Board of Visitors minutes April 13, 1951 | ||
UNCOLLECTIBLE HOSPITAL ACCOUNTS
The following resolution was adopted.
RESOLVED by the Board of Visitors of The Rector and Visitors of the University of Virginia
that the Hospital Accounts Committee be and it is hereby authorized to charge off as uncollectible
accounts schedules 200, 201, 202 and 203, aggregating $9,491.00, recommended by them for
cancellation.
President Darden read to the Board a letter which he had recently sent the Governor
about the policy of charging off uncollectible accounts at the Hospital. This letter and the
Governor's reply are set forth below.
Richmond, Virginia
This will confirm the information given you in reference to the Hospital during our
conversation several days ago.
The Board of Visitors has been disturbed by the large charge-offs on account of bad
debts and wishes you to understand that these arise not as a result of credit improvidently extended
but from the treatment of the large number of indigents whose inability to pay is known
at the time they enter the Hospital.
The auditor of Public Accounts has advised us that it is preferable to set up charges
involving each individual who is accepted for treatment and later make the charge-offs required.
We are exerting every effort to collect charges made for hospital service. If indigents were
admitted as such at the outset, the sums charged off would be substantially less since they
would represent only bad debts.
I believe the practice recommended by the Auditor of Public Accounts is sound, and
that adherence to the present system of accounting is wise.
GOVERNOR'S OFFICE
RICHMOND
March 15, 1951
President of the University of Virginia
I have your favor of March fourth explaining the policy which has been adopted by the
Board of Visitors relative to charge offs in the Hospital.
I agree with you that this system is entirely proper, and I understand the reason for
the large number of charge offs on this account.
Thanking you for writing me and with my personal regards, I am
John S. Battle
Board of Visitors minutes April 13, 1951 | ||