City of Colorado Springs Logo
File #: 17-956    Version: Name:
Type: Ordinance Status: Mayor's Office
File created: 4/14/2017 In control: City Council
On agenda: 5/23/2017 Final action: 5/23/2017
Title: Ordinance No. 17-43 amending Ordinance No. 16-116 (2017 Appropriation Ordinance) for a Supplemental Appropriation to the Memorial Health System Enterprise Fund in the Amount of $2,581,000 to Pay Costs Related to Third-Party Payor Audits and to Transfer monies to the Colorado Springs Health Foundation Presenter: Kara Skinner, Chief Financial Officer
Attachments: 1. Supplemental Approp Ord for MHS 3rd Party Insurance Settlements, 2. Signed Ordinance 17-43


Title
Ordinance No. 17-43 amending Ordinance No. 16-116 (2017 Appropriation Ordinance) for a Supplemental Appropriation to the Memorial Health System Enterprise Fund in the Amount of $2,581,000 to Pay Costs Related to Third-Party Payor Audits and to Transfer monies to the Colorado Springs Health Foundation

Presenter:
Kara Skinner, Chief Financial Officer

Body
Summary:
The attached ordinance is to increase the 2017 Memorial Health System Enterprise Fund budget and to appropriate monies in the amount of $2,581,000 to pay costs related to third-party payor audits and to transfer monies to the Colorado Springs Health Foundation (CSHF). The source of funds is a transfer from UCH-MHS received by the City in April 2017.

According to the lease, Schedule 3.6.8 Obligations and Liabilities Related to Third-Party Payors, the Parties agreed to reconcile UCH-MHS net actual receivables received and liabilities paid out to the amount accrued in the Memorial Health System financial statements on the effective date of the lease. UCH-MHS and the City met and agreed on the first reconciliation in 2016 and again for a second reconciliation in 2017.

The net result of the first reconciliation was an amount due to the City of approximately $5,264,000. Of the $5,264,000, $298,000 was paid to a contract audit firm that assisted MHS with audits of a number of third-party cost reports that resulted in positive settlements. The balance of $4,966,000 was transferred to the Colorado Springs Health Foundation in 2016.

The net result of the second reconciliation was an amount due to the City of approximately $2,581,000. Of the $2,581,000, $35,000 will be paid to a contract audit firm that assisted MHS with audits of a number of third-party cost reports that resulted in positive settlements. The balance of $2,546,000 will be transferred to the Colorado Springs Health Foundation.

As some third-party cost reports remain open, UCH-MHS and the City will again reconcile when ...

Click here for full text



The City of Colorado Springs is committed to making its websites accessible to the widest possible audience. We are constantly working to increase the accessibility and usability of our online technology. We strive to maintain conformance to Web Content Accessibility Guidelines (WCAG) 2.1 as well as U.S. Federal Government Section 508 Guidelines. The City of Colorado Springs will be evaluating this site on a regular basis, and it will continue to evolve and improve over time as new technologies emerge. Documents created by third parties may not meet all accessibility criteria. If you experience difficulty accessing the information contained within this webpage, please contact the Office of Accessibility at 719-385-5169.