Jackson Health System in Miami Projects First Surplus Since 2008

Miami-based Jackson Health System presented a budget last week that projects a surplus of $35 million for its next fiscal year — the system's first surplus since 2008, according to a Miami Herald report.

Jackson CEO Carlos Migoya and his team based the projection on Jackson seeing the same amount of patient revenue next year as it did this year.

CFO Mark Knight said the system is also seeing "significant improvements" in productivity, according to the report. The proposed budget projects a cut of $110 million in expenses, including $95 million from the implementation of a flexible-staffing model with part-time workers that cut the costs of salaries and benefits.

Jackson finished July with a $550,000 surplus, making it the fifth straight month in the black.  

The system also finalized an annual operating agreement with the University of Miami, under which Jackson will provide a base payment of $99.5 million to UM plus monthly transition payments of $3.6 million through at least November. The organizations' previous agreement involved a lump sum payment from Jackson to UM for physicians and other services.

Jackson's main objectives for a new relationship with UM, including paying for services at market-based rates and hiring or leasing UM physicians, are still being negotiated and were not addressed in the agreement, according to the report.

More Articles on Jackson Health System:

How a Banker Turns Around a Struggling System: Q&A With Carlos Migoya, CEO of Jackson Health System
University of Miami Medical School Layoffs Prompted by Failed Strategies, Critics Say
Jackson Health System to Open $1.3M Pediatric Bone Marrow Transplant Unit

Copyright © 2023 Becker's Healthcare. All Rights Reserved. Privacy Policy. Cookie Policy. Linking and Reprinting Policy.


Featured Whitepapers

Featured Webinars