The LBJ Hospital‘s accounts payables has reached $9.9 million as of February 12.
This is according to a hospital report obtained by KHJ News which contains current and old debts of between 1 and 3 months.
The IOU’s include amounts owed to the American Samoa Power Authority, American Samoa Telecommunications Authority, travel agents, medical suppliers, construction companies, Hawaii pathologists and labs, local stores, auto shops, freight forwarders, gas suppliers, medical staff and employees from various sections of the hospital.
According to the report off island vendors supplying medical supplies are owed the biggest chunk of money $6.9 million.
Local vendors which include ASPA and ASTCA and stores and service companies are owed $1.2 million.
Staff say that LBJ is still short of many items because suppliers are only accepting up front cash purchases and only small amounts are being shipped to the territory, depending on the amount paid by the hospital.
LBJ maintains that ASG is behind on transmitting monthly subsidies, the 2% wage tax and Medicare/Medicaid funding due to the hospital and this is why they are experiencing a cash flow problem.
Governor Lolo in January, directed the hospital management to reduce personnel spending and Treasurer Ueligitone Tonumaipe’a to find money to pay what’s owed the hospital.
While there have been payments made by ASG to the hospital since then, LBJ officials say the amounts fall far short of what’s owed.
