Nov. 6, 2013 — The Little Sandy District Health Department has begun consolidation of its Olive Hill branch location.
Interim Director Paula Thornsberry said the west end location is closing in light of the recent discovery of an anticipated budget shortfall.
“Most of our patients can travel to the Grayson location and some may be closer to Elliott County,” Thornsberry said. “Our services are down and we are just trying to save money.”
Thornsberry was unable to put a dollar amount on the cost-saving measure but did say that travel and supply expenses will go down.
She is unsure if any jobs will be lost with the closure of the Olive Hill location.
“We will look at jobs once we consolidate but we are anticipating more cuts down the road,” Thornsberry said.
The district’s Board of Directors will hold its monthly meeting on Wednesday, Nov. 13, at 6:30 p.m. at the Carter County Courthouse.
Thornsberry said she expects a report on the audit which will explain the shortfall.
The Journal-Times reported in September that, according to financial projections presented to the board, expected revenue could be $769,000 less than the 2013-14 budget approved in June.
The approved budget anticipated about $190,000 more in revenue than the 2012-13 budget.
With about 30 persons on the payroll, personnel costs are by far the largest expense category for the health department.
The approved budget anticipated $1.4 million in salaries and benefits. However, the projected cost presented last week was $55,469 more than expected.
Operating costs were approved at nearly $300,000 more than the 2012-13 fiscal year.
However, even with projections coming in at $326,942 less than budgeted, the district would still face a $440,632 loss.
The Little Sandy District serves Carter and Elliott counties with administrative offices in the Carter County Courthouse.
Leeann Akers can be reached at email@example.com or by phone at 474-5101.