Abbreviated as HCBHC, the Harbor City Behavioral Health Center’s core function is to provide an array of mental health services to families and individuals. The organization is divided into six major departments, with Finance being one of them. Financing is a critical factor in the realization of a viable mental health center, and HCBHC is no exception. With financing, a resource base is created for delivery of mental health care services and the development and deployment of a trained workforce among other operations. Based on the present and projected budget for HCBHC, the organization is likely to meet targeted goals and initiatives in some areas and fail in others. For instance, in areas such as webhosting, printing, and supplies, funds used in the current year exceed the budget. As such, HCBHC should increase federal funds, cut on supplies’ costs, give more attention to training of staff, and encourage the use of electronic health records.
Following the release of federal funding for Fiscal Year (FY) 2020, HCBHC could include this as a source of revenue to expand its budget. Based on the budget, the organization receives $0 from federal funds. By including significant federal funding, the organization will have taken a crucial step to support individuals and families with mental illnesses. Furthermore, the FY 2020 bill boosts some of HCBHC’s priority areas such as residential and prevention services, outpatient and hospitalization, and professional consultation and rehabilitation (Knopf, 2019). Funds from federal agencies would help offset huge variances in sectors such as building and maintenance. The budget for this sector was $75000, yet the company has spent double in the present year. With the need for crucial services as rehabilitation and housing facilities for individuals and families, federal funds would be recommended.
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Another key area that requires attention is printing. The projected budget for this sector is $100,000, yet HCBHC has spent $150,000 in the present year. Although printing is an essential function, the high variance reveals that HCBHC has no frame of reference on how to optimize it. The best way to substantially save on printing is to train staff on solutions such as focusing on users and managing of demands (Born, Kool, & Levinson, 2019). Also security measures should be integrated. High costs of printing is both a financial drain and a security threat. Furthermore, research reveals that 90% of organizations have experienced a breach in confidentiality stemming from unsecured printing (Fuentes, 2017). Consequently, the costs of data breaches could affect compliance with HIPAA regulations.
Another solution to cut on high costs of printing would be for HCBHC to adopt electronic health records (EHR). EHR, at its core, is a digital version of printed paper charts. An EHR contains medical and treated history of patients and are designed such that they can be shared among authorized health care professionals. EHRs would enable HCBHC providers to digitally access information across various departments without having to print charts or compromise on confidentiality and privacy of patients (Larrison, et al, 2018). This would ensure compliance with HIPAA which is a problem in the organization, with three reported cases.
Medical supplies and assessments have significant impact of patient care and account for a high proportion of expenses of HCBHC. With a projected budget of $350,000, the organization has exceeded by $100,000. As such, the organization can take advantage of competitive bidding for health care supplies (Glickman, DiMagno & Emanuel, 2019). Instead of HCHBC going for supplies whose prices have been set by the government, the organization should seek manufacturers and suppliers who are in competition to offer lowest prices. The expansion of competitive bidding by Medicare including devices, laboratory tests, drugs, and other supplies can be advantageous to mental health care centers.
In conclusion, HCBHC should consider incorporation of EHR, training of staff, increasing federal grants, and cutting on costs of supplies and assessments. These recommendations will increase efficiency and cut costs without compromising the quality of mental health care services. Consequently, the entire financial situation will improve and propel HCBHC to achieve its key initiatives, and goals.
References
Born, K., Kool, T., & Levinson, W. (2019). Reducing overuse in healthcare: advancing Choosing Wisely. Bmj , 367 , l6317.
Fuentes, M. R. (2017). Cybercrime and other threats faced by the healthcare industry. Trend Micro .
Glickman, A., DiMagno, S. S., & Emanuel, E. J. (2019). Next phase in effective cost control in health care. Jama , 321 (12), 1151-1152.
Knopf, A. (2019). FY 2020 Appropriations: Stimulants added to SOR's $1.5 billion. Alcoholism & Drug Abuse Weekly , 31 (48), 1-3.
Larrison, C. R., Xiang, X., Gustafson, M., Lardiere, M. R., & Jordan, N. (2018). Implementation of electronic health records among community mental health agencies. The journal of behavioral health services & research , 45 (1), 133-142.
