LBJ Gets Some Medical Supplies, but Not Enough

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The LBJ Hospital has been able to replenish medical supplies which it ran out of however officials in charge of procurement for the hospital say the new shipment is not going to completely solve the shortage.

Speaking to KHJ News on condition of anonymity the officials said the hospital took delivery of a 40 ft, container of medical supplies late last week which will temporarily address the shortage of essentials such as gauze, gloves, bed underpass, and IV solutions.

We reported last week that due to the LBJ’s cash flow problem, staff were using bed sheets to do wound dressings and substituting gowns and trash bags as bed underpass.

We were made aware of the situation by nurses who wanted to alert the public and leaders so something can be done to address the shortage which they said was affecting the quality of patient care.

The Chairman of the Hospital Authority Board Leilua Mase Akapo had recently written to the governor saying that the hospital was experiencing a severe cash flow problem because ASG was not paying the hospital funds due to LBJ.
The funding includes the monthly subsidy of half a million dollars, the 2% wage tax and Medicare and Medicaid payments.
Leilua informed the governor that LBJ’s account payables had reached $8 million.

We asked the governor’s Executive Assistant Iulogologo Joseph Pereira if ASG has provided funds to the hospital so it can pay vendors of medical supplies.
According to Iulogologo at recent meetings concerning LBJ’s financial status, there was no discussion of a shortage of medication “except the fact that funds were diverted to cover LBJ’s payroll.”

He said on the instructions of the governor, funds were transmitted to LBJ.

He reported that a Medicaid payment of $1.5 million was being processed and LBJ should have received this money.

Commenting on statements by the chairman of the board, the governor’s top adviser said the chairman needs to understand, the federal budget has just been signed by the President, thus processing of federal payments accruing to ASG were delayed.

He explained that local funds were used to float grant funded operations and this severely placed a strain on local revenues.

Iulogologo said that the Department of Interior operational payment suffered the same fate and added that this has traditionally been the trend, particularly when the federal government is operating under a continuing resolution.

He told KHJ News the Chief Executive Officer of LBJ is well aware of this trend because he has experienced it many times during his first tenure as CEO.

Iulogologo was of the opinion that the Board chairman and some members don’t understand this “potential yearly setback.”

He added that the same situation applies to the Department of Education’s consolidated grant…local funds are used to float the cost of personnel and other expenditures until the consolidated grant is released.

Iulogologo said Governor Lolo at his last meeting with the Hospital Authority Board urged the chairman and members to revisit the LBJ’s budget because of the disproportionate distribution of its financial resources particularly in the area of personnel costs.

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