EvergreenHealth board votes to count COVID-19 aid as revenue, triggering management bonuses

Kirkland, Wash.-based EvergreenHealth’s board of directors voted 4-3 to count COVID-19 aid as revenue, which triggered an average bonus of $9,200 for the system’s 206 managers, Crosscut reported Nov. 22.

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The vote comes as Evergreen has reported that it is losing $1.3 million a week in care for long-term patients. 

Evergreen received over $43 million in Coronavirus Aid, Relief and Economic Security Act funds in 2020 and 2021, and counting it as revenue pushed the hospital’s operating income past the threshold for management bonuses. Commission Chair Tim McLaughlin explained that the CARES Act funds were meant to replace hospital revenue lost due to COVID-19.

“[EvergreenHealth] did not divert CARES money to line the pockets of executives or anything like that,” Mr. McLaughlin said.

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