University of Virginia Library

HOSPITAL

The President reported that Governor Battle had authorized a deficit of $189,000 for the
current year, after a careful study of operations by the State Auditor.

The Governor directed that if collections of patient accounts can be improved this
revenue is to be used to reduce the deficit, not to expand operations at the hospital.

Judge Smith stated that he had read the report carefully and was concerned with the
differential in cost between this hospital and the Medical College

Dr. Emmett stated that this hospital is very old and poorly designed and, hence, difficult
to administer. In addition, the University Hospital treats more rural patients than the Medical
College, who are less able to pay and from whom it is difficult to collect. Another factor affecting
the hospital is the reduction in occupancy brought about by the development of local hospitals
throughout the State utilizing Hill-Burton funds.

A resolution was adopted referring the Study of the Hospital by the State Auditor to the
Medical Committee with the request that recommendations be made to the Board at its March meeting.

President Darden said that one of the crucial questions is whether we should deny admission
to those patients not certified as indigents by local welfare officers. He said he had discussed
the matter with the Governor who feels that we should not deny medical care to such indigents. The
Governor wants us to make every effort to improve collections from patients who can pay and see if
we can operate within the deficit authorized.

The President stated that Dr. Sanger of the Medical College has asked him to serve on a
committee to prepare a plan for submission to the General Assembly in an effort to make the Assembly
aware of the medical care needs of the State.

Mr. Gay stated that he thought the Board should take a firm stand in this matter and call
to the attention of the Legislature that the University can not continue to operate the hospital
unless sufficient money is provided.