Dickinson County Memorial Hospital. (Theresa Proudfit/Daily News photo)

IRON MOUNTAIN — Dickinson County Healthcare System anticipates a profit of nearly $2 million this year and has adopted a budget for 2020 that predicts similar results.

“We’re moving in a good direction,” said Jerry Worden, interim chief financial officer.

In discussing the budget, the hospital board agreed Thursday to contract with two consultants to analyze prices and suggest rate changes. Cleverley & Associates will be hired at a cost not to exceed $42,000 and will focus on hospital pricing. Eide Bailly LLP will receive up to $38,000 plus expenses and is to review physician services.

Trustee Jeff Campbell, who chairs the finance committee, said patient visits were down in November but expenses were kept under control. The hospital showed operating income of $215,623 for the month. After calculating non-operating revenues and expenses, November closed with a positive bottom line of $133,661.

The year-to-date bottom line is $1.73 million, while the 2020 budget projects income of $1.8 million to $1.9 million, Worden said.

After being named a Top Rural Hospital this week by The Leapfrog Group, an independent hospital watchdog organization, DCHS awaits approval of a $25.65 million federal loan that would allow it to refinance higher-interest debt and acquire new equipment.

U.S. Department of Agriculture officials want evidence of further stability before awarding the Rural Development loan.

Before its financial turnaround this year, DCHS had incurred losses totaling roughly $21 million from 2016 through 2018, pushing it toward insolvency. The hospital is now operating with 55 days or more of cash on hand, Worden said.

The Top Rural Hospital designation went to only 18 facilities nationwide from among a pool of about 2,000, DCHS CEO Chuck Nelson said. Performances in many areas of hospital care are considered, including infection rates, maternity care and the hospital’s capacity to prevent medication errors.

In other action, the hospital board:

— Approved returning Dr. John To, a radiologist, to a three-year term on the board, and appointing Dr. Beth Schroeder, a family medicine specialist, also to a three-year term. Both appointments are subject to the advice and consent of the Dickinson County Board of Commissioners. Schroeder replaces Bill Edberg, a former board chairman who did not seek reappointment.

— Praised Edberg for his service, with Trustee Dave Holmes citing his leadership through challenging times. Edberg, in turn, said the Top Rural Hospital award illustrates the dedication to quality at DCHS and the importance of community support. “We have excellent care here,” he said.

— Heard Nelson say he testified before a Michigan Senate committee to oppose legislation that would in some cases remove Certificate of Need requirements for costly medical equipment. “We’d like to have that rationale remain in place,” he said. Having too much equipment in the same market is economically unwise, he explained.

— Reviewed data showing operating revenues of $8,133,443 in November against expenses of $7,917,820. The hospital cared for 185 inpatients in November and 12,628 patients as outpatients, including 854 in the emergency department. DCHS also cared for 8,336 patients in physician offices.

— Heard Chairwoman Margaret Minerick offer thanks to employees, pointing both to the recent financial success and the Leapfrog Group honor.

Jim Anderson can be reached at 906-774-3500, ext. 226, or janderson@ironmountaindailynews.com.