMHC0003600036

total147835941415074386



FY07 rollout

FY00FY01FY02FY03FY04FY05FY06TOTALProjected FY07FY04FY05FY06FY07

FY00 Register$12.91$7.70$20.61






FY05 Register$5.15$5.15$1.80$7.18


PROJECTED FY07 Register$7.18Roll Forward

$12.91$13.47$13.85$12.40*$5.42$5.15$1.80$65.00



filled103521288516560$2.70

vacant44313255109020FY04 Total$5.42


subtotal14783558141526280

CMHC0003600360

total14783594141529880



FY06 rollout

FY00FY01FY02FY03FY04FY05FY06TOTAL

FY00 Register$12.91$7.70$20.61

FY01 Register$5.77$1.25$7.02



FY03 Register$9.40$2.70$12.10




$12.91$13.47$13.85$12.40*$5.42$5.15$1.80$65.00

FTE Reductions*

filled1035212885165

vacant443132551090


subtotal147835581415262

CMHC000360036

total147835941415298


incremental impact of prior year improvementsFY04FY05FY06

ActivitySavings

Charge Master$0.50Built into Budget$2.67RSEWG0.5core services/emer grant matching

Wage Index$1.20Fringe Change$4.61UMG OE0.571OE op register

JDH layoffs 1-2004$1.02JDH OE0.627OE op register

$2.72$7.28Travel/Hiring Freeze0.1est

1.798

Roll Forward


8/02 $2.2 rescission$1.70

$2.70

FY04 Total$5.42

FY05 rollout)

FY00FY01FY02FY03FY04FY05TOTALFY05FY04

FY00 Register$12.91$7.70$20.61

FY01 Register$5.77$1.25$7.02Built into Budget$2.67ActivitySavings

FY02 Register$5.50$5.50Fringe Change$4.61Charge Master$0.50


FY03 Register$9.40$2.70$12.10$7.28JDH layoffs 1-2004$1.02

FY04 Register$2.72$2.72$2.72


$12.91$13.47$13.85$12.40*$5.42$7.28$65.33Roll Forward



vacant443132551090$2.70


subtotal147835581415262

CMHC000360036

total147835941415298



FY05 bud pres

FY00FY01FY02FY03FY04FY05TOTALFY04

FY00 Register$12.91$7.70$20.61


FY02 Register$5.50$5.50Charge Master$0.50


FY03 Register$9.40$2.70$12.10JDH layoffs 1-2004$1.02

FY04 Register$2.72$2.72$2.72


$12.91$13.47$13.85$12.40*$5.42$2.50$60.55Roll Forward



vacant443132551690$2.70


subtotal1478355814262

CMHC00036036

total147835941432298



FY04 Budget Prsent




FY00 Register$12.91$7.70$20.61

FY01 Register$5.77$1.25$7.02




$12.91$13.47$13.85$15.60$55.83

FTE Reductions*

filled10352128157

vacant443132585

Other/Transfer00156

total14783558248

* Does not include CMHC


&L&8&D&&F

FY03 roll out 2-3-03




FY00 Register$12.91$7.70$20.61

FY01 Register$5.77$1.25$7.02




$12.91$13.47$13.85$15.60$55.83

FTE Reductions

filled10352128157

vacant443132585

Other/Transfer00156

total14783558248

FY03 ActionsBudgetedCost Improvement

Budgeted Projected new clinical volumes3.33.3

Signature Program deferred implementation2.7na

Budgeted UMG Deficit Reduction3.63.6

PwC Opportunity Register (included in FY03 budget)3.13.1

subtotal12.710

Post June 18 Reductions (State Mandated Reduction)2.22.2

Dec. 2002 State Budget Reduction0.40.4

subtotal2.62.6

Total15.312.6


&L&8&D&&F

FY03 roll out Ryan 11-20-02




FY00 Register$12.91$7.70$20.61

FY01 Register$5.77$1.25$7.02




$12.91$13.47$13.85$15.10$55.33

FTE Reductions

filled1035246138

vacant44392379

total14783329(a)217



FY03 ActionsBudgetCost

ActionsImprovements

Projected revenues new clinical volumes3.33.3

Signature Program deferred implementation2.7

UMG Deficit Elim. (FTE reductions/rev. enhancements)3.63.6

PwC Ops inlcuded in FY03 budget3.13.1

12.710

Post June 18 Reductions2.12.1

14.812.1

&L&8&D&&F

FY03 roll out BOD 10-02




FY00 Register$12.91$7.70$20.61

FY01 Register$5.77$1.25$7.02




$12.91$13.47$13.85$14.10$54.33

FTE Reductions

filled1035246138

vacant44392379

total14783329(a)217



&L&8&D&&F

FY03 new imp & roll out




FY00 Register$12.91$7.70$20.61

FY01 Register$5.77$1.25$7.02




$12.91$13.47$13.85$14.10$54.33

FTE Reductions Completed thru 11/1/01

filled103524132

vacant443956

total147833188


&L&D&&F

FY03 actual roll out w FTE


FY00 Register$12.91$7.70$20.61

FY01 Register$5.77$1.25$7.02



$12.91$13.47$13.85$3.00$43.23

FTE Reductions

filled1035246138

vacant44392379

total14783329(a)217


(a) noticed as of Sept.02)


&L&D&&F

FY02 actual w FTE

FY00FY01FY02TOTAL




FY02 Supplemental w rescissions$7.10$7.10

$12.91$5.77$12.60$31.28

Op Register FTE Reductions

filled103524132

vacant443956

total147833188


&L&D&&F

FY02 rollout



FY00 Register$12.91a$7.70$20.61

FY01 Register$5.77a$1.25$7.02




$12.91$13.47$13.55$6.40$46.33










$12.91$5.77$12.30$6.40$37.38



&L&D&&A[File]

FY02 wo rollout

Cost Improvement Program Cumulative Impact

FY00FY01FY02FY03TOTALCumulative Impact

FY00 Register$12.91a$12.91$12.91

FY01 Register$5.77a$5.77$18.68

FY02 Register$5.50$5.50$24.18

FY02 Supplemental w 2ndQ rescission$6.80$6.80$30.98

FY03 Register - being developed$6.40$6.40$37.38

$12.91$5.77$12.30$6.40$37.38









$12.91$5.77$12.30$6.40$37.38



&L&D&&A[File]

FY02 actual roll out



FY00 Register$12.91a$7.70$20.61

FY01 Register$5.77a$1.25$7.02

FY02 Register$5.50*$5.50



$12.91$13.47$13.55$6.40$46.33




&L&D&&F

FY02 budget projection

FY00FY01FY02TOTAL

$12.80$7.70$20.50

$5.20$1.25$6.45

$5.50$5.50

$12.80$12.90$6.75$32.45

Sheet2

Sheet3

Academic Revenues8

Chart6

44783891FY 1997

480387080.0726782985

496561530.0336696191

578433330.1648774523

690946680.1945139468

807816540.1691445424

962296540.1912315388

988258330.0269789913

92520775-0.063799695

90072487-0.0264620351

Research Awards by Fiscal Year

Excess-Dif Graph


(53,122)(12,353,851)(12,198,898)(7,186,659)129,479253,082574,210406,605(6,873,686)655,320

&R&P

Excess-Dif Graph

-12353851

-12198898

-7186659

129479

253082

574210

406605

-6873686

Fiscal Year

Excess/(Deficiency)

University of Connecticut Health Center EXCESS/(DEFICIENCY) BY FISCAL YEARBefore Deficit and Research Appropriations & Audit Adj.

Opp Reg


JDH Bottom Line


(12,353,851)(13,869,271)(5,579,333)1,122,0703,432,3193,275,8638,134,7965,563,5658,151,817

&R&P

JDH Bottom Line

0


JDH Adm by FY

-12353851

-13869271

-5579333

1122070

3432319

3275863

8134796

5563565

Fiscal Year

Excess/(Deficiency)


JDH OP Visits


99/20007,3736,7806,5656,5276,9237,5188,5808,9409,4079,8369,82610,180

6.1%8.6%14.1%4.2%5.2%4.6%-0.1%3.5%

Admissions3,073

# of months4

9219

&R&P

JDH OP Visits

7373FY 1996

6780-0.0804285908

6565-0.0317109145

6527-0.0057882711

69230.0606710587

75180.0859453994

85800.1412609737

89400.041958042

91300.0212527964

9130FY 2004 Budget

-8.00%

-8.00%


Fiscal Year

Admissions


Research Awards

7373FY 1996

6780-0.0804285908

6565-0.0317109145

6527-0.0057882711

69230.0606710587

75180.0859453994

85800.1412609737

89400.041958042

91300.0212527964

9130FY 2004 Budget

-8.00%

-8.00%


Fiscal Year

Admissions


State Support

00

00

00

00

00

00

00

00

&A

Page &P

-8.00%

-8.00%

Percent

Fiscal Year

Admissions




# Of Visits126,748132,553140,588138,711168,720203,099227,099241,597255,909254,000

% Inc/(Dec)4.6%6.1%-1.3%21.6%20.4%11.8%6.4%5.9%5.1%

&R&P


11


Fringe Benefits

00


Academic Gap

126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766



Academic Gap Graph

126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits



126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits



126748FY 1998

1325530.0457995392

1408520.0626089187

139044-0.0128361685

1693510.2179669745

2055160.2135505548

2300000.1191342766


Fiscal Year

Visits


00

00

00

00

00

00

00

00

&A

Page &P

percent

Fiscal Year

Visits



99/200042,496,63644,783,89148,038,70849,656,15357,843,33369,094,66880,781,65496,229,65498,825,83392,520,77590,072,48795,000,000

7.3%3.4%16.5%19.5%16.9%19.1%2.7%-6.4%-2.6%2.7%

&R&P

00

&A

Page &P


00

00

00

00

00

00

00

00

00

00

Fiscal Year

Research Awards



72,524,33675,307,72874,102,85074,231,21373,748,84473,238,77276,161,41776,920,245

3.84%-1.60%0.17%-0.65%-0.69%3.99%1.00%

&R&P

54.50

48.09302325583.6069767442

42.34470691166.0552930884

42.77237657718.2276234229

47.602646602311.5973533977

46.674546842313.1254531577

48.98761938515.212380615

48.019218077816.4807819222

49.343339355818.5566606442

49.320876984220.6791230158

51.462294543824.0377054562

48.837050531225.1629494688

47.581738314526.7182616855

46.884026186428.2159738136



(B)

(A)

(A)

(A)


(A)

(A)

(A)

(A)




$75.1

$74.3

$74.0

$75.5

$70.0

$67.9

$64.5

$64.2

$59.8

$59.2

$51.0

$48.4

$51.7

$54.5

54.50

48.09302325583.6069767442

42.34470691166.0552930884

42.77237657718.2276234229

47.602646602311.5973533977

46.674546842313.1254531577

48.98761938515.212380615

48.019218077816.4807819222

49.343339355818.5566606442

49.320876984220.6791230158

51.462294543824.0377054562

48.837050531225.1629494688

47.581738314526.7182616855

46.884026186428.2159738136



(B)

(A)

(A)

(A)


(A)

(A)

(A)

(A)




$75.1

$74.3

$74.0

$75.5

$70.0

$67.9

$64.5

$64.2

$59.8

$59.2

$51.0

$48.4

$51.7

$54.5

00

&A

Page &P


54.50

48.09302325583.6069767442

42.34470691166.0552930884

42.77237657718.2276234229

47.602646602311.5973533977

46.674546842313.1254531577

48.98761938515.212380615

48.019218077816.4807819222

49.343339355818.5566606442

49.320876984220.6791230158

51.462294543824.0377054562

48.837050531225.1629494688

47.581738314526.7182616855

46.884026186428.2159738136



(B)

(A)

(A)

(A)


(A)

(A)

(A)

(A)




$75.1

$74.3

$74.0

$75.5

$70.0

$67.9

$64.5

$64.2

$59.8

$59.2

$51.0

$48.4

$51.7

$54.5

54.50

48.09302325

Documents

1 Appropriations Committee February 21, 2007. 2 UCHC’S Primary Mission: Education and Research 3 Schools: –Medical School (320 students) –Dental School