Treasury is slowly but surely paying money due to the LBJ Hospital in monthly subsidies and the 2% wage tax, though the payments are still below what the hospital needs to keep medical suppliers and other vendors happy.
CEO of LBJ Taufetee John Faumuina Jr, says ASG remitted $1.3 million last month.
The money was subsidy payments for the months of November and December, 2015 and $300,000 of the 2% wage tax.
The monthly subsidy for the LBJ is half a million dollars.
This week LBJ received $150,000 from the 2% wage tax.
Taufetee said they are presently awaiting subsidies for January and February 2016 and a subsidy payment of $100,000 from FY2015.
LBJ estimates the amount that ASG owes in the wage tax is close to $4 million.
The CEO has testified at Senate hearings that Governor Lolo gave instructions fo the LBJ and Treasury to get together for a reconciliation of the amount ASG owes LBJ,
When asked if this has taken place he said not yet, that he was awaiting the return of the Treasurer, who is on leave.
KHJ News understands Treasurer Ueligitone Tonumaipe’a returned Monday night after two weeks off island for medical reasons, but he has not been at the office full time.
The governor had also directed the LBJ Hospital Authority Board and management to take cost cutting measures with personnel spending.
Taufetee said all vacant positions created by resignations will not be replaced unless there is justification to do so and in order to comply with the Center for Medicaid and Medicare Services Certificate of Participation.
The CEO didn’t mention it but from KHJ News own research the head of the Maintenance Department whose salary was in the vicinity of $90,000 has had a one salary step pay cut.
This was at the initiation of the Hospital Authority Board of Directors.
Former Head of the Pediatric Division of LBJ, Dr. James Marrone, who had left shortly after the end of his contract late last year, has been seen back in the territory.
When asked if there’s any chance Dr. Marrone would be rehired, Taufetee said he has no knowledge of Dr. Marrone’s whereabouts and he has not re-applied for employment at LBJ.
Asked if a replacement has been found for Dr. Marrone in Pediatrics, Taufetee said Dr. Maria Gayapa has taken over the position of Chief of Pediatrics.
The CEO did not indicate that any new doctor has been added to the busy pediatric clinic and ward.
In response to questions on how many new doctors have been hired by LBJ in the last six months vs how many have left, the CEO said 5 doctors left in that time period and two new doctors have been hired and are now on board.
He said 4 new doctors will be arriving this month, three MDs and 1 MBBS, Bachelor of Medicine and Bachelor of Surgery in the British system.
And one more doctor is scheduled to arrive in July, for a total of 7 new doctors.
One last question for the LBJ CEO is whether LBJ is seeking funding from the bond proceeds to help pay vendors who are refusing to send orders for the local hospital until they are paid up front.
Taufetee said, ”I do not know of any such move. I thought the Senate was going to do it as they are the ones who brought it up.”
