Number
140239
Version
SUBSTITUTE 2
Reference
Sponsor
THE CHAIR
Title
Substitute resolution appropriating $190,000 from the 2014 Common Council Contingent Fund to provide financial assistance to Milwaukee Health Services, Inc.’s organizational sustainability plan.
Analysis
This resolution appropriates $190,000 from the 2014 Common Council Contingent for the purpose of providing a loan to Milwaukee Health Services, Inc.
Body
Whereas, Milwaukee Health Services, Inc. (MHSI) has provided quality health services to the medically underserved in Milwaukee for 25 years and is a Federal Qualified Health Center (FQHC) operating under Section 330 of the federal Public Health Service Act; and
Whereas, MHSI currently provides services from the Isaac Coggs Heritage Health Connection at 8200 W. Silver Spring Drive and the MLK Heritage Health Center at 2555 N. Martin Luther King Drive; and
Whereas, MHSI served approximately 26,000 patients in 2013, of whom approximately 72% were either eligible for Medicaid or Medicare assistance; and
Whereas, The proportion of uninsured patients that MHSI serves has grown from approximately 11% to 19%, in part due to the recent economic recession; and
Whereas, MHSI is an integral component to the health care safety net for Milwaukee residents; and
Whereas, MHSI experienced severe financial problems between 2007 and 2010 as a result of management shortcomings, Medicaid overpayments and theft; and
Whereas, An estimated 74% of MHSI’s employees reside within the city of Milwaukee, contributing to the economic vitality of the city and its neighborhoods; and
Whereas, MHSI has initiated an organizational sustainability plan, which has included a change in management, a reduction of 76 staff positions or approximately 30%, as well as reductions to staff salaries of between 8% and 20%; and
Whereas, MHSI’s organizational sustainability has improved as a result of an operational performance improvement plan and achievement of balanced...
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