Medical center budget adopted
By Rebecca Vesely, STAFF WRITER, The Oakland Tribune
Article Last Updated: Wednesday, July 28, 2004 - 6:04:21 AM PST

Trustees of the Alameda County Medical Center unanimously approved an annual budget Monday night -- including a controversial amendment that could lead to fewer job cuts than planned.

The $369 million budget, approved nearly a month after the start of the fiscal year, gives the medical center a surplus -- of $678,000 -- for the first time in years.

The final budget was revised after criticism from labor groups, physicians and the public that it was too aggressive in slashing jobs, supplies and other necessities to run the hospital system.

As part of the revision, 37 full-time positions were rescued from a cut list of more than 200.

The layoffs, approved as a separate motion in April, will save the medical center nearly $10 million, according to the revised budget.

A last-ditch plan by Trustee Dr. Floyd Huen to save another 75 jobs from the chopping block was attached to the budget in a majority vote, to be reviewed over the next 30 days.

Huen's plan, scribbled longhand on a piece of paper, adds $3.3 million in revenues to the medical center through programs such as performing dental surgery on prisoners and expanding the occupational health program.

In addition, Huen said the budget underestimated the amount of money the medical center will receive from a new tax voters approved in March. The budget estimated the medical center will receive $69 million; Huen put that figure at $500,000 higher.

Huen's plan also cuts

$1 million in line items from the budget proposal, including $500,000 for marketing -- putting his total budget savings at $4.3 million.

Trustee Ilene Weinreb said she could not support Huen's cost-saving proposal because it had not been thoroughly analyzed. Trustee Joe Phan also voted against amending Huen's plan to the budget.

"Job security cannot be obtained if the organization is not fit," he said.

But Huen said he was "troubled" by how the layoffs came about.

"We do need to fix the problems here, and the main problem is with management," he said to cheers from workers, adding that the prolonged layoff discussions are creating a morale problem. "Many of our most veteran nurses are leaving."

Physicians praised the budget while remaining concerned that proposed staff layoffs would mean fewer patient services.

"This budget is the best budget we've seen in many years," said Dr. Jim Mittelberger, president of the medical staff. "But we cannot afford to let this community down with service cuts. Our patients don't have access to care now, and what we need to do is enhance care."

Contact Rebecca Vesely at rvesely@angnewspapers.com.