Traverse City Record-Eagle

May 8, 2013

Maples nursing home financial woes

Traverse City Record-Eagle

---- — Benzie County Administrator Chris Olson provided the following information about the Maples nursing home’s financial situation to the Benzie County Board of Commissioners on Tuesday:

- Monthly cash flow at the Maples is approximately $450,000. Monthly expenses are estimated at $500,000. The Maples owes the county $484,000 for loans to help cover payroll.

- The Maples is unlikely to secure loans in the private sector.

- Operating accounts are at a low point, with no fund balance to rely on to tide the facility over.

- The Maples’ financial hardships is not tied to the proposed construction of a new facility that is scheduled to break ground in June.

- The Maples has witnessed some positive upticks in business, but the scope of those improvements is not large enough to overcome current financial conditions.

- The Benzie County Department of Human Services needs to make a business case for repayment of $484,000 to the county, as well as offer a plan for long-term stability.

- Accountability measures need to be built in to the facility’s regular reports to the county.