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SCKMC / City Form Loan Agreement

August 7, 2015

The Ark City City Commission approved an agreement to transfer funds to cover a shortfall for the hospital’s $1.2 million bond payment. Holly Harper, CFO made the request during Tuesday night’s meeting.

The Ark City City Commission approved an agreement to transfer funds to cover a shortfall for the hospital’s $1.2 million bond payment. Holly Harper, CFO made the request during Tuesday night’s meeting.

“We have cash of $866,000 to apply to the bond payment so we are seeking an additional $300,000 from the City,” Harper said.

Harper has been working closely with City staff, including City Manager Nick Hernandez.

“We have been working on it for a while. We have been kind of wanting to see how successful the hospital would be at potentially bridging that gap. The hospital has had a lot of good things happen to it in the last several months. Their employees are really doing their best to help the hospital,” Hernandez said.

Harper outlined several of the most recent projects for the commission, including sole community hospital status, 340B pharmacy program, and rural health clinic status. These programs, along with savings from radiology equipment coming off of debt service, are estimated to bring in $1.8 million next year.

Commissioner Brandon Every supported the request and expressed his pleasure with the progress being made.

“I know it’s been a struggle for you guys, and I’m sure it doesn’t feel good, but you guys have done a lot in the last 180 days to turn the hospital around. I’m quite tickled compared to where I was a year ago,” Every said.